Failure To Communicate

The digital divide is back in the news - or at least it's back in the New York Times. Here's the problem summed up nicely in the headline: Rural Areas Left in Slow Lane of High-Speed Data Highway.

Surprisingly, the Times does a decent a job of outlining the reasons why high-speed access is limited or unavailable in many rural areas.

“Vermont — like all rural states — has higher fixed costs of providing service,” said Polly Brown, president of Verizon Vermont, where the number of landlines has declined 9.1 percent since 2002. “You’re spreading those costs over fewer customers, who are located far and wide, and you’re dealing with topographical challenges such as mountains and a rock base.”

[...]

The economics of providing broadband in rural areas are discouraging, too. The cost of upgrading an existing copper line that runs from switching stations to remote homes can be as much as $5,000, according to the National Exchange Carrier Association. Such costs are prohibitive for phone companies, which typically want to make back their money within three years, said Victor Glass, the director of demand forecasting at the carrier association.

Of course economic reality doesn't seem to matter.

“We have companies that lose money because they don’t have broadband,” said Maureen Connolly, a director at the Economic Development Council of Northern Vermont. “We’re not a third world country. We shouldn’t have to beg for service.”

No, but you do have to pay for it. And if you are in a rural area like northern Vermont you should expect that you are going to pay more - perhaps a lot more. And here's a question. If you run a business that needs high speed access in order to be profitable, why are you trying to run it in an area without high speed access?

If you're running a business that needs broadband to be profitable - invest in a solution. Put a satellite dish on the roof and hook a satellite modem to your computer. Make a deal with the phone company or cable company to pay for the wiring upgrade to bring broadband to your home or business. If broadband access is a problem for you, solve it.

Posted by: Stephen Macklin at 04:54 AM | No Comments | Add Comment