Spreading Broadband Through Electronic Loop Provisioning can be faster and cheaper

Everyone wants high-speed Internet service (broadband) spread
across the country. But some believe the only way to roll out
broadband rapidly is to abandon the pro-competitive provisions of
the Telecommunications Act of 1996 (TA96) and hope that the
regional Bell operating companies — the Baby Bells — will
accelerate broadband investment in a race for profits.

Milken Institute

Fortunately, there is a way to expand broadband without
undermining local phone competition — one that would put the
Baby Bells and emerging rivals on an equal playing field while
minimizing the need for the Baby Bells to provide services to
their rivals, says economist Laurence Kotlikoff.

The fix involves using a next-generation, low-cost technology
called ELP (electronic loop provisioning).

o "Loop" refers to the local loop — the local telephone
lines, telephone poles, underground conduits and switches
that connect individual users to the outside world.

o "Provisioning" refers to the cumbersome process that sets
up and cross-connects both voice and data circuits
electronically.

ELP would give competitors the same access to customers as the
Baby Bells now enjoy. There are additional benefits to the
technology:

o It would make it possible to switch customers from one
telecom company to another — or between voice and data
services of one company — with the same speed, cost and
reliability as long distance service is now switched.

o ELP can deliver broadband speeds 30 to 100 times faster
than current rates.

o It would lay the groundwork for video streaming and other
applications.

Much of the infrastructure for ELP is either in place or slated
to be installed. Using these resources, which requires Baby Bell
participation and cooperation, would greatly reduce the cost of
implementing ELP.

Source: Laurence J. Kotlikoff, "Breaking the Logjam: A
Technological Fix," Milken Institute Review, First Quarter 2003,
Milken Institute.

For text
http://www.milkeninstitute.org/publications/review/2003_3/56_64mr17.pdf

For more on Regulatory Issues (Telecommunications)
http://www.ncpa.org/iss/reg/