Thursday, April 20, 2006

Cisco Devised Priority Access??

Cisco wrote a white paper last April about how last mile owners could create a revenue-sharing multi-lane information superhighway. It was illegal until the FCC unregulated the BOCs and removed common carriage rules. It's always about money:
"Amid all this legal chaos, the telecom and cable providers are still struggling to figure out how to profit from the vast new market for online services. The three largest telecommunications companies—Verizon, AT&T and Bell South (which was bought by AT&T pending regulatory approval)—all had their profits drop in 2005, the latter two by double-digit percentages. Comcast, the nation’s largest cable company, saw its profits shrink by 4.3 percent. In contrast, content providers are taking it to the bank. Google’s profits increased 267 percent, Yahoo's 126 percent and eBay’s 39 percent. Google, whose $6.1 billion in revenue is less than half of Qwest’s and 1/12 of Verizon’s, has a market cap higher than any telecommunications or cable company."

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