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February 25, 2012

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Infostack

A combination of competitive service providers and terminating settlements is what is necessary for universal service. Metcalfe's law makes it apparent that the value of network increases geometrically while per unit/line costs drop by Moore's law. Competitive (WAN) service providers built very sustainable models that allowed "free access" but the bells and govt (disingenuously) conspired to stop that process. Today it is facebook, google et al. But there is a disconnect with the lower layers and no way to get the revenue models generated from the core to pay for investment on the originating or terminating access. The pricing plans and business models of the vertically integrated oligopolies is seriously flawed and cannot keep pace with technological change. Unfortunately I do not think a technical solution is the way to go; it is but one necessary ingredient. Keep up the good fight!

jason@Think 7

Great blog thanks for sharing, some really interesting facts!

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