Re: Future of landline telephone service?

Posted by sotxbill on December 05, 2014 at 08:50:05 from (104.5.24.112):

In Reply to: Future of landline telephone service? posted by jocco on December 04, 2014 at 16:33:58:

FCC regulation killed off the phone companies years ago. If they put in new plant, they have to let their competitors used it at a 40% discount. When that rule passed, all phone companies quit investing in copper plant.

Verizon sold off all the non profit rural areas sometime back to a company the later went broke. Rural areas have always cost more money than they paid. The OLD phone companies were set up under a monopoly to make a profit over 40 years. This 40 year payback does not work when you have to let your competitors come in and use your cable at a loss.

Landlines have slowly decreased to less than 50% of what they were at the peak. So phone companies have slowly laid off employees to keep cost down and stay profitable on the "landline" side of the business. If it were not for other business, like data, private lines, and cellular, they would have shut down years ago. So yes, there are less and less employees to repair you line or put in new copper.

Phone companies dont have to let competitor use its fiber or digital plant so they only invest in those areas. So new buildings and subdivisions are served off fiber only, or a combination of fiber from the central office and then copper for the last mile.

Before you get in a uproar...do you buy a house a let your neighbors live in it for less than the cost? Do you buy tractors and let your neighbors use it for the price of fuel only? Do you let anyone come plant your field and take the crops off for 10 cents an acre?

It seems that companies dont continue to do business when they are losing money. And that is exactly why they are getting the laws changed. It seems that in America, You cant legally force a company to loose money.

Therefore the landline business will slowly die off to a fiber/cellular model. Yes it will take years but will happen. Someday when you landline goes out, they will show up with a cellular modem and plug your old phone into it. Its already happening.

Becareful on the internet "net nuetrality" issue as if the fcc regulates that, you will not see it continue to grow as it has. Most folks have no clue about the real issues and think its about blocking packets, when infact its totally different. That why even the FCC when they finally look at the facts, realize if they pass the law, the block all growth and improvements by private companies. In spite of what google says, google want to stop any and all competition and corner the market and harvest your privacy info. They were the ones who started the incorrect and totally false rumors about qos, video and voice services being overlaid on the internet in real time services. If these new intelligent net is built, you will then no longer need the catv company as the internet will have the intelligence to handle real time packets vrs pure data packets. This medthod is already install in ALL private networks and overseas. Google will not longer have a chance the look at all your packets and see what ads to sell you.

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