US/ND-1: Definition of services

Definition of services

Ken Hammer (ken.hammer@ConnRiver.net)
Fri, 30 Aug 96 21:50:57 -0500


Mary Harley Kruter said:
"Before one can grapple with the economic issues of pricing and discounting
a service, it is necessary to define the service. Is there a clear
definition or understanding of exactly what "telecommunications services"
means in the context of our discussion?  If not, that's where I suggest we
begin."

I like that.  I'm worried that the whole regulating process is getting way 
out in front of an evolving capability and may well stifle it so that it 
is more expensive than it need be.  Some earlier study I did suggested 
that the storage, transmission and switching about which we voice such 
concern in this seminar could ultimately be free at the margin.

We have heard some concern for the training, maintenance and upgrade 
costs.  I think those will exceed the data transmission costs by far 
and trivialize the issue "discounting" by the isp's and carriers.

Yet to evolve is the price for content.  So far it's largely free.  We 
seem to expect that to continue.  I don't.   Is that value and 
expectation included in our discussion?  It probably is not as a 
matter of FCC jurisdiction, but it certainly is important in considering 
the affordability of internet access to information by the educational 
institutions.   

-- 
-----------------------------------------------------------
K.F.Hammer Associates                           Ken Hammer
management consultations          St. Johnsbury, VT  05819
-----------------------------------------------------------
 
*MR/2 ICE Tag: Diplomacy: letting someone else have your way.