Defining Business Dynamics of Broadband Communications
December 19, 2009 Leave a comment
Hunter Newby is on a mission. A mission to tear down the shroud of confusion preventing Americans from being wired into global communications at the same level as our neighbors in Asia or Europe. It is all about delivering broadband communications to every addressable device or person wired into the global communications matrix.
Hunter, CEO of Allied Fiber, is on a mission to build and deliver high capacity utility fiber optic infrastructure around the United States, connecting every possible carrier hotel, metro fiber provider, wireless tower, and international cable landing station into a nation-wide, neutral communications resource that will push the United States to achieve our economic, social, and academic goals.
“Fiber as a term is very over-used and misunderstood. Defining what “fiber” means in the context of a conversation, business opportunity, route, or all of the above is essential, or else you can totally miss the point.” (Hunter Newby)
Allied Fiber is Not Alone
Kaufman Brothers (KBRO), a New York investment banking company is sponsoring an event on January 12th in New York entitled “Technology Trends 2010.” One session within the conference is “Bandwidth: The Increasing Value of Fiber.”
Bringing together thought leaders from broadband companies, who would normally compete with the national carriers such as AT&T, Verizon, QWEST, and Level 3, the conference will address and debate the misconceptions of delivering broadband telecom access to the country, as well as establish a framework of how the emerging fiber industry may help the US meet its broadband objectives.
During this panel we will help define the differences between various forms of fiber and their consequent value, including routes (metro vs. regional vs. long-haul), locations (residential vs. enterprise vs. data center), and services (dark fiber vs. private line vs. Ethernet). We will also more broadly discuss some of the drivers for bandwidth growth including increasing low latency requirements, use of online video and storage/SaaS/cloud computing, as well as the necessary requirements to provide fiber-to-the-tower backhaul. (TMC/KBRO)
If you listen to the marketing story of large carriers, the issue with broadband and emerging applications, such as video over Internet, is that carriers cannot afford to build and deliver the infrastructure needed to support the applications without creating a new model of internet traffic shaping and pricing.
In short, this means that carriers are currently concerned with controlling and managing application development and growth – and not as concerned with the vision of how our communications infrastructure should be designed and prepared to meet the “wired” needs of our next generations of users.
Or in even shorter and simpler terms, an 8 year old school girl in Bemidji has an expectation that we (as an industry) will deliver her a physical platform that gives her the tools to diffuse 21st century technology into her life at a rate which exceeds her counterparts in Seoul.
The Role of Thought Leaders and Investment Bankers
Industry leaders such as Hunter Newby and Dan Caruso (another panel member at the KBRO conference) have been digging up the ground, laying fiber, building data centers, and supporting the telecom and Internet community for a couple decades.
Offended by hype, these guys have earned their tacit knowledge and tacit experience campaign ribbons through many years of living and designing the telecom infrastructure we are using today. They have worked alongside, and even directed, much of the laundry list of industry pundits who grace the media with dazzling visions of the future.
Once the dazzle settles, the thought leaders and investment bankers role up their sleeves and start planting development milestones on paper.
And for a country the size of the United States, those milestones depend on both building, and understanding the dynamics of fiber optic infrastructure. Lots of fiber optic infrastructure. And questions…
For example, is the fiber “dark, or lit”? If it is dark, is it available for lease? What is the age of the fiber? What type of fiber is it (NZDSF, or SMF)? Where can it be accessed along the route – only in the regen colos (regeneration sites with adjacent collocation)? Are they carrier-neutral colo’s? What are the terms and costs associated with the lease, or IRU? What route does the fiber take? Is it diverse from other routes? Is the route shorter than other routes thus producing a lower latency between the endpoints than other longer routes? Are there wireless towers that can be easily accessed by the fiber? And so on… (Hunter Newby)
Americans Can Sleep Well Tonight
Knowing there is a growing movement within our senior telecommunications industry through leadership should give us some “peace of mind.” While day-to-day we may worry about job loss, inflation, mortgages, and clawing our way ahead, it is easy to lose track of what infrastructure is needed to keep our country competitive.
While the average person may read about Hunter Newby, Dan Caruso, and other soldiers in the infrastructure army thinking “well, that is nice – not sure how it applies to me…,” the reality is your 8 year old daughter depends on them to get it right.
Your 8 year old daughter in Bemidji, Minnesota, is growing up in a global community and economy. She is no longer competing with a girl in Thief River Falls or Baudette, she is competing with an 8 year old girl in Seoul, Ramallah, or Singapore.
To compete she will need access to all the broadband access and available network-enabled applications that will be available to other 8 year old girls throughout the world.
Hunter knows this, the investment banking community is waking up to both the opportunity and responsibility, the fiber companies are energized, and now we need to be thankful the telecom thought leadership community has prioritized our personal and national interests.
The new generations will have Gigabit access to wireless networks, home access to fiber networks, business access to broadband networks – as a country the United States will get wired. We will be competitive in the global wired world, and the 8 year old girl in Bemidji will have access to every possible utility and intellectual tool she needs.
Take no prisoners guys…