Showing posts with label access. Show all posts
Showing posts with label access. Show all posts
Monday, February 13, 2017
Average U S Internet Access Speeds are Highly Dynamic
Average U S Internet Access Speeds are Highly Dynamic
If in the second quarter of 2016, average connection speeds in U.S. cities ranged from 17 Mbps to 24 Mbps, while Internet service providers are selling gigabit access, as well as services in the 100 Mbps to 300 Mbps range, it is obvious that most consumers are not buying either gigabit or hundreds-of-megabits services.
On the other hand, speeds are increasing rapidly. In fact, according to Okla, fixed network customers in the first half of 2016 got an average of over 50 Mbps for the first time ever.
That represents a speed improvement of more than a 40 percent since July 2015.
Similarly, mobile Internet access customers saw speeds improve by more than 30 percent since last year, with an average download speed of 19.27 Mbps in the first six months of 2016.
In other words, by some measures, mobile Internet access download speeds are as fast, or nearly as fast, as the “average” U.S. fixed network connection in at least some cities.
Just as important are http://howtomonetizeeverything.blogspot.com /2016/08/over-15-years-average-internet-speed.html" style="text-decoration: none;">speed differences between various ISPs. Where Google Fiber might offer an average speed in excess of 300 Mbps, Comcast and other cable TV ISPs might average about 50 Mbps to 45 Mbps. Telcos tend to deliver slower speeds than that, with the exception of Verizon FiOS, which has an average speed of about 50 Mbps.
source: Ookla
source: Ookla
Available link for download
Saturday, January 28, 2017
New Special Access Rules Could Lower Frontier Revenue Modestly
New Special Access Rules Could Lower Frontier Revenue Modestly
Lower price caps for special access services (“business data services”) will be the result of proposed Federal Communications Commission rules. The moves will mean lower prices for enterprises and service providers who do not own fixed network assets, and lower revenues for firms with such assets.
AT&T will suffer the most, with Verizon, CenturyLink and Frontier Communications also losing revenue.
The proposed rules call for a one-time downward adjustment of 11 percent, phased in over three years, beginning in July 2017 (three percent in year one, four percent in year two, and four percent in year three).
As always, there are trade-offs. Enterprises will get rate relief. But lower investment in new facilities will happen, says Zacks Equity Research.
Though Frontier Communications once argued the FCC rules would not affect its revenue, Frontier now estimates the rules, if implemented on July 1, 2017, will have a revenue impact of approximately $10 million in 2017, $20 million in 2018 and 2019, with subsequent annual impacts declining after that.
Some estimate the rules will reduce overall industry revenue by $1.6 billion or so, per year.
The Communications Workers of America also anticipates lower investment and lower revenue will mean lost jobs as well.
Perhaps the biggest long-term impact will be felt by cable TV operators who supply such services, as the new rules appear to bring the cable TV industry into the framework for the first time.
The FCC has received confidential information on service provider revenues, without releasing that information, so it is difficult to predict precisely how much revenue might be affected the proposed rules, beyond what Frontier estimates.
source: Bloomberg
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