[49] in Commercialization & Privatization of the Internet
Re: Internet/NSFNet proposal to be run by IBM -- call to action!
daemon@ATHENA.MIT.EDU (Martin Lee Schoffstall)
Tue Oct 30 14:12:12 1990
To: jordan@Morgan.COM (Jordan Hayes)
Cc: tcp-ip@nic.ddn.mil, com-priv@psi.com
In-Reply-To: Your message of Mon, 29 Oct 90 16:03:46 -0500.
Date: Tue, 30 Oct 90 14:01:58 -0500
From: "Martin Lee Schoffstall" <schoff@psi.com>
Jordan,
Circa 1985 (half the lifetime of operational tcp/ip ago) a number
of non-profit organizations and consortiums were put together
to address the perceived needs, the included NYSERNet, SURANET,
BARRNET, etc, they were started as non-profits for the reasons
of that period. In the same period UUNET started.
In 1990 PSINet fissioned off of NYSERNet, and it would appear ALTERNet
fissioned off of UUNET, for a number of reasons. For PSINet they
included: investment in infrastructure, tax issues including new
IRS reporting and the concept of taxation on "unrelated business
income" for a non-profit, and the concept of fair business practices,
where a non-profit for many reasons (including taxation, but also
liability) competes with commercial organizations unfairly.
[This is why RPI pays no taxes on its physical plant or income, except
on the portion that is related to its growing technology park]
It has been rumored that a number of the mid-levels are discussing ways
to turn their services into for-profit endeavors for possibly many
of the reasons of above.
But ironically we have a "back to the future" movement of ANS repeating
what was done in 1985, hence the A in ANS "Advanced". But of course
this is the story for 1990, we'll see how things evolve.
Marty
PS: There is a great ANS marketing article in the Link Letter
(contact nsfnet-linkletter-request@merit.edu) front page, complete with
a picture of "Uncle Al", children, (but no flag) supported
by NSF Grant No. NCR 8720904 no less (at least according to
the publication)
PPS: I thought I'd cc com-priv on this.
--------------
Christopher Raczka <chris@ecdnt5.enet.dec.com> writes:
I also think the "other side" of the story does need to be told
and this much I do know... Sometime in September, Merit, IBM
Corp, and MCI established Advanced Network and Services Inc.
(ANS) ANS, a NOT FOR PROFIT organization, is to manage and
operate the NSFNET backbone under subcontract to Merit
Funny to see the NOT FOR PROFIT emphasis.
Wasn't NYSERNET also started that way?
/jordan
