Frontier Communications has announced the availability of Metro Ethernet service to a total of 55 cities in 11 states, with one Frontier representative describing it as perfect for individuals “who are serious gamers, people who download videos and those who watch TV and movies on their computers.”  Apparently Diana Anderson, technical supervisor for Frontier in Kennewick, Wash., has not read Frontier’s Washington State service tariff (5.7.7b) to understand the cost implications of signing up for the service.

Metro Ethernet falls between DSL and fiber optic connectivity, and delivers service at speeds that can approach 100Mbps or more, depending on telephone company facilities and the distance of copper between your home or business and the central switching office.  There are Metro Ethernet services that work over fiber networks, fiber-copper hybrid networks, and even traditional copper landlines — the ones Frontier uses to deliver its MetroE service.

Frontier is pitching Metro Ethernet primarily to medium and large-sized businesses who need more speed than the phone company can offer over its traditional DSL products.  The reason it’s not marketed to consumers is the cost.  Frontier’s Metro Ethernet service is included in Frontier’s tariff for Washington with an installation fee of $320 and a Metro Ethernet-Special Transport fee of $75 a month per DS1 (1.544Mbps).  Customers can get additional speed above 1.544Mbps by paying for additional DS1’s.

We called Frontier’s customer service and asked about service pricing in the Rochester area.  A residential customer service representative had to transfer us to the business products office — they do not sell “residential” Metro Ethernet.  A representative there said the service was available in several parts of Rochester, but was “completely unfeasible” for residential customers because of its cost.  Frontier DSL is the recommended solution for all residential customers in western New York, despite the fact the service does not exceed 3Mbps in our neighborhood (although it is marketed at speeds up to 10Mbps locally).

The following communities now have access to Frontier MetroE service:

• Coeur d’Alene, Idaho
• Bloomington, Carbondale, DeKalb, Freeport, Jacksonville, Lincoln, Marion and Olney, Illinois
• Elkhart, Fort Wayne, Lafayette, Richmond, Terra Haute and Valparaiso, Indiana
• Adrian, Coldwater, Mount Pleasant, Muskegon and Sturgis, Michigan
• Bryson City, Burnsville, Cherokee, Creedmoor, Durham , Hayesville, Marion and Murphy, North Carolina
• Gardnerville, Nevada
• Athens, Bowling Green, Delaware, Jackson, Marion, Medina, Troy and Wilmington, Ohio
• Beaverton, Coos Bay, Gresham and Hillsboro, Oregon
• Myrtle Beach, South Carolina
• Everett and Kennewick, Washington
• Merrill, Sun Prairie and Wausau, Wisconsin

Let us know what kind of pricing and promotions you can get from Frontier for Metro Ethernet in your area in our comments section.

Canada’s largest privately owned telecommunications provider is getting into the mobile broadband business.

EastLink, which owns cable systems in communities across nine provinces, is constructing its own mobile phone and data network set to launch in 2012.  Part of that network will be its own competitive wireless mobile broadband service.

EastLink is using licensed wireless spectrum acquired in a 2008 federal auction which will allow it to provide cell service in Newfoundland, New Brunswick, north and southwest Ontario, and the metropolitan region of Grand Prairie, Alta.  But its first priority is delivering service on Prince Edward Island and in Nova Scotia, where EastLink is based.

“With this network evolution, our customers will be able to work and communicate more reliably and faster than ever before,” said Matthew MacLellan, president of EastLink Wireless.

EastLink subsidiary Delta Cable delivers cable service in western Canada.

EastLink’s new wireless network will use HSPA technology, presumably at the speeds most common in Canada — 21 or 42Mbps.  Ericsson is providing the equipment for the network.

EastLink has nearly a half-million customers, a tiny number in comparison to market leaders Bell, Rogers, and Telus.  But the company has a reputation for delivering advanced service, and is well-regarded in Atlantic Canada, especially for delivering Internet at speeds up to 100Mbps.

“They have a very strong reputation so they’ll be likely to shake up the market down there,” Brownlee Thomas, principal analyst at Forrester Research Inc., told The Wire Report.

EastLink’s primary focus is on its Canadian subscribers, but the company has also investments in Bermuda, and its subsidiary Delta Cable delivers service to one American community — the enclave of Point Roberts, Washington, located south of Delta, British Columbia.

The U.S. government has filed a lawsuit to block a $39 billion dollar merger deal between AT&T and T-Mobile USA, citing substantially reduced competition for American cell phone customers.

“AT&T’s elimination of T-Mobile as an independent, low-priced rival would remove a significant competitive force from the market,” the Justice Dept. said in its filing.

“We are seeking to block this deal in order to maintain a vibrant and competitive marketplace that allows everyone to benefit from lower prices and better quality and innovative products,” said James M. Cole, deputy attorney general.

News that the merger could be ultimately blocked by the Justice Department caused AT&T and T-Mobile shares to lose as much as seven percent of their value.  But shares of competitor Sprint, considered the most vulnerable remaining competitor to AT&T and Verizon Wireless are soaring this morning by more than seven percent.

Cole’s statement was harsh in its condemnation of the merger’s benefits touted by AT&T:

The Department filed its lawsuit because we believe the combination of AT&T and T-Mobile would result in tens of millions of consumers all across the United States facing higher prices, fewer choices and lower quality products for their mobile wireless services.

Consumers across the country, including those in rural areas and those with lower incomes, have benefitted from competition among the nation’s wireless carriers, particularly the four remaining national carriers.   This lawsuit seeks to ensure that everyone can continue to reap the benefits of that competition.

Right now, four nationwide providers account for more than 90 percent of the mobile wireless connections in America, and preserving competition among them is crucial.   For instance, AT&T and T-Mobile currently compete head-to-head in 97 of the nation’s largest 100 cellular marketing areas.   They also compete nationwide to attract business and government customers.   Were the merger to proceed, there would only be three providers with 90 percent of the market, and competition among the remaining competitors on all dimensions—including price, quality, and innovation—would be diminished.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/Bloomberg Justice Targets ATT T-Mobile Merger 8-31-11.flv[/flv]

Bloomberg News delivered the breaking news that the Department of Justice would oppose the merger of AT&T and T-Mobile on antitrust grounds.  (2 minutes)

The deal falling through would cost AT&T a $3 billion dollar failed deal breakup fee, and a parting gift of wireless spectrum to T-Mobile USA, a unit of Deutsche Telekom AG.

Observers suggest part of the reason for the rejection may have been an attempt by the Obama Administration to draw a line in the sand for the size of large mergers and acquisitions it will tolerate.  The antitrust division of the Dept. of Justice has recently become more aggressive in reviewing large corporate merger transactions, and had the Administration approved the deal between AT&T and T-Mobile, the acceptance of permitting two companies to control the majority of wireless customers would have arguably meant virtually any merger deal would have passed muster, regardless of the implications of concentrated market share.

Traditionally, opposition from the Dept. of Justice spells doom for most merger proposals.  But AT&T is no ordinary corporate entity.  In addition to being confident enough to agree to a $3 billion breakup fee and giving away valuable spectrum should the deal fail, AT&T’s lobbying efforts and legal budget are unparalleled, and the company may decide to fight to preserve the deal using political and legal channels.  The terms of the merger could also be renegotiated, agreeing to spin off more customers to reduce market share, or compromising on consumer protections or other givebacks.

But for most companies, opposition from the government’s antitrust division is a high hurdle to overcome, and many won’t even try.

[flv]http://www.phillipdampier.com/video/CNBC Justice Blocks ATT T-Mobile 8-31-11.flv[/flv]

CNBC delivered the stunned reaction among its own anchors and telecommunications industry analysts about the Justice Department’s strong objections to the proposed merger.  Many on Wall Street predicted this was a ‘done deal.’  (12 minutes)

Should AT&T and T-Mobile abort the deal, that doesn’t necessarily guarantee Americans will still have four major carriers to choose from.  Deutsche Telekom maintains a strong interest in selling off T-Mobile USA, and has reduced investment in the company.  That could renew rumors of a merger deal between T-Mobile and Sprint.

AT&T executives as late as this morning seemed to have no advance warning of the Justice Department’s decision.  CEO Randall Stephenson spent much of his morning suggesting AT&T would hire thousands of call center workers as a result of the merger.

After learning of the impending lawsuit, AT&T released a statement: “We are surprised and disappointed by today’s action, particularly since we have met repeatedly with the Department of Justice and there was no indication from the DOJ that this action was being contemplated,” the statement said. “The DOJ has the burden of proving alleged anti-competitive affects and we intend to vigorously contest this matter in court.”

[flv]http://www.phillipdampier.com/video/CNBC Justice Press Conference on Blocking Merger 8-31-11.flv[/flv]

CNBC reporters and analysts react to the impact the Justice Department’s objections are having on the entire telecommunications business sector.  The question now being pondered at AT&T: Will it fight for the deal or will it fold?  (5 minutes)

This home in Silver Spring became fully involved in fire after neighbors couldn't reach 911 and had to rescue the 94-year old resident themselves.

More than 10,000 calls to 911 during last month’s blizzard on the east coast failed to reach emergency officials over Verizon’s network according to the Federal Communications Commission.  Even worse, terrorism experts suspect the 911 failures could impact the entire nation during a major disaster, weather event, or terrorist attack.

Last month, a Silver Spring residence went up in flames and neighbors had to rescue the 94-year old owner themselves after repeated attempts to call 911 failed.

The latest and most serious incident occurred in Washington, D.C. and its suburbs Jan. 26 when a snowstorm triggered more than 10,000 calls for help that never reached emergency responders.  The blame is being laid at the feet of one company — Verizon Communications.

All 14 circuits in the Verizon network that properly route all wireless calls in Montgomery County failed and nine of 10 Verizon circuits in Prince George’s County failed over a five-hour period on the night in question. This resulted in approximately 8,300 blocked 911 calls in Montgomery County and 1,700 blocked 911 calls in Prince George’s County that evening, according to Rear Admiral Jamie Barnett, Chief of the FCC’s Public Safety and Homeland Security Bureau.

“I know that you will agree that any 911 call which is not connected can have serious consequences, but the large number of missed 911 calls on January 26 is truly alarming,” Barnett wrote Verizon. “The ability to call 911 is critical to the safety of the public. This is especially true during extreme weather events. The public rightly expects that they can use 911 to reach the appropriate first responders in an emergency. In addition to your written response, I request a meeting with appropriate representatives from Verizon within the next two weeks to discuss your resolution of this matter.”

Barnett and the FCC also expressed concerns these problems may not be an isolated incident, but could be a nightmare waiting to happen wherever Verizon provides telephone service.

Verizon blamed an equipment failure and an avalanche of calls for the problem.

“We have been addressing this issue directly with the counties involved, and will work cooperatively to address the FCC’s questions, as well,” said Harry Mitchell, a Verizon spokesman.

[flv width=”600″ height=”380″]http://www.phillipdampier.com/video/Montgomery County 911 No answer.flv[/flv]

This YouTube video shows a 911 call in Montgomery County going unanswered for nearly a minute and a half.  (2 minutes)

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/WUSA Washington 911 Service Problems 2-22-11.flv[/flv]

WUSA-TV in Washington has followed the 911 disruptions for several weeks now.  Channel 9 picks up the story starting with the fire in Silver Spring.  (6 minutes)

[flv width=”640″ height=”500″]http://www.phillipdampier.com/video/WTTG Washington 911 Service Problems 2-22-11.flv[/flv]

WTTG-TV in Washington also reports on the frustration from 911 callers as well as city and local officials annoyed with Verizon.  (6 minutes)