Re: cr> Telecom Companies’ Costing Models Obsolete?

1996-01-21

Arun Mehta

> Queries:  Will telcos change pricing strategies to correspond to 
> economic realities?  How, who will lead, how will the Internet
> figure  into their business plans?

Good questions. I think Low-Earth-Orbit satellite communications will be 
the trigger. For now, Iridium & co. seem to be cooperating with the 
telcos, suggesting that they could help where the telcos have a hard 
time providing service, e.g. remote areas. Classic camel-in-the-tent 
technique, IMO. They will have so much bandwidth going abegging, 
particularly over developing countries, they are bound to muscle into 
direct competition with the telcos.

While they all are unable to make much sense of the Internet, I think the 
Internet will survive and thrive precisely because the telcos will not be 
able to agree on an alternative. Nor could their alternative have the 
dynamism of the net. They will be reduced to the level of ordinary 
utilities, such as water or electricity, useful , but no big deal.

I'd love to see more discussion on this topic and other opinions.

Arun Mehta, B-69 Lajpat Nagar-I, New Delhi-24, India. Phone 6841172,6849103
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