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“Peter possesses a keen sense and insight for turning telecom services and products into customers and dollars. He is passionate about this industry, his work and the people he serves. Visit his site, read his blog and sign up for his newsletter at marketingideaguy.com and you will discover what makes Peter a sought after marketing consultant.”

Cynthia de Lorenzi, CEO, Patriot Computer Group

Not a Political Piece
On Rad's Radar
Friday, 20 August 2010 13:14

This isn't meant to be political but more like here are some thoughts for digestion.

This first is from FCC Commish Copps (thanks to Benton Foundation):

"I think most of you understand how important the Internet and access to high-speed broadband are to the future of our country. This incredible technology intersects with just about every great challenge confronting our nation-whether it's jobs, education, energy, climate change and the environment, news, international competitiveness, health care or equal opportunity.

"You know, history is pretty clear that when some special interest has control over both the content and distribution of a product or service -- and a financial incentive to exercise that control -- someone is going to try it. That's a monopoly or an oligopoly or whatever you want to call it -- I call it a danger to America."

The second is from Al Franken:

"But there's an even bigger issue here. It's that when government will not act, corporations will. And unlike government agencies, which have a legal responsibility to protect American consumers, the only thing corporations care about, the only thing that they have a legal duty to promote, is their bottom line."

"We can't let companies write the rules that they're supposed to follow," Franken added, "because if that happens those rules are going to be written only to protect corporations."

Net Neutrality is largely misunderstood by the public. By and large though, if a company is going to spend millions to get their way, the consumer will be getting that bill for lobbying, astro-turf funding and advertising.

Finally:

"Terrorists will never defeat America, but Jersey Shore, like necrotizing fasciitis (flesh-eating bacteria), could rot us from within. - Alan Weiss

Read more... [Not a Political Piece]
 
Two Cool SIP's
NSP Strategist
Friday, 20 August 2010 12:10
One cool SIP tip is this research that says SIP Trunking is being sold to enterprises not just on price but on RELIABILITY. That's something to mention in your marketing.The 2nd cool thing is Glass phones:Larry Lisser pointed out this new smartphone type platform to me today. Cool gadget.

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Wireless Combo is Merger 3
On Rad's Radar
Friday, 20 August 2010 06:54

This week has been awash with mergers - the Intel-McAfee merger and the Windstream-Q-Comm merger are the big two. The third interesting merger involves two fixed wireless companies. Airband and Sparkplug announced that they merged and grabbed $20M in financing.

"Fixed-wireless companies Airband Communications and Sparkplug Communications today announced they have merged, creating the largest fixed-wireless company for businesses in the U.S., providing a full suite of voice and data services in 17 markets."

Airband has had its ups-and-downs. It was heavy with Broadwing execs for a while there. It was striving to build an indirect sales channel, but it let some channel managers go a couple of years ago and fell off my radar. I wasn't aware that they were doing Hosted PBX or SIP Trunking.

Sparkplug had some executive changes the beginning of the year. Maybe to make way for this merger. Most fixed wireless mergers don't work well. The roll-ups fall apart. A couple of mergers have worked out, but nothing of this magnitude. Wireless is a labor intensive and detail oriented business. It's not something that is just build it and poof! 

Reading Rob Powell's take on the Windstream merger is interesting how most folks just talk about the finances.  I get the finances are important for the bankers and The Street who drive these mergers. Bankers like to get paid to "create value", which they hardly ever do. Some of those 600 employees are certainly going to be let go. That's the big synergy with these mergers. Get payroll and benefits costs down and work on where else you can eliminate costs. Usually you also eliminate domain knowledge and customer service, but what the heck that bar is pretty low in America any way.

The 5500 SMB customers that they grabbed from KDL/Norlight generated $58M in revenue. That's like $3525 per month per customer, but I think we should point out that KDL, at least in KY, is the main fiber provider, selling to ILECs and MSO's. And Windstream obviously wants to keep that stream running, and hopefully add wireless backhaul.

Everyone is hoping that cellular companies will pay them a fortune for wireless backhaul fiber. (It's the whole premise behind Allied Fiber).  I just don't know how that will play out. I understand the need for fiber to the tower. I just don't see cellcos paying a small fortune for it, especially long-term. Remember who owns the cellcos: ILEC's. They like to own their pipes.

I have to wonder how much more debt the whole telecom industry can take. It's not like the telecom spending is going up enough to cover all of it. Wireline voice revenue is shrinking. TDM revenue will start declining.  Windstream is banking on keeping against other ILEC's for SMB customers -- a take-away game.

It's hyper-competitive and leveraged to the hilt. I smell bubble gum.

Read more... [Wireless Combo is Merger 3]
 
Is DIA a Commodity?
NSP Strategist
Friday, 20 August 2010 05:07
I get lots of requests for sub-$10 per MB bandwidth. I say if you want it that cheap call Cogent or HE. Most people have no idea that to get the cheap stuff you have to be in one of 7 centers (ATL, Dallas, NYC, LA, CHI, San Jose, Virginia). And in those cities, you have to be in 1 specific colo facility (56, 1 Wilshire, EXP, Infomart, etc.). They think that $20 per MB in the middle of no where

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Apparently No One Knows What I Do
NSP Strategist
Friday, 20 August 2010 04:38
I have been getting this a lot lately: What do I do? Well, let me explain.I Still Sell CircuitsFrom DSL (from the likes of New Edge or MegaPath) to Private Lines (from about 20 carriers including XO, Level3, AT&T, NITEL, and Qwest) to MPLS to Internet Bandwidth (from over 20 carriers, including Global Crossing and resellers) to fiber (from FiberLight, Level3, XO, AboveNet, 360 and more).Also, if

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More Mergers
On Rad's Radar
Thursday, 19 August 2010 06:29

Windstream bought Q-Comm this week. Q-Comm owns Norlight and KDL for $782M - cash, stock and debt. Windstream gets 30,000 fiber route miles (whatever the heck that is). It also acquires about 5500 SMB customers to complement what it bought with Nuvox.  Guess what it wants the fiber for? Wireless backhaul business. Shocking. That's something everyone is banking on.

Intel bought security firm McAfee for $7.7B in cash.

More to come later. I have to jump on a plane.

Read more... [More Mergers]
 
9 Tough Questions
NSP Strategist
Monday, 16 August 2010 04:49
These 9 compelling questions are not the puff balls that I ask on my TMCNet blog, but are the types of questions you need to be asking yourself in today's economic environment.What strategies are you using to drive revenue, and are these strategies helping or hindering your bottom-line?What are the key areas that, if addressed, would improve your cash flow?Are you meeting your financial, business

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