Data Race (NASDAQ: RACE) NEWS! 2 voice/data/fax: ONE LINE! Message Board

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Technology Stocks : Data Race (NASDAQ: RACE) NEWS! 2 voice/data/fax: ONE LINE!

RACE 333.79

-0.3%

Feb 6 9:30 AM EST

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To: Niels Larsen who wrote (27630)	2/1/1998 2:28:00 AM
From: Marshall	Read Replies (2) of 33268

Yes Niels, the RBOCs have definitely been trying to find a way around the age-old regulations that fix dial tone line charges as "by the month" regardless of the amount of usage they receive. It's a difficult area to step into. About the only argument RBOCs could present for a surcharge would be the high average number of hours the lines are tied up by net users. Grant them this and my 93 year-old grandmother is going to start squawking about how she only uses her phone about an hour a month so where's her discounted rate? I think the eventual turning point will come with some sort of xDSL but only after many conditions are met. The costs of implementing xDSL on any scale will be high due to many things aside from the equipment costs and the RBOCs must be able to see some sort of reasonable ROI and eventual future profit structure before they raise a finger. In order to achieve this they will need to see a very high percentage of a very large "connected" society willing to pay the higher rates necessary to accomplish their objectives and I believe we're still a long ways away from the numbers they must see. It's like that article said - the networking and computer industries are just now discovering why the telcos haven't been moving on these issues - they have a stronghold on "the last mile" and they aren't going to change it until the question "what's in it for me" has an attractive answer. I suppose you realize this may eventually have an effect on the PC upgrade cycle?

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