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Portland Press Herald - Maine Sunday Telegram

February 14, 2010
FINAL,
Editorial page E4


OUR VIEWS
High-speed Internet grant good public policy


While almost everyone agrees that businesses, schools, hospitals and homes should have access to high-speed Internet, no one can tell you exactly what kind of company is best suited to deliver it.


Right now in Maine, we have the regulated utility FairPoint Communications competing with unregulated cable television companies and small Internet service providers. In the future, wireless companies may be providing a broadband alternative.


Since this is all driven by technology and we don't know exactly where that's heading, it makes sense from a policy perspective to have as much competition as possible to let the players sort out who - if anyone - has the dominant business model.


Maine's Internet access got a big boost late last year when the U.S. Department of Commerce issued a $25 million grant to fund the Three Ring Binder, a triple loop of fiber optic cable that will extend broadband to northern, western and Down East Maine.


The infrastructure, known as the "middle mile" (filling the gap between wire from providers and wire to individual customers) will be privately owned and maintained, but made available to any company or institution that wants to create a network and service customers. (Robert C.S. Monks, an investor and board member of MaineToday Media Inc., which owns the Telegram, is a lead investor in the new firm, Maine Fiber Company.)


FairPoint has cried foul, saying the Three Ring Binder won't extend service because it simply duplicates the existing fiber optic network, and it's unfair to make the privately owned utility compete against a publicly financed one. FairPoint is wrong on both counts.


Internet service providers who want to use FairPoint's network to sell high-speed Internet service say they are routinely denied access.


Under the current model, FairPoint is supposed to share with its competitors but has no real interest in expanding service unless it's the one who ends up providing it. While FairPoint does not have to disclose how much capacity it has available, it could only be a fraction of what the new network will have. And access will be open to any company that wants to use it.


The losers in the current system are the potential customers who can't get high-speed access for their homes or businesses. Competition on a level playing field is much more likely to expand service than waiting for FairPoint, which is in bankruptcy, to get around to it.


This public/private fiber partnership that helped get the Three Ring Binder started is not creating a government-financed competitor for FairPoint. It's creating equal opportunity for small service providers to meet a need and grow in a field that has an uncertain future.


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