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- THE SYNDICATE REPORT
- Bell Information Transmittal No.06
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- Released Sept. 28 1986
- Featuring:
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- Vanity Numbers (mgbt v1n6 8\28)
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- Long-Distance Data Transmission Statistics (mgbt v1n6 8\28)
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- ISDN- A Primer (cmptv avg 8\30)
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- Information on Fiber Optics (cptv avg 8\31)
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- Deregulation Interview: Tri-Co's Jim Blair V.P. (mgnet 9\5)
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- Written by The Sensei
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- The Syndicate Report is stictly Bell orientated information. Without some
- background, reading in this material could cause a problem to understand.
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- VANITY NUMBERS:
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- Vanity telephone numbers will be marketed in some parts of the country,
- according to the Wall Street Journal. Like vanity license plates, they will
- be names, nicknames or a special combination or letters and numbers...In
- another article, the Wall Street Journal reports that "big businesses generate
- more than half of all revenue from long-distance calls." It did not say
- howbig "big" is.
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- LONG-DISTANCE DATA TRANSMISSION STATISTICS:
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- In a test of data-transmission quality of six leading long-distance
- carriers, Data Communications and the Center for Communications Management
- Information, Ramsey, N.J., found AT&T rated best in eight, MCI best in six
- and GTE Sprint in one. AT&T was fastest in setting up a call; MCI had the
- lowest in error rate...Venture Development Corp., Natick, Mass., forecasts
- annual growth of 23.5 percent in modem shipments through 1991...VSAT stands
- for "Very Small Aperature Terminal," an emerging technology for receiving
- signals from high-powered satillites in the KU-Band of frequencies. AT&T
- has proposed VSAT-based data service for business customers. VSATs also will
- use for satellite-to-home television broadcasting.
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- ISDN- A PRIMER:
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- Integrated Services Digital Network, ISDN for short, is the emerging
- network concept that will change the way we commuicate both on the job and at
- home. ISDN has become a popular topic in trade and industry publications as
- manufacturers, end users, BOC's and numberous other entities grapple with the
- evolution of the network. Still, for people not involved on a day-to-day
- basis, the what, why, how and when of ISDN in unfamiliar. The following is
- a non-technical description of the ISDN concept and how it will serve the
- needs of and information processing society.
- ISDN Definition: The concept of ISDN first emerged in the European
- community and is not spreading globally, primarily to the United States and
- Japan at this time. The international communications standards bodies have
- defined an ISDN as "a network, in general evolving from the existing telephony
- digital network, that provides end-to-end digitial connectivity to support a
- wide range of services, including voice and non-voice services, to which
- users have access by a limited set of standard multipupose user-to-network
- interfaces".
- The major factor which characterizes an ISDN is the ability to use a
- single commuication channel for all forms of information transfer regardless
- of the source or original form of that information. It will be universally
- accessible by a wide assortment of devices, machines, and terminals.
- Picture this on ISDN: Junior is in his room, talking on the phone and
- playing a computer game -- with an opponent on another phone miles away. Mean-
- while, Mom is talking to her office getting ready to send a 50-page document
- over the wires. And Dad checks stock quotations displayed on a TV screen
- connected to a phone line.
- All of those different uses for the telephone -- voice, data, video --
- would be possible on just one telephone line if Integrated Services Digitial
- Network becomes a way of life.
-
- (ISDN- A Primer will continue in the next transmittal as more
- information is gathered.)
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- INFORMATION ON FIBER OPTICS:
- Fiber Optics technology is enjoying wide acceptance in the telecom.
- industry and is fast becoming the preferred transmission medium for new
- installations. This is due, in part, to the advantages fiber has over other
- methods and also to a decrease in the cost of fiber optics cable and system
- components.
- Fiber Optics was first commercially produced in 1979. Since the, the
- technology has matured and many improvements in capabilities and performace
- have been realized.
-
- The advantages of fiber optics over other transmission media include:
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- Superior bandwidth capability that is still increasing.
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- Resistance to temperature variation, rediation, and corrosion.
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- Immunity to electromagnetic and radio frequency interference.
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- Lower attenuation than metallic facilites, thus increasing the transmission
- distance without repeaters.
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- Extremely secure -- almost impossible to tap without detection.
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- DEREGULATION INTERVIEW: TRI-CO'S JIM BLAIR V.P.:
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- Interview done during a CB Interview, system unknown.
- The questions will be asked by "SYND" and the response by "BLAIR" himself.
- Jim Blair is the Assistant Vice President -- Regulatory Affairs
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- The Interview:
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- SYND: Why is deregulation so critical to the success of US WEST, and what
- happens if you do not get it?
-
- BLAIR: With deregulation, we are talking about doing business on the same
- basis as any other American company does business.
- There are numerous problems with regulation. It's time-consuming
- and costly. We employ over 300 people and incure over $50 million in annual
- expense just to deal with being in a regulated environment. We encounter
- delays in many proposals we make to 14 defferent jurisdictions at the state
- level and one at the federal level. This is of great concern when our
- competitors don't have to operate under all the same rules.
- Regulation influences our decisions to enter and exit markets.
- Regulation, not the market, controls the price of our products and it decides
- what types of businesses we are allowed to be in. This is totally opposite of
- today's competitive environment.
- So if we intend to compete, then it is critical we be deregulated.
-
- SYND: What is the significance of the Nebraska deregulation example?
-
- BLAIR: It is tremendous. Nebraska regulators and legislators believed that
- competition is here and if it's going to continue to develop, it must do so in
- a deregulated environment. And, in plain terms, it could be very good for that
- state's economy by attracting business and jobs.
- Our hat is off to Don Bliss, Nebraska's Chief Executive Office and
- Vice President-Regulatory and External Affairs, and his staff who initiated
- and achieved this historic change in the treatment of the industry.
- Nebraska is the most significant example of deregulation, yet. It
- sets an example for public policy makers all over the country. And I think
- other regulators are going to see the wisdom of deregulation as demonstrated
- by the Nebraska bill.
-
- SYND: What is Tri-Co doing to help with deregulation efforts?
-
- BLAIR: Tri-Co people are integrally involved with the IDCs and the Washington,
- D.C. office in developing strategies to support the strategic direction for
- deregulatory action.
- We've put in place a clearinghouse of information to share plans
- between the states so that there are no political surprises. In working
- with IDC teams, we've developed a system that outlines the preferred approach
- to deregulation in any given place at any given time.
- On federal level, U S WEST has been the most active in seeking
- deregulation. And we have had some successes. Our Tri-Co team was involved
- in preparing our CI III comments in concert with the Washington, D.C. office
- and with Open Network Architecture (a U S WEST innovation.)
- We are also deeply involved with Part X -- an accounting document that
- will establish procedures to account for regulated and deregulated organiza-
- tions within the same enterprise.
- Tri-Co Regulatory and Marketing groups also are in the process of
- working through implementation of deregulated billing and collection
- service for interexhange carriers. Ron James, Northwestern Bell Vice President
- --Communications Services and Advanced Information Markets, is heading this
- effort for the three IDC's.
- Incidentally, there are 11 states with deregulation bills in place in
- the country -- and eight of them are in U S WEST territory. It speaks very
- well for our actions to bo competitive.
-
- SYND: What issues have our critics singled out against deregulation?
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- BLAIR: There are four issues our critics tend to use. The first is the issue
- of pricing. People fear we will dramatically raise our prices. To the
- contrary the market controls our prices.
- Second, there is concern for overcharging for certain services and
- underpricing others.
- Third, there's a concern about Universal Service. How will we continue
- service levels of more than 93 per cent of the population typical through-
- out America today?
- And fourth, there's a concern in the public policy environment about
- how new services are going to come to the marketplace to the benefit of all
- consumers without unfair cross-subsidy.
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- SYND: And what about advantages for the consumer?
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- BLAIR: The market will control service and price. New services will come to
- the market. Our basic business can be better protected because we will be
- encouraging and stimulating use of the network rather than holding it for
- internal purposes. Universal Service can be guarenteed simply because of its
- value. And Open Network Architecture (ONA) will simulate network usage and
- technical innovation.
-
- SYND: About the future -- what happens once we reach our goal, when Magnet
- gets deregulated?
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- BLAIR: For the company, it will mean that we will have achieved economic
- freedom. We will be regulated by the marketplace. And we will have to spend
- that $50 million a year on regulation. Our customer will be better served.
- And out employees will find more opportunities in the workplace because our
- business position will be enhanced. And I'll be out of a job!
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- If there is any question to the information in this file, contact the
- author. Now can be found on the Private Sector 20 Meg, 3/1200 baud
- system at (201) 366-4431 (2600 Magazine Bulliten Board).
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- This concludes this transmittal No. 6 presented by:
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- The Sensei - The Syndicate Report
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- Released Sept. 28 1986
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