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Technology Stocks : LAST MILE TECHNOLOGIES - Let's Discuss Them Here
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To: drmorgan who wrote (838)5/14/1997 9:31:00 AM
From: WTC   of 12823
 
A contrary view on the "scalability" of HFC vs DSL for wideband digital customer services would observe that the cable coaxial network requires re-architecting to neighborhood nodes of ~400 - 500 homes and activation of the return channel before any serious digital services can be offered (serious=two-way, reliable, accessible.) Depending on the current condition of the plant, and whether this is a rebuild or a upgrade, this is a start-up cost of $180 to $240 per home passed. Then you get to start buying cable modems and installing service.

By comparison, xDSL seems to be the holy grail of "scalability." No a priori network upgrade is required to begin offering wideband data services via xDSL, although it will often be prudent, in order to make the sales and delivery channel as efficient as possible, to conduct and record some pre-qualification analysis.

The Achilles heel of xDSL is not scalability, but coverage. Not every customer who wants to buy wideband services can be served via xDSL without sometimes heroic, uneconomic measures. Where cable has upgraded a system at the minimum cost possible, they are also likely to encounter unpredictible and expensive to correct and annoying anomolies with cable modem performance (Elmira, NY.)
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