Municipalities Still Fight Incumbents for Broadband Rights

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April 8th, 2009

It was only a matter of time after the approval of $7.2 billion for broadband in the American Reinvestment and Recovery Act that we'd hear of some trouble brewing between municipalities and incumbent service providers. The city of Chattanooga, Tenn., is facing lawsuits from its local incumbent cable company in the attempt to stop the city from deploying a fiber to the home network. Paul Budde of CircleID writes that we should expect more of this behavior in the future as communities apply for government funding through the USDA and NTIA.

Budde says:

With President Obama determined to promote the development of open network telecommunications and smart grid networks we can expect the incumbents to step up their legal battles to stop this from happening.

In relation to the recent $7 billion stimulus package AT&T made a statement that it didn't need the money, but that it would launch a defensive campaign against any competitors using the money to encroach on its territory.

Communities that are taking the initiative to improve their communications infrastructure through the economic stimulus plan should also receive some legal leeway from the government in thwarting these kinds of lawsuits.

1 Comments

Typical bullying cable companies, they won't build it out, but won't let anyone else either. Time to wake up big business, your not in control anymore -- you're what got us into this mess.

April 8th, 2009 // By Wireless Works Consulting

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