Internet Ventures Inc. this week announced
that its PerkiNet affiliate has begun delivering residential broadband
Internet access over Ashland Fiber
Network, a locally-owned cable network in Ashland, Ore.
The City of Ashland decided to develop and install the cable network as a
telecommunications infrastructure in July 1998. Initially, the ambitious
plan was designed to interconnect the Electric Department with other
institutions, including educational, and health-care facilities.
The result of Ashland’s efforts has produced a cutting-edge broadband
platform that will provide local citizens advanced data, video, and voice
services.
Infostructure, an IVI affiliate, is the
first of five ISPs that will be competing for Internet customers over the
Ashland Fiber Network. Ironically, IVI was denied carriage by cable systems
incumbent Charter
Communications in Ashland, and other Northwest cities.
Don Janke, IVI president, said that cable access consumers are best served
by competition in the marketplace, even if a locality has to build the
delivery system.
“While the Federal Communications
Commission continues to wait for marketplace solutions, the City of
Ashland is proving that, like all monopolies, cable will not change its
ways absent government action,”
Janke said.
IVI petitioned the FCC to enforce its “leased access” petition for access
to proprietary cable systems last fall. The FCC has not ruled on the
petition, but Janke said he expected that the federal regulators would deny
the order.
“The tragedy is that were the FCC to enforce leased access requirements
upon cable operators regarding ISPs, cities would not have to spend
taxpayer money for municipal overbuilds in order to bring the benefits of
competition to their residents,” Janke said.
Ashland budgeted $5 million for the construction of the fiber optics ring
and distribution system. The city projects it will make about $587,046 a
year by providing the populace with advanced cable communication services
and will save more than $800,000 in utilities in about 10-years.
ISPs utilizing the Ashland network pay the city a flat rate of $15 per
subscriber. Infostructure charges $33 for monthly broadband access. The fee
includes a rented cable modem, five e-mail accounts, and technical support.
The same service is available for $25 each month if a subscriber purchases
a cable modem, rather than renting.
