Verizon Public Policy on Netflix

William Herrin bill at herrin.us
Fri Jul 11 17:17:56 UTC 2014


On Fri, Jul 11, 2014 at 11:38 AM, Miles Fidelman
<mfidelman at meetinghouse.net> wrote:
> Then again, I've often argued that the "universal service fund" used to
> subsidize rural carriers - which the large telcos always scream about - is
> legitimate, because when we pick up the phone and "dial," we're paying for
> the ability to reach people, not just empty dial-tone.

The USF worked great until the Clinton administration re-purposed it
to buy computers for rural schools. Now it's just another tax.

Before that, the basic idea was that every phone line paid in a fixed
amount every month and then when a phone company installed an
expensive rural line, they recovered the excess cost from the fund.
This made high-density urban lines cost neutral compared to low
density rural lines, making rural service desirable for the service
provider.

Regards,
Bill Herrin


-- 
William D. Herrin ................ herrin at dirtside.com  bill at herrin.us
3005 Crane Dr. ...................... Web: <http://bill.herrin.us/>
Falls Church, VA 22042-3004


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