The Broadband Problem: Anatomy of a Market Failure and a Policy Dilemma

Index

227 ABC, 151 Academic policy research, 116–18, 206–07 Adelphia, 145 ADSL (asymmetric digital subscriber line): availability of, 3, 33, 143; cable modem compared with, 140; and ILECs, 66, 76–77, 132; lawsuit over line sharing, 115; priceperformance ratios, 77–80; pricing of, 66–68 Agency problems, 24 Airtouch, 101, 111 Akers, John, 39 Alcatel, 74 Allen, Paul, 124 Allen, Robert, 161 Amelio, Gil, 124 American Economic Association, 53 Americast, 101, 111 Ameritech, 99, 104, 105, 132, 151. See now SBC Andreessen, Marc, 18, 121 Antiterrorism, 10, 211–14. See also National security Antitrust: economists and consultants on, 116, 117; European vs. U.S. policy on, 214–15; inadequacy of federal system for dealing with, 174–75, 201–02; recommended action against ILEC and CATV industries, 194–95, 200; role of FTC and DOJ, 172–75. See also Monopolies ; specific companies subject to antitrust action (for example, AT&T, IBM) AOL, 17, 35, 85, 108 AOL Time Warner, 150, 151, 153, 157 Apple, 16, 17, 35, 38 Armstrong, C. Michael, 160, 161, 162 Ashton-Tate, 172–73 AT&T: and CATV industry, 145, 150; complaints about ILECs, 95, 131, 161; failure to penetrate local market, 103, 108, 158, 159–62; lobbying activities of, 115; monopoly history of, 12–13, 14, 22, 179, 183; poor performance of, 159–62; since divestiture, 14–15, 19, 81, 132, 196; study of ILEC investment behavior favoring, Index 1901-09_INDEX.qxd 03/03/04 11:00 Page 227 228  187; and UNIX operating system, 37, 162 Automotive industry, 182, 183 Babbio, Lawrence, 123 Baby Bells. See Regional Bell Operating Companies (RBOCs) BANM, 101, 110 Barker, James, 124 Barr, Williams P., 113 Bartz, Carol, 125 Bass, Charlie, 121 Bell Atlantic, 100, 101, 104, 110, 111, 120, 123, 151, 173 Bellcore, 81, 82, 136 BellSouth, 101, 111, 132 Berners-Lee, Tim, 18 Bigelow, John, 135 Boards of directors. See Directors Borland, 172 Brazil, 55 Broadband service improvements: IXC’s views of, 158–59; in light of duopoly of CATV industry and ILECs, 139; restrictions from content industries, 21, 151–56; under status quo, 176–79. See also Open architecture and innovation Bush (George W.) administration, 130, 132, 133, 170–71, 173 Cable modems, 3, 33, 50, 141, 143, 144. See also CATV industry Cable television. See CATV industry California electric prices, 215 Campaign contributions, 114 Canada and broadband service, 3, 56, 92 Capital investment. See Investment Carrion, Richard, 124 CATV industry, 139–48; antitrust actions against and regulation of, 172, 194–95, 200; bandwidth limitations of, 144, 147; broadband technology as threat to, 20, 29, 151–52; distribution monopolies of, 145–51; divestiture recommendations for, 198; entry barriers to, 191; global integration, 45; and HDTV, 147, 148, 153; historical background of, 13–14; incentive structures of, 145–51; Internet as threat to, 152; Internet services of, 156–58; productivity measures of, 155–56; proprietary content, 21, 145–51; relationship with ILECs, 61, 111, 115, 132, 195; resistance to innovation and open architecture, 40–41, 145, 151–56; technological, structural , and financial performance, 59, 142–45. See also Duopolies Cell phones: background of industry, 15; ILECs offering service, 61, 105, 110–11, 132 Charles River Associates, 113 Charles Schwab, 93 Cheney, Dick, 170 China. See Developing countries Cingular, 15, 111 Cisco, 17, 22, 32, 35, 88, 93, 101, 120, 121, 125 Clark, Jim, 121 Clark, Kim, 182 CLECs (competitive local exchange carriers ): and ADSL lawsuit, 115; complaints about ILECs, 95, 131; Internet bubble and crash, effect on, 6, 20, 58, 131, 178; lobbying by, 113; and longdistance industry, 59, 158–64; market share of, 138; offering commoncarrier services, 130–31; relationship to ILECs, 79, 103, 130–31, 164–65, 197 Collective action problems, 24 Comcast, 143, 144, 145, 147, 150, 157, 162 Committee on Broadband Last Mile Technology (National Research Council), 1 Compensation of executives and directors , 119, 122, 125–26, 161 1901-09_INDEX.qxd 03/03/04 11:00 Page 228  229 Competition, 138–68; CATV industry as, 139–48; CLECs as, 164–65; coordination and avoidance of, 103, 105–10, 155; in foreign markets, 214–15; and IBM, 35–41, 172; ILEC competition since 1996, 103, 126–37; ILECs providing poor service to, 95, 131, 190; IXCs as, 158–64 CompuServe, 17 Conflicts of interest: for academic experts, 116–18, 135, 174; recommended federal action to curb, 206–07 Consulting, 112–13, 116–18, 174–75, 207 Content businesses. See Proprietary content Cooperative relationships, 110–12. See...