You're right. With the right people, right equipment, right procedures, and everything right, you CAN sell DSL at $19 a month and make a profit and you can sell long distance at 5 cents and make a profit.

But, sadly, we live in the "real" world.

AT&T Broadband is a prime example. When @home ran my network, I was able to flawlessly connect 3 computers on 3 different subnets to my cable modem and be able to use all 3 simultaneously. My Linux box could serve web pages, my work computer could VPN, and my home computer could surf the net. I was happy to pay the $29 a month initially, and even accepted the $65 a month when the rates went up.

Then AT&T took over. They promised my service would "be the same, no change". First they sent me a notice advising me that I could not VPN, unless I paid for a "premium" account ( $99 a month ). They continued to bill me for 3 additional IP addresses for 2 more months, while I went through hell with their tech support (multiple hour waits, taking off from work to wait for a service person, etc.), only to finally tell me that the only way I was going to be able to set up my 3 computers was to buy their "networking solution". All they had to do was allocate me 3 DHCP addresses on the same subnet, and my router would have been fine. But, they're stupid, I guess.

The networking solution was a router with NAT, to multiplex 3 computers over my single "new" IP address for $400-500. Finally, I capitulated and bought a 2nd network card for my Linux box. I set up NAT and routing for $19, but my VPN still doesn't work through Linux (because it's friggin' MICROSOFT VPN!). So, I disconnect my Linux box when I need to VPN and plug in the laptop from work.

I then called AT&T and asked them to disconnect my 2 additional IP addresses ( to save $10 a month). They wanted to know why I was wanting LESS service, and I was too frustrated at that point to explain it to them.

Then I get a flyer in the mail for $29 DSL service from SBC, free installation. I call them and ask. Service is available in my area. I'm excited. Then we get to the fine print.

First of all, the free installation is only for a "minimum" service option where you install it yourself. You must have only a single DHCP allocated connection to the Internet, no HTTP server allowed, no VPN. I asked about additional IP addresses, and they advised me that I would then move to the "premium" service package, $400 installation, 2 year contract, $65 a month. But, serving web pages is still prohibited, (but I'm allowed to use my VPN to work).

Small business package is $200 a month, plus I have to convert my home phone account to a business account. Installation charges still apply. Then I serve web pages.

All I can figure is that noone can figure this out and they're all going to get rich getting it COMPLETELY WRONG! These huge companies have decided to hire morons for $9 an hour (or less), and then basically run off any customers who want anything more than a "standard/minimum" configuration. What a way to run a business!

I work in a town that has their own cable modem service separate from AT&T called Greenville Electic Utility Service or GEUS ( we call it "goose" ).

Since the owner of our company is on the Board of Directors of GEUS, employees who live in town have had no problem getting cable modem, additional IP addresses, etc. at a very reasonable price. The GEUS employees get to go to class on the technology and everyone is happy with the service. They guy down the block installs your cable modem. You see him in church. Maybe we need to run the "big shots" like AT&T and SBC out of our communities and set up truly "local" phone, cable, and electic utilities like Greenville, TX has. GEUS has a T3 to the Internet backbone that everyone in town shares.

Big companies simply cannot understand the local customer service issues that a small company can, so they need to stay in the backbone business and leave customer service to companies like GEUS.

A friend of mine consulted at MCI on some software that, if implemented, would have created an awesome high speed network of content delivery ( commercials, TV shows, movies ) over their backbone. Sadly, the management he worked with was completely entrenched in telco (must sell bandwidth), and didn't care at all about the software development effort. The project was finally delivered for a single customer, then cancelled. But, during my friend's stay there, they had Disney, ad agencies, and lots more companies lining up to buy the software (and the service), if MCI would just do some more with the software to meet the customer's needs. No deal...

So, I'm not really happy with anything telco right now, mainly because it is so terribly managed, with terrible customer service, and I get to watch LOTS of friends get laid off from Alcatel, Nortel, MCI, Ericsson, Seimens, etc. here in Frisco/Plano/Richardson Texas in the heart of the telecom corridor. I swear about 20% of my church friends are laid off. The unemployment rate is officially 7.5% in Dallas/Ft. Worth, but I swear the "local" rate is more like 15-20% and growing daily.

Stop the madness! If you own a business needing good Unix/C/C++ people, NOW is the time to locate a development center to D/FW. Forget Bangladore, you can do just as well in D/FW. Senior people are taking $20,000 - $30,000 pay cuts. Kids right out of college will work for $30 or 35K.

And the impact isn't completely felt yet, because most of my laid off friends have severence packages which will keep them afloat until September or so. Home bankruptcies are already soaring, and I fear this is just the beginning.

Glen Austin