[ADSL]
robt --
This isn't TXN, but it's a big event for ADSL, overall.
<<< NEW YORK, Jan 29 (Reuters) - Solomon Trujillo, president and chief executive officer of U S WEST Communications Group Inc said Thursday his company was not interested in the analog wireless telephone business its sister company, U S West Media Group sold to AirTouch for $5.7 billion. "I'm not interested in analog," Trujillo told a gathering of the New York Financial Writers' Association. "We're focusing on building out a complete digital network and we're not interested in these assets," he added. Instead, Trujillo said he the company is moving to have a complete digital PCS wireless telephone network in the major cities of the 14 states his company services by the end of 1998 and complete area coverage by the end of 1999. The local phone service provider also unveiled a plan where it will offer ultra-fast Internet and data transmission services over existing copper wire, called Megabit Services, to residential and business customers in 40 cities by June 1998. Using its new ADSL (Asymmetric Digital Subscriber Line) service, U S WEST says it will be able to offer residential and business customers continuous Internet access at speeds of up to 250 times faster than today's standard modems. The service, a pay-as-you-go plan, has a monthly fee of between $40 and $80 a month. That costs does not include installation of the proper equipment and is in addition to regular voice service. For home service, using 256 kilabit access, which is 9-18 times faster than traditional modems, U S WEST charges $199 for installation including the modem. Trujillo showed a demonstration of the service at 400 kilabit speed, saying the service can already provide full-motion video to home computers that has, "quality better than the videos your rent from Blockbuster." Trujillo explained that U S WEST is deploying its ADSL service in full accordance with the consortium of hi-technology companies, including Intel Corp , Compaq Computer Corp , and Microsoft Corp , and several regional bell operating companies. ADSL uses the same copper phone lines already connected to homes to transmit the data, saving the cost of installing a new fiber optic communications network. Calling his service a breakthrough, Trujillo said it "transforms copper into one of the most precious metals in the next decade." Still, U S WEST isn't relying solely on copper. It signed a five year deal with Williams Cos earlier this month to provide long-term transmission services. Trujillo explained that since the company was the first to sign on with natural-gas pipeline company, which is currently building an 18,000 mile national fiber optic telecommunications network, he was able to negotiate a deal that cost-wise "makes it as if it was a virtual acquisitions of the fiber optic network." Trujillo promises the new ADSL service will be as simple as plugging the modem, which is being manufactured by Austin, Texas based NetSpeed Inc, into a phone jack and then running a regular phone wire to the computer. The technology is said to allow customers to make and receive phone calls over the same line while simultaneously surfing the Internet. U S WEST believes the Internet services 51 million people daily and Trujillo believes that as it grows, data transmission will make up 80 percent of the traffic handled by its networks. "I expect data services to be worth $5 billion in five years and $10 billion in ten.">>>> |