Good article: New High Speed Access Coalition Formed to Ensure Affordable Data Services for the Home Market; HiSAC Will Advocate for Competition in the Last Telecommunications Monopoly
December 10, 1998
SACRAMENTO, Calif.--(BUSINESS WIRE)Formation of the High Speed Access Coalition (HiSAC) as an advocate for competition in providing data services to the home market was announced today.
The new coalition also announced the appointment of David Wilson as executive director and general counsel. HiSAC's mission is to eliminate the last remaining telecommunications monopoly -- the delivery of high-speed data services to homes.
"Millions of Americans want affordable high speed Internet access for their home, but they're being held hostage by the Baby Bell companies that are trying to preserve their monopoly control over data services for the residential market," said Wilson.
HiSAC is an advocacy group acting on behalf of households, home/office businesses and telecommuters who now have only one company -- their local Baby Bell -- to get high-speed data services such as DSL (Digital Subscriber Line).
The Federal Communications Commission (FCC) and the California Public Utilities Commission (PUC) are now considering whether Baby Bell companies must offer new DSL companies equal access to the local phone networks. Unfortunately, one or both commissions may make a hurried decision on the issue without adequate input from public interest and consumer groups that are trying to prevent the Baby Bells from establishing a new monopoly.
"This is about monopoly power over the 'last mile of copper' for home access to high-speed Internet service," Wilson said. "Consumers have their choice of several long distance carriers and mobile phone services, but they still have only one choice when it comes to DSL service. The FCC and California PUC must avoid a rush to judgement until consumers have had a fair opportunity to make their opinions heard."
DSL is a new technology that gives consumers the same high-speed data capacity that businesses now have. DSL technology also makes it possible to connect to the Internet over the same phone line that carries a home's existing telephone service. This breakthrough feature, known as "line sharing," allows homes to add DSL service without installing and paying for another phone line.
DSL service is now being offered to households on a limited basis by several regional Baby Bell companies such as U.S. West and SBC. Even though their DSL service is no faster or better, these Baby Bell companies are charging monthly rates at least 100 percent higher than what new Internet companies will charge.
Line Sharing Will Create Competition
While the newer companies offering DSL service are asking the Baby Bells to share local phone lines, Baby Bells and other large companies, known as Independent Local Exchange Carriers (ILECs), are trying to prevent competitive access.
In many cases, ILECs insist that the newer companies (known as Competitive Local Exchange Carriers, or CLECs) provide both voice and data service, a tactic that unnecessarily raises the price that consumers would have to pay. The tactic has forced many of the original CLECs to focus on providing DSL and telephone service to the corporate market, where competition is more open.
"If consumers are ever going to receive the cost benefits that competition brings, the federal government and states need to open up local phone lines to innovation and spur competition," said Wilson.
HiSAC is advocating freedom of choice for consumers, allowing multiple companies to compete for the privilege of providing data services to the home without forcing them to also provide traditional phone service. "Just as consumers don't have to switch phone companies when selecting a long distance carrier, they should be able to select a data service company that is different than the company that provides their voice service," added Wilson.
Ending the "World Wide Wait"
Residential DSL service is an alternative technology that is up to 10-20 times faster than 56 Kbps modem-based Internet access. It should not be confused with Internet access offered by some cable television companies.
"Although each company would establish its own rates, HiSAC projections show that proposed rates are considerably lower than cable access or DSL access through existing local phone companies," Wilson said.
Anyone who is tired of the "World Wide Wait" would benefit by the availability of high-speed access to the Internet. "Telecommuters, home-based businesses, students and others interested in finding information and putting their time to the best use possible are candidates for a high speed connection," said Wilson.
HiSAC's newly appointed executive director, David Wilson, is also a partner in the San Francisco law firm of Young, Vogl, Harlick, Wilson & Simpson, LLP, specializing in telecommunications and energy clients.
Wilson received his Juris Doctor degree from the University of California at Berkeley and his undergraduate degree from Georgetown University. He has successfully represented clients in legal proceedings involving telephone companies in several states, including California, Hawaii, Nebraska, New Mexico, Oregon and Texas.
The High Speed Access Coalition (HiSAC) was founded by companies and individuals interested in ensuring that American households benefit from the same competition and choice of service that large corporations have with high-speed Internet connections.
CONTACT: HiSAC | David Wilson, 415/291-1970 | dmw@bizlaw.com | or | Simon/McGarry Public Relations | Michael Adler, 650/596-5877 | madler@shandwick.com
[Copyright 1998, Business Wire] |