Telco's and the missing $200 Billion

"The United States is the 19th ranked nation in household broadband connectivity rate, just ahead of Slovenia. Want to know why? Because, contends telecom analyst Bruce Kushnick, the Bell Companies never delivered symmetrical fiber-optic connectivity to millions of Americans though they were paid more than $200 billion to do it. According to Kushnick's book, "$200 Billion Broadband Scandal", during the buildup to the 1996 Telecommunications Reform Act, the major U.S. telcos promised to deliver fiber to 86 million households by 2006 (we're talking about fiber to the home, here). They asked for, and were given, some $200 billion in tax cuts and other incentives to pay for it. But the Bells didn't spend that money on fiber upgrades -- they spent it on long distance, wireless and inferior DSL services."

And

"A damning list of indictments, and one that puts the telcos' demands for a two-tiered Internet in harsh perspective. We paid an estimated $2000 per household for fiber to the home and instead got DSL over the old copper wiring. As Kushnick notes, that's like ordering a Ferrari and getting a bicycle. The Bells should be ashamed. And held accountable." Link

Perhaps this is an issue that all of us should become more aware of and start asking questions of our elected officials. Certainly, $2000 in tax money for my "cable high-speed" link is a huge waste of money.