September 29, 2006

Rural Areas Left in Slow Lane of High-Speed Data Highway - New York Times

Rural Areas Left in Slow Lane of High-Speed Data Highway - New York Times

A reasonably fair and balanced piece by Ken Belson that describes the realities of the telecom dilemma in Vermont. While the local subsidy (high cost support) issue is discussed, there is no explanantion why Verizon receives only a tenth the subsidy of Vermont Telecom. That question deserves at least a simple direct answer in a piece like this

The other missing piece is comment from Vermont's Public Service Board or the Department of Public Service.

The question implicitly raised, but left unanswered, is whether broadband access to very rural areas should be subsidized.

Lot's of grist for the telecom mill in Vermont!

The reality is that customer density supports investment of limited capital for companies to make a reasonable return in a competitive environment. If social policy dictates more widespread deployment of technology, then subsidies are required. It really is that simple. The complexity comes when writing the rules.

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