Lynn, Wow. You put that well. Lets see what clarifications come in and maybe you could rewrite it as a post for all to remember.
My few comments as I understand it (corrections welcome!):
as owner of the backbone from headend thru regional networks, data centers, and an ATM network I believe the word "backbone" is not usually meant to mean the connections to the headend. It is more meant to imply connections between data centers. The reason I bring up this distinction is that ISP's do not necessarily need to lease the "backbone", but only the lines to the headends. Many broadband ISP's simply connect to the "Internet" for long distance transport and don't have a national backbone of their own.
Presumably AOL is the only narrowband ISP with pockets deep enough to build their own private national backbone. Thats not necessarily a good presumtion exactly. AOL does not *own* its networks anymore, they contract it out to WCOM. There are several major telecom companies with the resources and the skill to do what ATHM does, WCOM being the best example. They are not ISP's (maybe some are), but they could be hired by the ISP's for the job.
AOL, pending appeal, has won the right to provide access over the last mile. This I consider inaccurate. AOL was not involved in the Portland case at all. What the judge decided was that Portland had the right to not use AT&T cable TV if AT&T wont make internet access "open" if and when they provide it. AT&T can simply never provide broadband internet to Portland and the issue is moot. Many many ISP's would want in on the game. More than the 10 that Ahhaha thinks the system could support.
AOL would have to build a private broadband network from scratch from headend to ATM backbone to avoid paying a toll. Darn interesting point. ATHM does not have to lease to AOL or anyone else. Make them build it themselves. Either they cant do it and ATHM keeps away the competition or they can and ATHM loses the business of providing transport.
Do you think ATHM will keep this 'toll' or split it with AT&T? My feeling is the entire fee goes to ATHM because they provide the broadband service and simply lease a powerful T backbone. Obviously AT&T will continue to get its "toll" for access to the local wires. Most of the $ goes to AT&T, just like it always has. Who actually pays it to them doesn't matter much.
And ATHM still has exclusive contracts around the world unaffected by this ruling. Interestingly enough, open access is already mandated in Canada. For some reason there have been no takers. I'd love to know why. Eric |