I don't think DSL has any chance of penetrating the home market at the prices mentioned: $100-$400/month subscription, plus the cost of equipment, plus the cost of an electrician rewiring the house and installing new jacks.
I went through this already for ISDN. I pay CHF 52 (about $35) per month service charge versus half of that for a normal phone line, which makes sense. With ISDN, I can have two connections going at once: two voice, one data and one voice, or two data. It is 64 Kbit which doesn't compare to DSL, but is better than the fastest analog modem, and better quality for voice than a normal line. I need two connections anyway so that I can get or make a voice call while I'm on-line. So might as well go with ISDN since it costs the same as two regular lines, and has some extra features.
The installation, however, cost me plenty. A visit by an electrician to install the RJ-45 outlets, then a visit by a phone company technician to attach the end-adapter, plus I had to buy a digital phone. Total cost: about $1000. It breaks down like this: about $135 installation fee from the phone company, about $300 for the new phone (prices have since come down), and the rest for the pricey labor.
I didn't do this merely for the extra speed - I did it because I needed two lines anyway. The Internet is so bogged down that the extra speed does me little good. I'm always waiting on an overloaded server, or a bottleneck somewhere.
So DSL is currently way too expensive to achieve any significant market penetration, and not much use if one had money to burn.
I would put my hope for Ampex in the video-on-demand over cable modem area, if anywhere. Something you pay for by pay-per-view, but you are not limited to a take-it-or-leave-it offer at a scheduled time. Anytime you want, you select a movie from a menu, and it get downloaded to you.
I can see a broadcaster, or cable company, having access to a film library. Perhaps on their own equipment, or perhaps via a dedicated super high bandwidth connection to a data warehouse, a middleman between the film studios and the broadcasters or cable companies. A film could be requested, retrieved from a mass storage like an Ampex tape system, transmitted to the requester and cached, then broadcast to the customer. Perhaps memory will be so cheap someday that the customer's set-top box will contain the cache, and he/she will be able to stop and start and "rewind", as if the film were on a tape, when it is only in volatile memory. The latter would only require a few gigabytes of memory for a full-length film.
The data capability of the two-way cable modem connection would be a secondary benefit. Fast Internet downloading and uploading to be sure, but compelling only for computer users. I'd rather watch a movie on my nice big TV screen with Dolby Prologic surround sound blasting out in cinema quality from my attached stereo system, than on my PC, which doesn't have a sofa in front of it, and which becomes obsolete every two years.
It is only video which is going to require Ampex heavy-duty storage capacity, and I don't see that much being send over the Internet in its current incarnation any time soon.
Cable modems, on the other hand, are coming into use now. My cable provider is offering them in some parts of the service territory, and slowing expanding the service. The video-on-demand I described is something I imagined, not something being offered, but it seems probably to me that something like that will sooner or later be implemented. |