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Non-Tech : Amati investors

AMTX 1.470

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Dec 12 9:30 AM EST

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To: Pigboy who wrote (20517)	6/27/1997 11:13:00 AM
From: Steve Macica	of 31386

PacBell's ADSL and ISP/Internt Connections <<There were two items that jumped out: first that the ISP had to have ATM (please explain --- I take it Pacbell's an ATM system) and secondly that PacBell might lease the modems.>> Hi Pigboy, I think that Pacbell is setting up an ISP ATM requirement so that they can charge you not only for the "connection" (transport) to your ISP but also the bit rate at which you are permanently connected. Alcatel's ADSL system delivers 1.5Mbps Downstream and 384Kbps upstream. At the Central Office, the Alcatel system concentrates 500+ ADSL lines into a 155Mbps ATM link. With ATM, a permanent virtual circuit (PVC) of a set bit rate can be established between you and your ISP. Pacbell is capable of offering several different transport rates from 0 to 1.5Mbps, its just a simple matter of marketing to determine what the market will pay. I imagine they could even offer off-peak specials (isn't America wonderful). So even though your ADSL link is capable of 1.5M/384Kbps, your pocket book may only be able to afford a 384K/384K service. The nasty thing about the above scenario is that after paying for a guaranteed transport bandwidth, your ISP will most likely over-subscribe their internet connection and you won't see the bandwidth from your ISP that you paid Pacbell to transport. How does one connect to a company Intranet? I think you (or your company) will have to pay Pacbell an additional amount of $$ for them to "Nail Up" a connection to the company you work for. Of course the amount of $$ will be a function of the amount of bandwidth required but your company is paying the frieght. Your company will not require an ATM link, Pacbell will make the connection via frame relay, T1 or however your company is presently connected to WAN. This "Nailed Up" connection avoids all the security issues companies have with private info and the internet because the data is never going on to the internet, you have a virtual circuit connection direct to the company intranet. I don't like the "Nailed Up" approch because I have to pay Pacbell (and wait for them to set it up) for every secure connection I need to make. But this model works for most people that need an internet connection and a single company connection. I would like to video conferance with more than just the companies I have a nailed up connection with. This Nailed Up approch is not going to stay with us forever. As soon as the ATM Backbone (Cisco?) and ADSL system vendors can handle Switched Virtual Circuits (SVC) the nails go away(even the one to your ISP). There are alot of interoperability issues with SVC's and its going to take awhile to work out but I'm sure Cisco and Alcatel have a handle on it. I think this (backbone issues) was the primary thrust of the Cisco/Alcatel deal. Alcatel needs Cisco at the remote modem (ATU-R). Their current ATU-R doesn't have a bridge/router so you need one ATU-R per computer -- very klunky for SOHO's. Alcatel's Hayse deal is for an ADSL NIC card, probably a retail item. I haven't talked to anyone at Pacbell. The above is just rambling. Maybe if someone contacts Pacbell they may want to use the above as a basis for some questions. later

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