Fwd: New York's Con Ed sends power to a telecom hotel -- its own

Thu Mar 1 18:03:18 UTC 2001

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>Date: Thu, 01 Mar 2001 11:18:35 -0600
>Subject: New York's Con Ed sends power to a telecom hotel -- its own
>To: sgoldste at nsf.gov
>From: NW View from The Edge <TheEdge at bdcimail.com>
>Reply-To: The Edge Help <NWReplies at bellevue.com>
>
>NETWORK WORLD NEWSLETTER: DAVID ROHDE
>with THE VIEW FROM THE EDGE
>02/27/01 - Today's focus: New York's Con Ed sends power to a telecom
>                           hotel -- its own
>
>Dear STEVEN N GOLDSTEIN,
>
>In this issue:
>
>* How one utility is becoming a collocation provider. 
>* Related links
>* Featured reader resource
>* IT Job Spot(tm): Mission-critical opportunities with marketplace
>                    winners
>
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>Today's focus: New York's Con Ed sends power to a telecom
>                hotel -- its own
>
>By David Rohde
>
>Recently we reported that the rise of collocation spaces for carriers
>and ISPs built largely on speculation has raised alarms at electric
>companies. They fear that proposals for such concentrated uses of
>power - up to 10 times the normal load for a commercial office
>building - could tax their ability to build out their power grids.
>
>So here's an irony for you. New York's Consolidated Edison Co., far
>from shooing away collocation providers, has decided to become one
>itself.
>
>Actually, the idea for a new collocation facility in Manhattan comes
>from Con Edison Communications (CEC), the electric utility's telecom
>subsidiary. CEC participates in a major telecom hotel at 111 Eighth
>Ave. in Manhattan, and last week announced it was offering 22,000
>square feet of collocation space to ISPs, CLECs and value-added
>service providers.
>
>CEC has hired 15-year Bell Atlantic veteran Peter Rust as president
>to lead the company's charge into the wholesale carrier's carrier
>business - which, in New York, could include services to financial
>firms that run big-time private networks.
>
>CEC is running fiber up and down the island of Manhattan. It aims to
>directly connect 1,000 buildings in the next four years, and put
>itself within a few blocks of all the other buildings. It competes
>with metro fiber players like Metromedia Fiber Network, whose new
>long-haul buildout we wrote about last week
>(http://www.nwfusion.com/edge/columnists/2001/0219edge1.html), but
>CEC is concentrating on lighting its own fiber for both pure optical
>and SONET-ready services.
>
>Among CEC's key suppliers are Cisco for its Cerent family of
>next-generation SONET boxes running up to OC-48, and Nortel for its
>OPTera metro optical switches supporting dense wave-division
>multiplexing (DWDM).
>
>CEC doesn't have religious fervor about which technologies to favor,
>just a conviction that carriers in New York City need massive amounts
>of capacity. It'll support TDM, Gigabit Ethernet and pure IP. It'll
>also support DWDM, but only from POP to POP, not directly to the
>enterprise. "I can't cost-justify offering wavelengths to the
>building," Rust tells me.
>
>Still, one of the things CEC will be promoting to service providers
>is the ability to run directly into buildings where all the
>enterprise customers are located. Rust says that his building model
>leaves him less concerned about the typical problems with in-building
>broadband service, centering around service providers who play a
>chicken-and-egg game of waiting to serve a building until they have
>signed up customers there.
>
>That's largely a problem where service providers are trying to
>cost-justify T-1 voice and data services with relatively scant profit
>margins, he says. CEC and its carrier customers are going after
>bigger fish. "We'll offer a T-1 if we're in a building anyway," says
>Rust. "But we're not going to go into a building just for a T-1."
>
>Regarding power requirements, Rust turns what others consider a
>problem into an opportunity. Perhaps because New York already has
>well-established carrier meet points, "there aren't that many collo
>hotels in the city," he says. "There are a number proposed, but I
>don't think they're all going to be built." The main point is this:
>"There are options for power companies - to go into the on-site
>generator business in these buildings, either primary or back-up."
>
>Right now CEC is concentrating on the New York metro area, but it has
>applied for necessary regulatory approvals to operate in states from
>Maine to Washington, D.C. It's partnered with Neon Communications,
>which providers long-haul fiber transport services linking the
>population centers in the Northeast.
>
>_______________________________________________________________
>To contact David Rohde:
>
>David Rohde, managing editor of Network World's The Edge, has
>been covering and analyzing telecom issues - from plain old
>telephone service to optical networking and everything
>between - since 1990. As a senior editor for Network World,
>he has specialized in frame relay, ATM and IP services,
>traditional and packet-switched voice services, and
>computer-telephony integration. David also analyzed local
>and long-distance tariffs and wrote rate-database documentation
>for the Center for Communications Management Information.
>He writes the popular "Eye on the Carriers" column every week
>in the Network World print edition. You can reach him at
>mailto:drohde at nww.com.
>
>_______________________________________________________________
>RELATED LINKS
>
>Our most recent report about the power issue affecting collocation
>sites
>http://www.nwfusion.com/edge/columnists/2001/0129edge1.html 
>
>A recent report by Network World Senior Denise Pappalardo about
>AT&T's new Ultravailable Broadband Network service based on the
>Nortel OPTera equipment
>http://www.nwfusion.com/archive/2001/116244_01-29-2001.html 
>
>Our optical newsletter's most recent report on Cisco's optical
>business 
>http://www.nwfusion.com/newsletters/optical/2001/00380622.html 
>
>Archive of the View from the Edge columns:
>http://www.nwfusion.com/edge/columnists/index.html
>______________________________________________________________
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>Copyright Network World, Inc., 2001
>
>------------------------
>This message was sent to:  sgoldste at nsf.gov
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