peterm@sumax.seattleu.edu> (05/18/91)
The March CWA "Information Industry Report" chimes in on the theme
"Local Exchange Carriers to Face Growing Competition."
The CWA view is that "Within the next five to ten years, the major
local exchange carriers, including all the RBOCs, will face growing
competition for local phone service from a variety of companies," and
that "These developments have major implications ... for residential
customers." According to the CWA report, among these implications are
that "Residential customers, particularly low and middle income users,
will face rising rates ..."
This report claims also that "The most serious challenge to the
existing wired systems comes from the cable television companies and
personal communication networks," noting that cable companies "are
taking a dual approach to preparing for local phone service:
1) they plan to upgrade ... to handle phone calls...;
2) they will enter into partnerships with (or develop on their own)
cellular systems or [PCNs] to combine the advantages of mobile radio
... and cable transmission between transmitters and switches."
The "Information Industry Report" notes Time Warner, the second
largest cable system operator, announced in early March beginning of
construction on the first two-way interactive cable system; and that,
also in March, four cable systems were granted FCC licenses to test
PCNs.
The 23:00 News and Mail Service - +1 206 292 9048 - Seattle, WA USA
PEP, V.32, V.42