High-Speed Data Networks Blocked By Regulatory Restrictions, U S WEST Tells Panel
PR Newswire - September 04, 1998 14:03
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What Ever Happened to Promise of Information Superhighway?
WASHINGTON, Sept. 4 /PRNewswire/ -- "We started this decade talking of the promise of an information superhighway. We're now into the twilight of the decade -- the twilight of the 20th century -- and the promised information superhighway begins and ends in only lucrative business districts," said Bruce Posey, vice president-U S WEST Federal Relations.
Speaking yesterday at a panel discussion in Washington D.C. sponsored by the Economic Strategy Institute on the deployment of advanced telecommunications services, Posey highlighted three factors that have put the brakes on the development of the information superhighway.
"U S WEST wants to build systems to link all our communities -- the mass market -- with the data world, but is stopped by regulatory restrictions," Posey said. "Long-distance and cable companies, however, have regulatory freedom to invest and carry the data to all markets, but won't. These companies have built high-speed networks that serve only the major business areas. I call this selective build-out 'economic redlining' and the practice leaves many communities without the high speed-data networks they want and need."
Posey said a second factor hampering build-out of data networks are inconsistent regulations that unevenly favor one industry segment over another. For example, he said the Federal Communications Commission has proposed his company provide advanced telecommunications services through a separate subsidiary -- a demand not required for cable or long distance companies.
Posey said the final roadblock is the disparity between the computer industry and telecommunications industry. "Unhampered by cumbersome regulations, computer processing and modem speeds are increasing dramatically. Unfortunately, that high-speed data almost hits a brick wall as it travels from a computer into the telecommunications network, especially in rural areas." He said, regulatory rules should encourage infrastructure investment that enables the building of a mass-market, high-speed switched broadband network that complements the computers that link into it.
U S WEST (NYSE: USW) provides a full range of telecommunications services -- including wireline, wireless PCS, data networking, directory and information services -- to more than 25 million customers nationally and in 14 western and midwestern states. More information about U S WEST can be found on the Internet at uswest.com.
SOURCE U S WEST
/CONTACT: Nanci Bernstrom of U S WEST, 202-429-3105/
/Web site: uswest.com
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