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Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent Weingardt Brian Andrew Richard Stern Tuesday February 20, 2001 2:00 – 3:00pm

Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

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Page 1: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Broadband Wireless World Forum 2001

Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners

and Managers

Brent WeingardtBrian Andrew

Richard Stern

Tuesday February 20, 20012:00 – 3:00pm

Page 2: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Broadband Wireless World Forum 2001

Competitive Access to MTEs/MDUs:The Government Weighs In

Brent WeingardtBennet & Bennet, PLLC

[email protected]

Page 3: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Preview: Precursors to the Access Issue The Changing Regulatory Environment New Technologies The Claims of New Players The Government Response

A Review of the FCC Decision What’s Up on the Hill State Action

Page 4: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Precursors to the Access Issue: Market Concentration Regulatory Changes Technology Changes MTU Consumer Disconnect

Page 5: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

The Changing Regulatory Environment: Pre - 1984

Pre - 1996

Post -1996

Page 6: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

New Technologies: DSL Cable Modems Digital Fiber Satellites

Fixed Wireless

Page 7: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

The Claims of New Players: ILECs Block Access Consumers Want Choice MDU Consumers Denied Choice

Page 8: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

The Government Response: Aggressive In Opening Incumbent’s Networks

Section 251

Aggressive In Opening Communities Section 253

Slow to Open the Last Mile Section 706 Section 207

Page 9: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

A Review of the FCC’s Competitive Network’s Decision

Exclusive Contracts Demarcation Point Access to LEC Conduits & Rights-of-ways Placement of Small Broadband Antennas

Page 10: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Exclusive Contracts Prohibited in “Commercial” MTEs “Exclusive” Broadly Defined Applies to ILECs & CLECs Treatment of Mixed Use Bulidings Grandfathering of Current Contracts?

Page 11: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Access to Inside Wiring Inside Wiring and DEMARC point Defined Building Owner May Request Move of DEMARC to MPOE MPOE Not Automatic LEC Must Disclose DEMARC Point Within 10 Days ILEC May Install And Maintain Inside Wiring Under Contract

With MTE Owner

Page 12: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Access to Conduits and Rights-of-Ways Section 224: Non Discriminatory Access to Poles,

Ducts, Conduits or Rights-of-Way Owned or Controlled by the ILEC

Right-of-Way Defined Applies to In-Building & Underground Facilities State Law Applies to Determine ILEC’s Right to

Provide Access to Competitors Reasonable Compensation for ILEC Determined on

a Case-by-Case Basis

Page 13: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Placement of Small Antennas OTARD Rules Extended to Fixed Wireless Antennas Does Not Apply to Hub or Relay Antennas Tenant Must Have Exclusive Use or Control of Mounting

Site OTARD Protection Requires Safety Labelling

Page 14: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

FCC Still Pondering:Non-Discriminatory Access

Can FCC Prohibit LECs From Serving MTEs Whose Owners Prevent Competitors In?

Does Indirect Regulation Constitute A Taking? Apply to Commercial or Residential MTEs? Both? Details, Details, Details !!! Triggered Only by Tenant Request for Service?

Page 15: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Still Pondering (cont)Exclusive Access Contracts

Apply Prohibition to Residential MTEs?

Apply Prohibition to Existing Contracts?

Sunset Date For Existing Exclusivity Clauses?

Page 16: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Still Pondering (cont):Preferential Marketing (cont)

Ban LEC/Building Owner Relationships that Act to Exclude Others?

BLECs and MTE Owners Cause Abuse?

Page 17: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

FCC Still Pondering (cont)Definition of Rights-of-Ways Could it Apply Any Where In Building? Absence of a Defined Space or Pathway?

Cable Home Run Inside Wiring May Telecom Providers Purchase Purchase

Abandoned MVPD Wiring?

Page 18: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Texas: A Trend in the Making?

Non-Discriminatory Treatment by Building Owners

Applies to Commercial and Residential Buildings (4 or more units) Tenant Entitled to Choose Telecom Service Provider MTE Owner May Impose Conditions CLEC Entry Triggered by Tenant Request No Exclusive Contracts Right to Tour Building and Receive Technical Drawings 30 Days Notice to Building Owner of Installation and 30 Day Negotiation

Period Inadequate Space and Safety Concerns Reasonable compensation Dispute Resolution

Page 19: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Government Response: (cont) What’s Up on the Hill ?

House

Senate

Prospects

Page 20: Broadband Wireless World Forum 2001 Building Access Case Study: Gaining Customers Without Sacrificing Profitability to Building Owners and Managers Brent

Government Response: (cont) Executive Orders

State Laws

State Commissioners (NARUC)