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Forums » Covad's Answer » Deja vu all over again
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All I want to know is.... »
« How is this service is not hindered by distance  
RadioDoc
58ef2c0
Premium,ExMod 2000-03
join:2000-05-11
·AT&T Midwest

Deja vu all over again

"that remove the bells from the equation"

So I see Covad has strung their own copper now, eh?

No CPE, "line powered". This is just POTS with different 'head end' equipment if you will. They still need the ILEC copper, they still can't get past a RT, and they still are at the mercy of regulatory whim.

Looks mostly like a way to recapture some of the cost of renting dry pairs by adding services to them beyond broadband. In this case they are putting analog phone signals back on it.

It's an interesting prospect, but it's just the same pig in a different dress.
--
Too many people and not enough eyes to see. º Too many churches and not enough truth.

IronChefMoto
Premium
join:2001-02-08
Alpharetta, GA

Re: Deja vu all over again

said by RadioDoc See Profile:

it's just the same pig in a different dress.
Weird...I haven't heard that since some buddies of mine saw my freshman college homecoming party date.

IronChefMorimoto

PGHammer

join:2003-06-09
Accokeek, MD
clubs:
·Comcast

Actually, it's a completely different pig.

What Covad is doing is going after traditional POTS customers (as opposed to broadband customers). By installing at the RT (instead of at the CO), Covad can basically provide *naked* VoIP at prices less than POTS (because Covad's lease fees will cover basically the *last half mile* from the RT to the customer, as opposed to CO-to-customer-including-RT fee they pay for traditional DSL coverage).

Covad's problem is that the ILECs (especially Verizon) are fully intending on removing copper from this *last half mile* (unless Verizon basically plans to give Covad the last half-mile, since it won't use it itself).

In the Verizon thread, there are several comments from Verizon itself on not only their FIOS FTTP services, but their plan of attack on their whole wired network. (Basically, Verizon plans on going copper-free by no later than 2012. *No* copper whatever (except within the customer premises).)

By overbuilding their entire network with fiber (that it doesn't have to share with anybody) Verizon is the biggest threat to CLECs that lease rack space from it (such as Covad). However, in providing voice services, Covad is very much in danger in getting caught in the wake of the *fiber effect* (where voice rates will drop so low that Verizon will basically be able to offer AYCE voice service within their network for nothing or next to nothing, just as they currently do on the Verizon Wireless network). Covad sees a way to gain *traditional* POTS customers by providing LPV; however, Verizon can trump that by providing low-cost or no-cost intra-network calling.

It's about to get seriously bloody.
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