US/ND-1: Re: Tech Support and Long Term Funding

Re: Tech Support and Long Term Funding

Marty Tennant (marty@sccoast.net)
Thu, 29 Aug 1996 09:20:39 -0700


Steve Kohn wrote:
 
> There is specific language in the Universal Service legislation that
> prohibits schools from reselling any service they receive via Universal
> Service.
> 

I realize this.  But if the discount levels are not on par with the
discount level for resellers, why go for the Universal Service bait to 
begin with?  As a resale based carrier, you have no restrictions like this.

As far as technical feasibility, I see school districts, not individual
schools, as the initiators of this kind of effort.  Their DP resources
would be needed for billing.

>From a student perspective, if we are suppose to be educating kids for the
future, what better way for them to learn that by being in the middle of
the biggest technological shift of the modern age?

>From a marketing perspective, you are selling a service that people already
have installed in their homes.  You are going to charge them the same amount
they are already paying for dialtone from the incumbent.  They will be aware 
that by getting their service from the school district reseller, they will be
assisting schools tremendously.  If you throw in long distance resale too, 
the profit picture increases dramatically.  Why do you think the telcos were
so willing to sell their network soul to get into long distance to begin with?

Of course, all profits go into infrastructure, so tax exempt status is 
preserved.

One other thing I like about this approach is that is short circuits the 
huge corporations from the equation.  I have numerous real world examples
of telcos and cable tv companies "efforts" to "help" education.  No thanks!!
I say this also as a former Bell System employee for many years.

As other commentors have said, the Telcos look like they might ignore the whole
USF issue for schools anyway.  I am seeing cynical interpretations of the law
like this in my negotiations with the telcos now.

Always best to know your options so you can choose accordingly.

This is just one way of proceeding.  Might not be appropriate for all.  Could
make a lot of sense for some.

Steve, I realize you work for NYNEX.  I don't mean any of this personally, but
I am increasingly wary of big corporations in this current environment.
 
Marty Tennant
President
Low Tech Designs, Inc.
"Bringing Technology Down to Earth"tm
"Common Sense Computer and Communications Solutions"tm