Friday, July 25, 2008

Economy in the pooper = Internet subscriptions expendable?

We have wondered when or if the lagging economy would translate into fewer new Internet subscription requests (or rather, people electing to terminate that service). With gas and food prices what they are, times are tight and many people are having to think more strategically about what expenses are truly necessary. It’s definitely a tough call. Imagine being a small business and trying to make that decision? Or the parent of a high school-aged student?

An article in Telephony Online this week pointed out that AT&T cited a decline in home-based wire line Internet subscriptions when discussing its third-quarter earnings. AT&T Chief Financial Officer Rick Lindner mentions that the lost customers are “indicating they are not going to a competitor” and that many of these lost subscribers are trying to save costs by using their work/office-based Internet services instead of having that availability at home.

As Ed Gibbons from Telephony Online points out, “If these people have office Internet connections, they likely don’t have blue collars; they’re not bus drivers or waiters. They’re white-collar workers who would rather fill up their gas tanks than their phone lines. The irony, of course, is that if they were able to keep their broadband connections and work from home, they would likely reap much larger savings by not buying the gas needed to drive to and from work each day.”

As others have pointed out, stressful or uncertain economic times tend to quickly illustrate the value (or lack thereof) that consumers place on any given product – gas, disposable diapers, new sneakers, name-brand macaroni-and-cheese, to name a few. This draws into question something that contradicts much of the e-NC Authority’s cause…the profound economic value of broadband connectivity.

Monday, July 21, 2008

Universal broadband throw-down: McCain vs. Obama

The Washington Post has put together a healthy resource site for readers to examine the 2008 presidential campaign candidates for their position on various issues. In looking at this recently, it was made clear what a stark difference there is between Sen. McCain and Sen. Obama when it comes to looking at universal broadband as an economic driver. Did we mention it was a stark difference?

When each candidate was asked to name "the three most important things [they would do] to promote economic growth and prosperity," Sen. Obama noted universal broadband deployment, but the words "broadband" and "Internet" are completely missing from Sen. McCain's response. Now, Sen. McCain's answer to the question is longer than Sen. Obama's, but Sen. McCain only mentions the role of technology in economic stimulation after a short break (included in the text below). Both are worthy candidates and we certainly won't make a political recommendation here - but the differences between candidates when it comes to universal broadband access is worth pointing out.

Here's how it went down...

Q:
WHAT ARE THE THREE MOST IMPORTANT THINGS YOU WOULD DO TO PROMOTE ECONOMIC GROWTH AND PROSPERITY?

SEN. OBAMA'S RESPONSE:
First, I will make strategic, long-term investments into American infrastructure to create more high-wage jobs. I will expand federal funding for basic research, make the tax credit for research and development permanent, and expand the deployment of broadband technology, so that businesses can invest in innovation and create high-paying, secure jobs. And I will make investments in education, training, and workforce development so that Americans can leverage our strengths -- our ingenuity and entrepreneurialism -- to create new high-wage jobs and prosper in a world economy. Second, I will fight against trade agreements that undermine American competitiveness and use trade as a tool to grow American jobs. I will use trade agreements to spread good labor and environmental standards around the world and stand firm against agreements like the Central American Free Trade Agreement (CAFTA) that fail to live up to those important benchmarks. Third, I will promote digital inclusion. Getting broadband Internet access into every home and business in urban America at an affordable rate could give low-income people increased opportunities to start businesses and engage actively in our communities.

SEN. McCAIN'S RESPONSE:
I am committed to pursuing a pro-growth economic agenda. First, we must minimize the burden of the federal government on entrepreneurs and the private sector by keeping spending under control and taxes low. We should keep income taxes low by making the tax cuts permanent, thus eliminating the threat of a crippling tax increase in 2011, by repealing the Alternative Minimum Tax, and also by making it more difficult for Congress to raise taxes by requiring a three-fifths, super-majority vote in order to pass a tax increase. But low taxes work best when accompanied by low spending. To limit spending, we must eliminate pork-barrel spending and reform entitlement programs. Opening markets for American goods and services is indispensable to our future prosperity. We can compete with anyone. American leadership on trade is critical to a vibrant world economy and to ensure access to new markets which will benefit our businesses, workers, farmers, and ranchers. Ninety-five percent of the world's customers are outside our borders, so it makes sense to try to reach more of them with our products and services by concluding more trade agreements tied to vigorous enforcement. Over the past fifty years, efforts to reduce global barriers to trade have raised U.S. incomes by $1 trillion every year - a $3,500 'trade refund' for every man, woman, and child in the United States. We also benefit from direct investment in our nation. Americans do not shy away from the challenge of competition: they welcome it. Because of that, we attract foreign investment from across the world. Trade has also contributed to our low unemployment and inflation rates. But the benefits we enjoy today can easily be gone tomorrow if governments travel the road of protectionism to failure. We must stand firmly against such economic isolationism today to ensure America's prosperity tomorrow. America has succeeded because we've more willing to embrace and encourage economic change more than most of our competitors. *break* Additionally, a strong tech industry is critical to our continued prosperity. Maintaining our tech edge requires robust basic research, a highly skilled workforce, and a healthy investment climate. We must support our tech industry with smart policies that make basic research a priority, improve our schools to produce graduates with strong math and science skills, make our immigration system friendlier to the world's tech innovators, and make our tax system and patent laws innovation friendly.

Friday, July 11, 2008

North Carolina leadership in interactive video

North Carolina’s First Interactive Video to Universities: 1984
MCNC (known then as the Microelectronic Center of North Carolina) began a network known as CONCERT to carry courses in the sciences out from UNC-Chapel Hill, N.C. State, Duke and Wake Forest to other universities and employees at high-tech companies. The CONCERT name was changed to NCREN in 1992. And with the advent of the N.C. Information Highway, all of its constituent institutions were added to this network. University courses were carried over both CONCERT and NCREN to spread the offering of scarce courses to universities, institutions and organizations that were otherwise unable to provide a very diverse set of courses. For example, Appalachian State University and the UNC-Asheville could not offer a diverse enough set of courses for majoring in something like, say, the German language. Resources from Appalachian State University and UNC-Asheville banded together to enable a German degree by using NCREN.

Originally, CONCERT used microwave towers and then moved predominantly to leased, fiber-based infrastructure and services for NCREN. The MCNC network was full motion, two-way interactive (and high quality) video for distance education, video conferencing and telemedicine. It also carried very high-speed data for research purposes among the university campuses in North Carolina.

North Carolina’s First Interactive Video Over Fiber to Schools: 1994
It took almost 10 years from the first interactive video to spread across North Carolina – a full motion, two-way interactive video at 45 Mb, delivered over an ATM Sonet fiber network here in North Carolina (piloted in Wilmington and Charlotte as Vision Carolina), and then named the N.C. Information Highway. It first offered services in August 1994 to deliver courses to high schools and community colleges. That network was built by telecommunication carriers in North Carolina – then known as Sprint, BellSouth and GTE – as well as telephone cooperatives and independent telephone companies. These carriers are known today as Embarq, AT&T and Verizon. The state paid for video services in the same way it would pay for telephone services (it did not own this network; the private sector and nonprofit telephone cooperatives did).

Initially, the network carried video to more than 70 high schools, enabling them to offer many science and technology courses that would not otherwise be available. Other courses were subsequently developed so that schools could receive language courses and advanced placement (AP) courses that were not taught in these schools because of lack of certified teachers. Shortly thereafter, 21 of North Carolina’s 50 community colleges also joined the network. Again, scarce resources were utilized across the system to spread educational content from one corner of the state to another.

The N.C. General Assembly was a leader and pioneer in funding the N.C. Information Highway. And private sector companies – be they wireline carriers, independent wireline carriers or telephone cooperatives – joined in this public-private partnership to deploy this first fiber-switched broadband ATM network in the world.

And here’s the kicker – it was the largest network of its kind in the world at that time. Right here in North Carolina. Can you believe that?

Such an awful shame that now the state and nation have fallen so far behind…

Thursday, July 3, 2008

Move Over Vista

“Build a better mousetrap and the world will beat a path to you door.” So said Emerson. And that seems to be the mantra at Microsoft. The company debuted its latest work-in-progress, Windows 7, at the Wall Street Journal’s D: All Things Digital Conference (D6) in May. There was, I’m sure, a global sigh of relief. Many of us had been holding our collective breath in anticipation of Vista revisited, which we feared might produce a gangly operating system with a set of steroid-enhanced service packs. But, apparently, the techno Gods have spoken and there will be no Vista, Jr. At least not for now. (Let us pause a moment and give thanks.) Okay, time’s up. Let’s talk about Windows 7.

At this stage, Microsoft is being uncharacteristically low-key when discussing the platform. There’s been no talk of grand marketing plans or beta release schedules. However, the D6 Conference allowed the company to drop a few hints (very few) about what we can expect when Windows 7 appears in stores late 2009 or early 2010.

“Multi-touch” was the buzzword. Microsoft has long been at work on multi-touch technologies. In 2007, the company unveiled Surface, an interactive digital table computer aimed at hotels, casinos, restaurants, etc. More recently, a multi-touch office whiteboard called TouchWall has garnered attention. Windows 7 appears to build on the Surface and TouchWall projects, and it also incorporates supporting technologies from N-trig and Tyco Electronics to create multi-touch features for laptops and PCs. Such touch screen technologies (think Apple’s iPhone) will give our fingertips the capacity to open applications, move and resize images, rotate a globe, navigate maps, draw, and play a virtual piano. If you’ve got a moment, click here to see Microsoft’s six-minute demonstration. Pressed for time? Click here for a two-minute version of the demonstration. Nice, huh? But don’t throw your mouse out just yet, okay?

Beyond the touch screen wonders showcased at D6, other Windows 7 details have emerged from talks and interviews with Microsoft executives. In a recent interview with cnetNews.com, Steven Sinofsky, senior vice president, Windows and Windows Live Engineering, indicated that we can look forward to fewer compatibility challenges, so drivers and software that work on Vista should work with Windows 7. And Sinofsky signaled that Windows 7 will be available in 32-bit and 64-bit versions. We can also expect a leaner kernel, according to Microsoft engineer Eric Traut. Speaking on the topic of virtualization at the University of Illinois in October 2007, Traut described work that has been done to refine the kernel architecture. The resulting microkernel, known internally as MinWin, will likely be the basis for forthcoming products. For Windows 7, this could translate into a smaller OS memory footprint, better security, and increased system speed. To illustrate this concept, Traut showed a rendering of MinWin consisting of 100 files, which took up 25 Mb of disk space and ran in 40 Mb of RAM. Just an ever so tiny glimpse of the future. And for now that’s all we know about Vista’s successor.

Up next, developers can get a peek under the hood of Windows 7 at the 2008 Microsoft Professional Developers Conference, which takes place October 27-30 in Los Angeles. Scheduled Windows 7 sessions include: “Touch Computing,” “Web Services in Native Code,” “Graphic Advances,” and a decidedly eco-friendly offering – “Optimizing for Energy Efficiency and Battery Life.”

Hmmm…could Windows 7 possibly have a green alter ego? Guess we’ll just have to wait and see.

Tuesday, July 1, 2008

A Crescendo of a Video

We recently wrapped production of the video below, intended as a general piece that would promote the value of broadband deployment as an economic fixture in North Carolina (and by extension, the nation as a whole). It is a unique visual style and we are thrilled with the results. Moving forward, we are sure to find plenty of opportunities to use this at community meetings, legislative briefings and the myriad occasions in which we are asked to provide remarks and data at large presentations and events. Hope you like it...