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Amazon Planning to Launch Satellite Internet for Rural Communities Worldwide

Amazon is planning to finance the launch of a new global satellite internet service, powered by a fleet of more than 3,000 low Earth-orbiting satellites that will deliver high-speed internet service to rural underserved and unserved communities, opening up the possibility of millions of potential new Amazon.com customers.

Known as Project Kuiper, named after a famous Dutch-American astronomer, the project is enthusiastically backed by Amazon founder Jeff Bezos, and will require billions of dollars in investment. The proposal claims Amazon will launch 3,236 small satellites into space in about a decade, which experts claim is plenty of time for the ambitious project to either flourish, be changed, or scrapped under pressure from Wall Street.

“Project Kuiper is a new initiative to launch a constellation of low Earth orbit satellites that will provide low-latency, high-speed broadband connectivity to unserved and underserved communities around the world,” an Amazon spokesperson said in an emailed statement. “This is a long-term project that envisions serving tens of millions of people who lack basic access to broadband internet. We look forward to partnering on this initiative with companies that share this common vision.”

Although the marketing focus of the project will be on reaching rural and unserved areas, the satellite broadband network would deliver data coverage anywhere within a range of 56 degrees north to 56 degrees south latitude, which would cover virtually every continent, except extreme South America, Antarctica, parts of far northern Russia, Alaska, and Canada. About 95 percent of the world’s population would be reached by Amazon’s satellite project. Most similar ventures promise much faster and more responsive service than traditional satellite internet service, at a much lower cost.

Kuiper

But CNBC reported the road to the next generation of satellite internet access “is littered with companies that tried, and failed, to pull off a coup in space-based internet.”

  • 2015: Facebook scrapped plants to spend up to $1 billion on satellite internet access for Africa and other under-covered continents.
  • 2002: Teledesic closed its doors after spending $9 billion on a similar low Earth-orbiting satellite project backed by Microsoft founder Bill Gates.

Amazon could have competition if any of the projects still in progress actually begin offering service.

Amazon has very deep pockets and has the financial capacity to fully fund the project, but not without likely protests from investors concerned about the cost and history of earlier flopped ventures. Additional details can be found in these three sets of filings made with the International Telecommunications Union last month by the Federal Communications Commission on behalf of the Amazon-backed venture.

Verizon On Track to Mothball CDMA/3G Network; Older Devices Will Cease Working End of 2019

Times up. Legacy devices like the GizmoPal watch will stop connecting to Verizon after the company shuts down its CDMA/3G network at the end of the year.

Customers with older phones and devices that are dependent on Verizon Wireless, take note: those devices may stop working at the end of this year as Verizon Wireless mothballs its legacy CDMA network and 3G mobile data. Verizon originally announced it was planning to shut down CDMA and 3G service last summer, and stopped activating new devices that did not support the current 4G LTE standard. Since that time, the company has been gradually replacing CDMA and 3G-dedicated frequencies to 4G LTE to relieve congestion.

As this transition continues, some customers with older basic phone are noticing call issues and a lack of adequate mobile data service. That happens when a tower has re-dedicated almost all of its available spectrum to 4G LTE service, and those using older devices share a quickly declining number of frequencies. Some smartphone owners are also affected, even if their device supports 4G LTE data, because it may still rely on Verizon’s CDMA network to make and receive phone calls.

One of the biggest impacts of the shutdown will be felt by General Motors’ OnStar customers driving vehicles made before 2015, which rely on Verizon CDMA and 3G technology to support GPS, crash detection, diagnostics, and voice calling. Starting with 2015 models, GM moved its OnStar platform in new vehicles to AT&T’s 4G LTE network. Some GM vehicle owners, but not all, have the option of upgrading to OnStar over AT&T’s 4G LTE network with a retrofit kit, which also supports an in-vehicle hotspot. If this option is not available, service is expected to sunset for older vehicles on Dec. 31, 2019.

Some medical monitoring devices that rely on Verizon’s legacy CDMA network will also cease working unless a retrofit or upgrade is made available by the manufacturer.

Affected devices include:

  • CDMA (3G)-only devices, including 3G basic phones and 3G smartphones
  • 4G LTE smartphones that do not support HD Voice
  • Apple iPhone 5s or prior including the Apple iPhone 5c
  • Connected devices with CDMA (e.g,, GizmoPal, GizmoPal2, GizmoGadget and some Hum + models).
  • In-car telematics devices like GM’s OnStar on pre-2015 model year vehicles
  • Certain medical monitoring devices

Verizon had originally planned to mothball its CDMA network in late 2021, but the carrier needed to repurpose existing spectrum to meet growing data demands on its network, so it moved the drop dead date forward to Dec. 31, 2019.

AT&T Introduces Phony 5GE to Highlight Newly Lit Spectrum (It’s Really Still 4G LTE)

AT&T customers with Samsung Galaxy 8 Active or LG’s V30 or V40 smartphones began noticing a new icon on their phones starting last weekend: an italicized 5GE, leading some to believe 5G wireless service has now reached AT&T’s network.

Not so fast, AT&T.

AT&T’s use of 5GE, which stands for “5G Evolution” in AT&T’s techie parlance, is another example of how wireless carriers exploit up and coming technology upgrades that are unprotected from overzealous marketing misuse. The actual 5G standard is different from 5GE, and customers using 5G on millimeter wave frequencies can expect very different performance in comparison to today’s 4G LTE experience. But with 5G being hyped in the media, AT&T is attempting to capture some of that excitement for itself.

The company’s marketing division managed to accomplish a speed and technology upgrade without spending millions of dollars on actual 5G network upgrades — just by changing an icon on customers’ phones and making them believe they are getting a 5G experience. In fact, 5GE is actually just the latest evolution of 4G LTE already known to Verizon customers as LTE-Advanced or LTE Plus on Sprint’s network — technology including carrier aggregation, 256 QAM, and 4×4 MIMO that has been in use on competing cellular networks in the U.S. since at least 2016. But just as Verizon customers saw significant speed improvements from Verizon’s updates to the 4G LTE standard, as AT&T deploys similar upgrades in each of its markets, customers should notice similar performance improvements.

AT&T claims 5GE is already live in 400+ markets with more to come. In the short term, the “upgrade” that was pushed to AT&T network devices last weekend only switched on the 5Gicon, which will mean little to AT&T customers already reached by 5Gand never knew it until this past weekend, and nothing to those still waiting for the upgrade to arrive.

Walter Piecyk, an analyst at BTIG Research, says AT&T’s latest spectrum deployments will matter more than whatever the company brands its latest upgrade, and could eventually allow AT&T to surpass Verizon Wireless in network performance.

AT&T’s recent effort to improve its network by deploying more wireless spectrum — up to 60 MHz in many areas, is not the 5G upgrade customers might expect, but it will deliver faster speeds and more performance on today’s smartphones.

AT&T calls its forthcoming actual 5G network 5G+, and the company is launching a modest but authentic 5G experience in limited “innovation zones” in Jacksonville, Fla., Atlanta, Ga., Indianapolis, Ind., Louisville, Ky., New Orleans, La., Charlotte and Raleigh, N.C., Oklahoma City, Okla., as well as Dallas, Houston, San Antonio, and Waco, Tex.

In a money-saving maneuver, AT&T’s combined spectrum upgrades include 20 MHz of FirstNet first responder spectrum (prime 700 MHz spectrum shared with AT&T customers except during emergencies) it received in 2017, 20 MHz of AWS-3 spectrum (1755-1780 MHz for uplink operations and 2155-2180 MHz for downlink) it acquired for $18 billion in 2015, and 20 MHz of WCS spectrum (2300 MHz) it acquired from NextWave for $650 million back in 2012. All of this spectrum is expected to be activated at the same time as technicians work to upgrade each AT&T cell tower. This dramatically cuts AT&T’s costs and truck rolls for incremental upgrades.

AT&T calls its improved 4G LTE network “5G Evolution”

“We’re turning up not only the FirstNet spectrum that we got, but all of this other spectrum that we’ve acquired over the last few years,” AT&T CEO Randall Stephenson told investors at a December conference. “So as we climb these cell towers, we turn up the spectrum. By the time we get to end of 2019, we will have increased the capacity on AT&T’s network by 50%. I mean, you just have to pause and think about this. The entire AT&T wireless network capacity is going to increase over the next 14 months by 50%. I mean, that’s huge.”

Some areas have already received partial upgrades, others may find newly improved rural coverage as AT&T meets its commitments to the government’s FirstNet platform, which calls for more robust rural coverage. Some areas that never had AT&T coverage before may get it for the first time.

AT&T’s biggest competitor, Verizon, has commanded a lead in 4G LTE coverage from 2010 forward after utilizing a considerable amount of its available spectrum for the faster standard. But Verizon has not been a robust bidder for new spectrum recently, except for the millimeter wave frequencies it bought for its emerging 5G network. It has some additional unused AWS-3 spectrum it can use for expansion, but Piecyk believes Verizon may already be using those frequencies in many markets where it is likely facing a spectrum crunch.

While AT&T lights up 60 MHz of additional spectrum, Verizon is primarily depending on the ongoing conversion of 10-15 MHz of existing spectrum it now uses for 3G service to LTE each year. But the company is reportedly running out of frequencies in areas where data demand requires that extra spectrum the most.

The only short term solution for Verizon, which is not participating in marketing hoopla like 5GE, is to make its current spectrum more efficient. That means more cell towers sharing the same frequencies to reduce the load on each tower, improved antenna technology, and using newly available spectrum in the CBRS and millimeter wave bands to manage network traffic. Verizon may even use unlicensed shared spectrum to handle some of the load. Unfortunately, smartphones equipped to take advantage of these new bands are not yet available and may not be until 2020.

For AT&T, improved network performance is seen as a key to resume robust growth in new subscribers.  After Verizon dramatically improved its LTE network in 2014, AT&T stopped growing its lucrative post-paid phone subscriber base, according to Piecyk. Now it may be AT&T’s chance to turn the tables on Verizon.

This AT&T produced video helps consumers understand what 5G, beam forming, small cells, and coverage differences between 4G and 5G are all about. Notice the 5G trial speed test showed download speeds topping out at around 137 Mbps. (4:26)

By 2022, Online Video Will Make Up 82% of Internet Traffic; 60% of the World Will Be Online

By the year 2022, 60% of the world’s population will be connected to the internet and 82% of online traffic will come from streaming video.

Those are the conclusions found in Cisco’s newest Visual Networking Index (VNI), based on independent analyst forecasts and real-world network usage data tracked by the networking equipment manufacturer.

“By 2022, more IP traffic will cross global networks than in all prior ‘internet years’ combined up to the end of 2016,” Cisco predicts. “In other words, more traffic will be created in 2022 than in the 32 years since the internet started.”

Key predictions for 2022

Cisco’s VNI looks at the impact that users, devices and other trends will have on global IP networks over a five-year period. From 2017 to 2022, Cisco predicts:

  1. Global IP traffic will more than triple

    • Global IP traffic is expected to reach 396 exabytes per month by 2022, up from 122 exabytes per month in 2017. That’s 4.8 zettabytes of traffic per year by 2022.
    • By 2022, the busiest hour of internet traffic will be six times more active than the average. Busy hour internet traffic will grow by nearly five times (37 percent CAGR) from 2017 to 2022, reaching 7.2 petabytes1 per second by 2022. In comparison, average internet traffic will grow by nearly four times (30 percent CAGR) over the same period to reach 1 petabyte by 2022.

      1 A petabyte is equal to 1,000 terabytes or one million gigabytes.

  2. Global internet users will make up 60 percent of the world’s population

    • There will be 4.8 billion internet users by 2022. That’s up from 3.4 billion in 2017 or 45 percent of the world’s population.
  3. Global networked devices and connections will reach 28.5 billion
    • By 2022, there will be 28.5 billion fixed and mobile personal devices and connections, up from 18 billion in 2017—or 3.6 networked devices/connections per person, from 2.4 per person.
    • More than half of all devices and connections will be machine-to-machine by 2022, up from 34 percent in 2017. That’s 14.6 billion connections from smart speakers, fixtures, devices and everything else, up from 6.1 billion.
  4. Global broadband, Wi-Fi and mobile speeds will double or more
    • Average global fixed broadband speeds will nearly double from 39.0 Mbps to 75.4 Mbps.
    • Average global Wi-Fi connection speeds will more than double from 24.4 Mbps to 54.0 Mbps.
    • Average global mobile connection speeds will more than triple from 8.7 Mbps to 28.5 Mbps.
  5. Video, gaming and multimedia will make up more than 85 percent of all traffic
    • IP video traffic will quadruple by 2022. As a result, it will make up an even larger percentage of total IP traffic than before—up to 82 percent from 75 percent.
    • Gaming traffic is expected to grow nine-fold from 2017 to 2022. It will represent four percent of overall IP traffic in 2022.
    • Virtual and augmented reality traffic will skyrocket as more consumers and businesses use the technologies. By 2022, virtual and augmented reality traffic will reach 4.02 exabytes/month, up from 0.33 exabytes/month in 2017.

Regionally, Asian-Pacific internet users are expected to use far more internet data than North Americans — 173 exabytes a month by 2022 vs. 108 exabytes in North America. Usage caps, usage-based pricing, and overall slower internet speeds in the U.S. and Canada have slowed growth in new high-bandwidth internet applications. The prevalence of low-speed DSL in rural areas also restricts potential traffic growth. Large parts of the Asia-Pacific region use very high-speed fiber to the home technology.

The slowest growing regions — Latin America and the Middle East/Africa, which lag behind in internet penetration, often apply low usage caps or bandwidth restrictions and often do not have the ability to financially scale growth to meet demand. Even by 2022, Latin America will generate only 19 exabytes of traffic per month.

Frontier Left Residents in N.Y.’s North Country Out of Service for 10 Days

A snowstorm, in winter, in Upstate New York, was the excuse Frontier Communications gave for leaving scores of residents in the Minerva-Johnsburg area without phone or internet service for as long as 10 days this month.

“We are aware of a service interruption in Minerva and have been delayed by a snowstorm that impeded access and diverted resources starting Friday,” Javier Mendoza, vice president of corporate communications and external affairs at Frontier, told The Sun.

The company routinely blames external factors for wide scale service interruptions, which often impact Frontier’s rural customers, totally reliant on aging copper wire infrastructure the company has refused to replace.

“Often [service outages] are due to uncontrollable circumstances like commercial power outages, severe weather, construction crews damaging telecom cables, cars hitting telephone poles or telecom equipment cabinets,” Mendoza said. “These causes can also delay response and restoral efforts beyond Frontier’s control.”

But customers in several states where Frontier provides the only internet access around are just as concerned by poor service that is within Frontier’s control.

Johnsburg’s town supervisor is one of them, complaining regularly about the poor quality of Frontier’s internet service, powered by DSL. It suffers frequent service outages.

Minerva-Johnsburg, N.Y.

“It’s been widespread throughout the town,” Supervisor Andrea Hogan told the newspaper. “People can’t run businesses with that.”

Those who rely on the internet to work from home are challenged by Frontier’s DSL service and frequent service problems.

Greg and Ellen Schaefer retired to the community of North River and planned to do part-time work remotely over the internet. They pay Frontier $228 a month for a package of satellite TV, landline, and internet service. On a good day, they achieve a maximum of 3 Mbps for downloads and 0.5 Mbps for uploads. But in Frontier country, where good days can be outnumbered by bad ones, the couple has often been forced into their car in search of good Wi-Fi. Some days they work from the local library, others they park by an AT&T cell tower near the base of Gore Mountain to use their car’s built-in AT&T hotspot.

Predictably, the Schaefers question the value for money they receive from Frontier Communications.

Frontier’s name conjures up the notion of a phone company providing service in the rough and rugged Old West, but Glenn Pearsall told The Sun he prefers to think of Frontier as an antique three-speed car, offering customers the choice of “dim, flickering,” or “off.”

Pearsall pays Frontier for internet speeds advertised at 6-10+ Mbps, but receives 0.69 Mbps for downloads and 0.08 Mbps for uploads at his home in Garnet Lake. A typical Microsoft Office software update takes approximately 48 hours to arrive, assuming one of many frequent service outages does not force the upgrade to start anew.

The problem for most Frontier DSL customers, especially in rural areas, is the distance between the company’s local exchange office and customers. The further away one lives, the slower the speed.

Many rural telephone exchanges have tens of thousands of feet in copper wire between the central office and an outlying customer. As a result, in the most rural areas, no internet service is available at all.

Frontier is accepting millions in Connect America Funds (CAF) — paid for by ordinary customers on their phone bill, to expand internet access into unserved areas. Frontier has to replace at least some of its copper wiring with fiber optics, which does not degrade significantly with distance. It can then reach customers part of the way over its existing copper facilities, which saves the company millions in replacement costs.

Demand for internet service and constantly rising traffic volumes suggests Frontier must regularly upgrade its equipment and backhaul connectivity. But in some areas, the company has failed to keep up with demand, resulting in online overcrowding. Customers that access the internet during peak usage times in the evenings report dramatic slowdowns and web pages that refuse to load — both symptoms of oversold network capacity.

Frontier is an integral part of New York Gov. Andrew Cuomo’s rural broadband initiative, which promises 99.9% of New Yorkers will have access to high-speed internet. The company collected $9.7 million in January 2018 to expand service to another 2,735 customers in the North Country, Southern Tier, and Finger Lakes region. The company claims it will deliver 100 Mbps internet speed to those customers in its news releases, but also warns what the company claims is never guaranteed.

“Our products state in our literature what you ‘may’ get. So it’s speeds ‘as fast as.’ You may not get 6 Mbps every moment of the day,” admitted Jan van de Carr, manager for community relations and government affairs.

It is that kind of mentality that has Pearsall keeping a bottle of champagne at the ready on the day he can disconnect Frontier service for good. But considering the alternative is likely to be satellite internet offered by Hughes, that bottle is likely to remain corked for a long time into the future.

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  • Ed: On the money that was just bragging rights. Later this year when 5G home equipment is released and in Q1 2020 when they roll out dynamic spectrum sha...
  • TJ: I called on 4/22/19 to cancel services because my bill was too high. They sent me to the cancellation department and the guy just said ok the service ...
  • Michelle D Loewy: No internet service at the home all day Tuesday and still none today. No reason given just that the Western North Carolina area is down. Has anything ...
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  • Phillip Dampier: Public Comments: http://documents.dps.ny.gov/public/Comments/PublicComments.aspx?MatterCaseNo=15-M-0388...
  • Phillip Dampier: The reason they are lumping the two together at this point is because there are not a lot of attractive territories left to bid on. Even when the stat...
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