Price Spurs Demand for Triple-Play’s

Bear Stearns Finds Consumers View Services As Commodities By Linda Moss -- Multichannel News, 3/6/2008 2:53:00 PM

Price is the key factor driving demand for video, broadband and voice services, according to consumer research conducted by Bear Stearns.

“Our survey finds that users continue to view these services as ‘commodity-like’ with price the primary driver of demand,” the Wall Street firm said in a report by analyst Spencer Wang.

For its 2008 Communications Survey, Bear Stearns surveyed nearly 1,000 consumers.

“Consistent with our prior work, our survey finds that across all three products categories, price is the top factor affecting demand,” Wang wrote. “This implies that consumers view communication services as fairly ‘commodity-like,’ and that as competition rises, pricing power may wane. However, we still expect rational pricing given the oligopoly structure of the industry, although average revenue per user growth will likely slow going forward with more competition.”

Click here for the full story.

Comcast’s Blast service - Doubling its Broadband Speed

Comcast has achieved its competitive edge by offering Blast, a new tier of broadband Internet service which allows for the 16 Mbps downloads. That’s nearly twice the speed of its own Performance Plus service which averages 10 megabits per second. Speeds for uploads are also increasing from 768 kilobits per second to 2 Mbps. AT&T plans to counter Comcast’s new service by offering its own service upgrade later this year.
Speeds up to 100 Mbps Planned in the Future

Comcast intends to further upgrade its broadband speed through a new standard called Docsis 3.0 which may deliver download speeds up to 100 Mbps by the end of the year. The technology may eventually allow for download speeds as high as 160 Mbps.

Time Warner to test Internet billing based on usage

Time Warner Cable Inc said on Wednesday it is planning a trial to bill high-speed Internet subscribers based on their amount of usage rather than a flat fee, the standard industry practice.

The second largest U.S. cable operator said it will test consumption-based billing with subscribers in Beaumont, Texas later this year as a part of a strategy to help reduce congestion of its network by a minority of consumers who pay the same monthly fee as light users.

The company believes the billing system will impact only heavy users, who account for around 5 percent of all customers but typically use more than half of the total network bandwidth, according to a company spokesman.

Slowing network congestion due to downloading of large media files such as video is a growing problem for Time Warner Cable. The company said the problem will worsen as video downloading becomes more popular.

Wi-Fi poaching spreading

There are an increasing number of instances of Internet users piggybacking onto other people's Wi-Fi networks, a security company has warned.

A full 54 percent of internet users admit to having used someone else's connection at least once, a survey from Sophos revealed. Many of those who have a wireless network have failed to secure it through passwords and encryption, the security software company warned. By not securing one's network, one leaves oneself open to hackers who are able to steal passwords and other confidential information. Graham Cluley, a senior technology consultant at Sophos, said: "Stealing Wi-Fi internet access may feel like a victimless crime, but it deprives ISPs of revenue. "Furthermore, if you've hopped onto your next door neighbors' wireless broadband connection to illegally download movies and music from the net, chances are that you are also slowing down their internet access."

By poaching one's neighbor's Internet connection, one may also be adversely affecting their download limit, added Mr Cluley.

Microsoft Unveils Pricing for Small Biz VoIP System

By Jennifer Hagendorf Follett, CMP Channel

While solution providers anxiously await the release of Microsoft's unified communications product portfolio later this month, the company in the meantime is making strides to bring its small business VoIP wares to market.

Microsoft on Tuesday said it has released its Response Point phone system to manufacturing, meaning that OEM partners D-Link and Quanta Computer will soon have general availability for products based on the software. Microsoft also said both partners will be pricing their products below $3,000.

Microsoft joins vendors such as 3Com, Cisco Systems and Digium in recently targeting VoIP systems at small businesses.

The systems, which include VoIP call processing and features such as voicemail, call forwarding and integration with Microsoft Outlook, are targeted at small-business customers with up to 50 users, though they will scale higher, said Jeff Smith, senior product manager at Microsoft, Redmond, Wash.

Microsoft's small business VoIP move comes two weeks ahead of the planned launch of Microsoft's Office Communications Server (OCS) 2007 and other communications products at a launch event in San Francisco on October 16. Smith noted that Response Point systems were built from the ground up as small business solutions and are not designed to work as branch office systems off of larger OCS deployments.

Two OEM partners, D-Link and Quanta, are preparing to ship product bundles within the next few months that package Microsoft software with their base hardware units, gateways and phones.

A VoIP Phone That Does Not Need A Broadband Connection

Acellus Announces Rollout of a VoIP Access Device That Does not Need a Broadband Connection

The modem equipped ATA (Analog Terminal Adapter) box will allow users to make inexpensive VoIP long distance calls over a regular phone line using only a dialup connection to the Internet.

Acellus Communications, Inc. (Pink Sheets: ALLU) announced today the rollout of a
device that will allow VoIP calls to be made over a regular phone line without the use of a computer. "This is the only stand alone device of its kind that we know of that can enable people to make long distance VoIP calls over a regular phone line," says company CEO Jeff Miller.

Conventional VoIP requires a broadband connection. Considering that there are almost 40 million people in the US alone that use dialup to connect to the Internet, the potential market for the device is substantial. In addition, Acellus has secured an exclusive with the OEM for distribution rights in the United States and is presently in negotiations with a major international VoIP carrier that has already tested the devices and is looking to utilize them on their network. Acellus plans on providing its own VoIP services in the future through an alliance with this carrier. More
news will follow as these negotiations progress.
Device Features:
* They will work anywhere the Internet can be accessed through a
landline phone service
* They will easily fit into a briefcase
* They provide clear quality sound
* Simply plug in a regular telephone to make calls
* They are inexpensive
* They will also work on a broadband connection
* They are very user friendly
* They don't affect regular phone service
* They work on any SIP based VoIP gateway

Distribution: Acellus plans to market the ATA box to large ISPs and conventional VoIP companies. The devices will allow these companies to market or pre-sell VoIP service in areas where broadband is currently not available. Since the devices will also work on broadband, customers can easily be converted to conventional VoIP service when it becomes available.

For more information contact CEO Jeff Miller: 800-899-2190 or jeff@acellus.net

8x8 Signs Exclusive Agreement with VoIP Service

Provider Exiting Market to Migrate Subscribers

8x8, Inc. provider of Packet8 (http://www.packet8.net) residential,
business and video Voice over Internet Protocol (VoIP) phone services,
today announced it has signed an agreement with a service provider that
will soon exit the VoIP market calling for the exclusive recommendation of
Packet8 as the replacement VoIP service for its soon-to-be-orphaned
subscribers.

According to the agreement, Packet8 will be the only brand presented
and promoted to the roughly 12,000 subscribers who will be left without
VoIP phone service after the company winds down its VoIP operations over
the next three months. In return, 8x8 will offer these subscribers a
specially-priced Packet8 monthly service plan along with a free month of
service, free activation, free shipping and a free Uniden 165P 5.8 GHz
cordless phone to transition to its award-winning VoIP phone service.

"We look forward to welcoming these VoIP consumers to the Packet8
family of subscribers," said 8x8 Vice President of Sales & Marketing Huw
Rees. "8x8 has been providing VoIP services since 2002 and, unlike many
competitors, has established a strong business model providing subscribers
with solid assurance that our service will be operational for the long term
and that our reputation for quality and reliability will be maintained."

Just over two months ago, SunRocket, the second largest independent
VoIP provider, announced it was shutting down its service and referring its
more than 200,000 subscribers to Packet8. 8x8, now the #2 standalone voice
and video service provider, was recently awarded its 69th U.S. patent for
proprietary VoIP technology employed in the Packet8 service. In addition to
residential service, 8x8 provides more than 8,000 U.S. based small
businesses with the Packet8 Virtual Office hosted iPBX complete business
phone solution.

How To Gain With Business VoIP

Business houses have a different set of requirements pertaining to communication since their key motive is to focus on networking with clients and maintaining a constant contact with their customers. With clients coming from all across the globe and same for their suppliers and dealers they need a cheaper mode of communication; one that would not only prove to be cost effective but will also help them in increasing the productivity of their organization.

With the competition going uphill with more companies entering into the business sphere, it is imperative that the organizations have to search for ways to cut down their cost and increase their savings. This is precisely what guarantees a long successful run of the business.

Click here for the entire story.http://www.blogger.com/img/gl.link.gif

FCC: Cable Must Carry Local Analog Signal for Three Years—and HD Forever

Late Tuesday the FCC ordered cable operators to provide HD signals of local broadcasters after the end of analog broadcasts in February 2009.

The unanimous commission also ordered that for three years after the analog shutoff, cable operators with analog subscribers would have to continue to provide analog signals by downconverting broadcasters’ DTV signals.

The commission did not go as far as requiring cablers to pass through every digital bit broadcasters provide.

Both NAB and the National Cable and Telecommunications Association praised the ruling, with NCTA calling the ruling the cable industry’s plan.

But not all NCTA members share that upbeat outlook. Comcast, for example, had told the FCC that forcing cable to carry both digital and analog channels would be “indefensible” and unconstitutional.

But NCTA President and CEO Kyle McSlarrow downplayed the dissent, saying that Comcast was a leader in aggressively asserting legal principles shared by the entire industry. Comcast Senior Director spokeswoman Sena Fitzmaurice declined to comment on the decision or whether Comcast would take it to court, saying only that the NCTA comments spoke for the company.

Small cable operators—those with less than 552 MHz capacity—got sympathy from some commissioners, but all they got in the order was a chance to apply for waivers to the new requirements. Democrat commissioner Jonathan Adelstein said the requirements could inhibit the rollout of other services, such as broadband Internet access, in smaller and rural communities. He also said the smaller systems should have received a blanket waiver instead of having to enlist Washington lawyers and apply for individual exemptions.

The American Cable Association said some of its members could shell out more then $150,000 in equipment to carry the multiple formats. The ruling will slow rural broadband rollout and, and some very small operators could be forced out of business, ACA said in a statement.

The order also calls for more comment on some carriage issues, including the specifics of how cable should handle or convert between 16:9 and 4:3 pictures, and how to further address the concerns of small cable operators.

Also late Tuesday, the commission ruled to extend, for another five years, the ban on exclusive programming contracts between cable operators and programmers with whom they are vertically integrated. The ban is designed to ensure that cable operators have access to programming owned by other cable companies or their owners. The commission gave a five-year extension to the ban in 2002 and will decide again in 2012 whether to let it sunset.

Hackers Marketing User Friendly Tools

Hacking kits which can launch automated attacks on are going on sale over the Internet, experts have warned.

Now cyber criminals can purchase specific viruses or a kit which allows them to devise their own kind of cyber attack, the BBC reports. Some of the hacking kits even promise a year of technical support upon purchase. An expert from the software security company Sana told the BBC that sites which offer hacking tools "are starting to pop up left and right".

"It's the classic verticalization of a market as it starts to mature." There is almost "no limit" to what money can buy when it comes to hacking tool kits, he added. Among the most popular hacking toolkits of last year was the infamous MPack. Over 16,000 PCs have been infected using the kit, which is a product of Russian hackers.

MPack usually sells from $500 to $1,000.

CyberData Introduces New VoIP Zone Controller, 4-Port Audio-Out

CyberData Corporation announced the release of its new VoIP Zone Controller, 4-Port Audio-Out. The Zone Controller is a SIP-endpoint that enables access to analog paging speakers through a VoIP phone system. Each of the 4 audio outputs is designed to interface with a standard analog paging amplifier. The zone control function is set up through its web interface and offers up to 15 programmable paging zone groups in addition to page-all.

"The zone controller allows for a cost effective migration from legacy phone systems to VoIP, utilizing existing analog paging systems," said Phillip Lembo, President of CyberData Corporation, "while saving installers and end users time and resources due to its ease of installation and its flexibility when configuring paging zone groups."

The CyberData's VoIP Zone Controller is scheduled for release on September 21, 2007 and can be purchased from a variety of distributors and resellers. Please visit CyberData's website for details.

The new VoIP Zone Controller, 4-Port Audio-Out will be on display at the Internet Telephony Conference & EXPO West 2007, September 10-12, 2007, booth 241, at the Los Angeles Convention Center in Los Angeles, California.

Businesses Fail To Secure Wireless

Businesses fail to secure wireless

Though wireless technology is in use by most businesses, many neglect to secure their wireless technology, a new survey from the National Computing Center (NCC) has found.

A full 40 percent of the businesses surveyed admitted that their wireless networks were either only partly secured or not secure at all. In addition, many companies have not secured their VoIP networks and are unaware of the security weakness posed by using USB devices. Stefan Foster, NCC managing director said: "Running unsecured Wi-Fi is like locking the front door, but leaving the windows open.

"Fraudsters are increasingly targeting IT systems and the growing use of Wi-Fi is attracting their attention both inside and outside of the office environment." The NCC survey also found that of the businesses who have VoIP, only 15 percent have bothered to secure their network.

Meanwhile, a recent survey carried out by Trend Micro revealed that mobile workers pay less attention to internet security than those who operate from an office.

Verizon Expands Broadband In Western Pennsylvania

Verizon has announced that it has rolled out its high-speed Internet services in new areas of Pennsylvania, giving more people access to broadband.

Over 4,300 phone lines were upgraded over the last few months so they could handle high-speed Internet, the company claims. New equipment has been installed in telecommunications facilities across eight of the most rural counties in the state.

William B Petersen, president of Verizon Pennsylvania, said: "Verizon is enabling more rural residents across Pennsylvania to make the high-speed connections that are important to them. "Verizon's ongoing, significant investment in Pennsylvania means that many more rural communities have access to affordable and reliable high-speed internet service."

Some of the counties involved have as few as 29 working phone lines. Meanwhile, Verizon has said that it is soon to release the LG VX8350 clamshell phone, the successor to the popular VX8300, reports IntoMobile.

Free VoIP Phone Calls Await Small Businesses.

A small VoIP vendor Fonality has announced a product that allows small to medium sized business to make free VoIP phone calls. The free software known as Trixbox Pro by Fonality Inc. and supports up to 20 employees that runs on nearly any PC and nearly all telephones. Click here for the story in PCWorld.

VoIP Outages Anger Users

Voip grows in popularity as prices continue to drop vs. traditional phone services. But if you have ever been the victim of an outage you know how frustrating it can be. Last month VoIP provider SunRocket closed their doors and shut off their service to 200,000 subscribers.

That's when a company called TeleBlend stepped in and with the help of various carriers are working to restore service to the old SunRocket customers. But SunRocket left such a mess of their company that it seems TeleBlend is having a difficult time maintaining service. On August 8, they had a disruption in their service, but are working with IP networking company Global Crossing and ex SunRocket customers who are the ones most affected. Click here for the full story.

DIRECTV Partners With CURRENT Group To Enable Broadband And VoIP Services

DIRECTV Partners With CURRENT Group To Enable Broadband And VoIP Services to Its Customers

DIRECTV, Inc. and CURRENT Group announced today a wholesale distribution agreement that will enable DIRECTV to offer its customers CURRENT's innovative BPL (Broadband Over Powerline) high-speed Internet service and VoIP services at the end of 2007/beginning of 2008. DIRECTV customers will be able to access the Internet by plugging a BPL modem into virtually any outlet in their home. This easy-to-use symmetrical service can send data faster than the typical cable modem service in use today. The increased upload speed is particularly important as users rely on greater
speeds to play interactive games or send significant volumes of digital content through the Internet.

Under the terms of the agreement, DIRECTV will have access to CURRENT's BPL network, initially in the Dallas/Fort Worth BPL network that will cover approximately 1.8 million homes and businesses over the next several years. DIRECTV will be able to market a bundle that includes DIRECTV high-speed Internet and VoIP services to its residential customers. In addition, the agreement provides DIRECTV the ability to add other geographic markets as CURRENT builds out its network. CURRENT's BPL network enables both Broadband services and Smart Grid solutions designed to improve efficiency and reliability while reducing the environmental impact of electric service.

"We are pleased to partner with DIRECTV to offer them the ability to bundle their world-renowned satellite video services together with BPL high- speed Internet and VoIP services," said Tom Casey, CURRENT's chief executive officer. "Consumers in Dallas will have a compelling new choice for their broadband service and, at the same time, feel good about the fact that the same Internet network is helping to improve the efficiency and reliability of the electric grid while reducing its environmental impact."

"Our agreement with CURRENT gives our customers another high-quality, easy-to-use option to pair broadband services with DIRECTV's video offerings," said Evan Grayer, vice president of Broadband for DIRECTV. "By choosing this bundled option, DIRECTV customers will now be able to enjoy fast, reliable and secure high-speed Internet service anywhere they have a power outlet in their homes."

LG Launches Multimedia Phone Through AT&T

The electronics giant LG has chosen AT&T to be the exclusive carrier for its cutting-edge new Trax multimedia phone.

Measuring four inches by two inches, the clamshell-configured device will be able to connect to AT&T's wireless video-sharing network. Set to retail for $130, the phone will become available on Tuesday through AT&T stores and online. Carlton Hill, vice president of Product Management for AT&T's wireless unit, commented: "The Trax by LG is more than a music phone.http://www.blogger.com/img/gl.link.gif

"With top-notch video and data capabilities, in addition to a sleek design, this device will hit the right note with many of our customers." Featured on the Trax will be AT&T Mobile Music, which can be used to download songs from subscription music services. Users will also be able to and AT&T's Cellular Video (CV) service. Through CV, one can watch channels such as CNN, iFilm, Comedy Central, HBO and the Weather Channel.

AT&T is also the exclusive carrier for Apple's iPhone, which was launched in July. Click here for more information on AT&T digital products and services.

How Much Net Speed Do You Need?

It's easy to get confused with all the broadband lingo being thrown around these days. DSL, ADSL, IDSL, Cable, Satellite, wireless, T1's, upload speeds, download speeds, VoIP, digital voice, it's enough to make your head explode. So here is a pretty good article in the San Jose Mercury News. It's short and sweet and to the point. Click here for the full story.

Government Rejects Internet Device

The Federal Communications Commission (FCC) has rejected a new device that several computer companies claim could beam the Internet over unused television airwaves.

According to the regulatory body, the device was not accurate enough in telling which television airwaves were unused, which could have ended up causing interference. However, the companies behind the device, which include Microsoft, Dell and Google, are convinced that it is accurate.

A representative of the coalition of companies, Edmond Thomas, said: "We intend to work with the FCC in order to identify the discrepancies in their tests with the tests we've done." The FCC has stated in the past that it would like to develop a way to send high-speed Internet over the unused television airwaves, known as white spaces.

By using white spaces, the Internet could be brought to those in rural areas and create more innovation. As a rule the use of white spaces is not popular with television broadcasters, as they fear interference. Recently, the FCC also ruled that all wireless carriers must allow their customers access to roaming for a reasonable cost.

Senate Will Discuss Rural Broadband Access

A number of communications experts have told Congressional staffers bringing broadband access and and Internet service to rural America is key to effective rural economic development.

In a Washington, D.C. meeting sponsored by the National Grange and the Grange Foundation, National Grange President William Steel told attendees, "A keystone infrastructure for rural communities in the 21st Century will be access to advanced telecommunications services like broadband and the Internet."

He then called for Congress to implement a basic rural telecommunications plan that deploys universal rural broadband for all citizens.

While the U.S. House version of the new Farm Bill, passed recently, did not address rural communication issues, broadband access is expected to be included in the Senate version of the legislation to be debated in the coming weeks.

Rural residents, regardless if they farm or not, can comment on the rural broadband access provisions to their U.S. Senators at www.congress.org.