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20th Century Model. Build and MAINTAIN a VOICE Network Long Term Planning Backward Compatibility Average pricing concept Geographic franchise. Long Term Planning. 3 - 5 years reaction time for service demand highly mechanized systems to reduce unit cost TIRKS. 40 Years.

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Presentation Transcript
20th century model
20th Century Model
  • Build and MAINTAIN a VOICE Network
  • Long Term Planning
  • Backward Compatibility
  • Average pricing concept
  • Geographic franchise
long term planning
Long Term Planning
  • 3 - 5 years reaction time for service demand
  • highly mechanized systems to reduce unit cost
  • TIRKS
40 years
40 Years
  • Emphasis on high quality
  • Long useful life
  • 2.5% ammortization
building a phonebox
Building a “PhoneBox”
  • Built like Rock of Gibralter
  • Single Occupant
  • Single Owner
  • All common space
  • External security
  • All common power
  • Integrated design
unfriendly legal matters
Unfriendly Legal Matters
  • CarterFone - 1969
  • Modified Final Judgement - 1984
  • Judge Harold Greene
  • Telecom Act 1996
  • FCC Unbundled Services
what s in your wallet
What’s in YOUR Wallet?
  • Open Network Architecture
  • External Security
  • Internal Security
  • Expensive
  • Unwieldy
  • Messy, ugly, etc.
  • Not designed for it.
unbundled loop
Unbundled Loop
  • Spur competition
  • Congressional Direction
  • FCC interpretation
  • Stifled competition
  • Delayed implementation
  • DSL
video vs old model
Video vs. Old Model
  • Short Interval
  • Reactive delivery
  • Overlay Networks
  • Specialized Techs, Tools, Processes
  • Labor Intensive
  • Small Base
  • Double Overhead
  • TLC Required
new developments
New Developments
  • Rapid technical advances
  • FCC mandates
  • New services are needed
  • Latest delivery vehicle demanded
bargains actively sought
Bargains Actively Sought
  • Smart and frugal buyers
  • Outsmart tariffs
  • Comparison shoppers
  • Cancel delivery in favor of a better deal
video services not profitable
Video Services Not Profitable
  • Acute specialization
  • Low volume
  • No cross application
  • Double overhead
  • Demographics
  • Situation deteriorating
  • New capital required
dark shadows
Dark Shadows
  • The prognosis is grim
  • Demographics
  • “Sun City, here we come!”
  • Retiring Video Specialists not replaced
  • New Owners are entrepeneurs
old model rx
Old Model Rx
  • Get Pro-active
  • Increase service base
  • Commit to terrestrial transport
  • Contract for services over a broad area
  • 3 - 5 year window
21st century model
21st Century Model
  • It’s all IP
  • Data Centers
  • Stingers, DSLAM and the DSL Motel
  • Follows the talent
  • “Legal” friendly
data centers
Vast capacity

Superb facilities

POWER

SECURITY

Flexible accomodations

Vast array of technical services

Vast array of support services

APPLICATIONS support services

Data Centers
stinger dslam
SAC locations

Companion cabinets

Commercial Power

Battery back-up

xDSL capable of 20 megabits

CLEC “guests”

access to all distribution cable pairs

all levels of “feeder” services available

Stinger/DSLAM
qwest internet
Not a Telephone Co.

Buildings not Single Family

OSP not ONA or “unbundled”

IP, data, voice, video

Data Centers designed to serve “guests”

Stinger Motels provide “remote co-location”

Qwest = Internet
video 21st cent model
IP video transport

Data Centers house TV applications

“Pipe” synergies

Application expertise

Mainstream transport

“Future” model

No longer “fighting the system

New technical elite

Video & 21st Cent. Model
video transport power
Emerging needs, HDTV, Digital Cinema

Huge bandwidth

Volume discounts

Become a major market

Great revenue potential

Working Partnerships

Video Transport Power
vsf 21st century rx
VSF 21st Century RX
  • Embrace the new model
  • Lead the industry
  • Drive the standards to include video
  • Drive the standards to FEATURE video
  • Build the boxes
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