[100413] in North American Network Operators' Group
RE: Internet access in Japan (was Re: BitTorrent swarms have a deadly bite on broadband nets)
daemon@ATHENA.MIT.EDU (Rod Beck)
Tue Oct 23 03:44:08 2007
Date: Tue, 23 Oct 2007 08:42:58 +0100
From: "Rod Beck" <Rod.Beck@hiberniaatlantic.com>
To: "Dragos Ruiu" <dr@kyx.net>, "David Andersen" <dga@cs.cmu.edu>
Cc: "Leo Bicknell" <bicknell@ufp.org>, <nanog@merit.edu>
Errors-To: owner-nanog@merit.edu
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I did consulting work for NTT in 2001 and 2002 and visited their Tokyo =
headquarters twice. NTT has two ILEC divisions, NTT East and NTT West. =
The ILEC management told me in conversations that there was no money in =
fiber-to-the-home; the entire rollout was due to government pressure and =
was well below a competitive rate of return. Similarly, NTT kept staff =
they did not need becuase the government wanted to maintain high =
employment in Japan and avoid the social stress that results from =
massive layoffs. You should not assume that 'Japanese capitalism' works =
like American capitalism. It doesn't. NTT only reveals financial =
statistics at the aggregate level; the cross subsidies between divisions =
is completely hidden and this enables them to pursue the government's =
social objectives. =20
Moreover, it is not clear that you should desire broadband rollout at =
any cost. Presumably broadband access should be justified as satisfying =
some net benefit criterion (benefits minus costs).=20
A better model is the French model which generates very high broadband =
penetration rates and is economically rational. France has successfully =
forced the ILEC to open up the central offices and you now have two =
highly successful and publicly traded DSL providers, Neuf Cegetel and =
Free.=20
The US effort failed because of silly arguments based on the equally =
silly notion that private property is an absolute right and that forcing =
the ILECs to share facilities even when they are receiving a fair return =
of return in a form of 'confiscation'.=20
As always, these comments are mine and not the position of Hibernia =
Atlantic.=20
Roderick S. Beck
Director of EMEA Sales
Hibernia Atlantic
1, Passage du Chantier, 75012 Paris
http://www.hiberniaatlantic.com
Wireless: 1-212-444-8829.=20
Landline: 33-1-4346-3209.
French Wireless: 33-6-14-33-48-97.
AOL Messenger: GlobalBandwidth
rod.beck@hiberniaatlantic.com
rodbeck@erols.com
``Unthinking respect for authority is the greatest enemy of truth.'' =
Albert Einstein.=20
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<TITLE>RE: Internet access in Japan (was Re: BitTorrent swarms have a =
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<P><FONT SIZE=3D2>I did consulting work for NTT in 2001 and 2002 and =
visited their Tokyo headquarters twice. NTT has two ILEC divisions, NTT =
East and NTT West. The ILEC management told me in conversations that =
there was no money in fiber-to-the-home; the entire rollout was due to =
government pressure and was well below a competitive rate of return. =
Similarly, NTT kept staff they did not need becuase the government =
wanted to maintain high employment in Japan and avoid the social stress =
that results from massive layoffs. You should not assume that =
'Japanese capitalism' works like American capitalism. It doesn't. NTT =
only reveals financial statistics at the aggregate level; the cross =
subsidies between divisions is completely hidden and this enables them =
to pursue the government's social objectives. <BR>
<BR>
Moreover, it is not clear that you should desire broadband rollout at =
any cost. Presumably broadband access should be justified as satisfying =
some net benefit criterion (benefits minus costs).<BR>
<BR>
A better model is the French model which generates very high broadband =
penetration rates and is economically rational. France has successfully =
forced the ILEC to open up the central offices and you now have two =
highly successful and publicly traded DSL providers, Neuf Cegetel and =
Free.<BR>
<BR>
The US effort failed because of silly arguments based on the equally =
silly notion that private property is an absolute right and that forcing =
the ILECs to share facilities even when they are receiving a fair return =
of return in a form of 'confiscation'.<BR>
<BR>
As always, these comments are mine and not the position of Hibernia =
Atlantic.<BR>
<BR>
Roderick S. Beck<BR>
Director of EMEA Sales<BR>
Hibernia Atlantic<BR>
1, Passage du Chantier, 75012 Paris<BR>
<A =
HREF=3D"http://www.hiberniaatlantic.com">http://www.hiberniaatlantic.com<=
/A><BR>
Wireless: 1-212-444-8829.<BR>
Landline: 33-1-4346-3209.<BR>
French Wireless: 33-6-14-33-48-97.<BR>
AOL Messenger: GlobalBandwidth<BR>
rod.beck@hiberniaatlantic.com<BR>
rodbeck@erols.com<BR>
``Unthinking respect for authority is the greatest enemy of truth.'' =
Albert Einstein.<BR>
<BR>
<BR>
<BR>
</FONT>
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