October, 2006

Hill Associates Telecom Newsletter

Hello!

This month brought some interesting news from the world of telecom. First, members of Congress are raising concerns about the AT&T/BellSouth merger scheduled to close in October. Could there be trouble ahead in telephone merger land? Second, Bernie Ebbers, former WorldCom CEO and leader of the dot com merger mania, reported for duty at the federal prison in Louisiana. Does this signal the last chapter in the dot com collapse? And last, Catherine Zeta-Jones will be dumped as the celebrity spokesperson for T-Mobile when her contract expires. Are consumers developing a dose of celebrity overload? Or, is it that wireless carriers need to focus instead on performance to attract and retain customers, as wireless markets in the U.S. approach saturation? One thing is for sure, it is an exciting time to be in the telecom industry.

I hope you enjoy the articles in this newsletter as much as I will enjoy the Harvest Moon that will light the landscape in the next few days. Of course, this means that winter will be here all too soon.

Until next month,

Paul
President & CEO


In the News

Stumble upon your favorite website
The Web 2.0 service StumbleUpon uses the power of community to find websites of interest to you. Over 1.3 million users have rated their favorite sites, which in turn will help you find your favorite sites. Just download and install a tool bar to your browser—either Firefox or Explorer—register, and identify your favorite topics (e.g., sports, computers, religion, health). Then click on the Stumble button. It's that easy!

Technology tackles crime
Sticky fingers beware! Retailers are cracking down on shoplifting with more intelligent surveillance systems: digital video, RFID, wireless alerts sent to handheld devices 24/7, and data mining, to name a few. One of the most interesting new systems is the electric fence. Employees can lock the wheels of a cart remotely, if they suspect someone of exiting a store with a cart containing stolen merchandise. For more information on RFID, listen to our podcast series.

Scream 4: A Cell Phone Is Stolen
A UK security firm has developed software that will disable a cell phone, wipe out personal data, and even make it scream! Read the article in eWeek.

Got blog?
Blogging is a phenomenon experiencing explosive growth with approximately two blogs being created per second. Why blog? Some people blog to communicate with friends and family, others to share their views with the world. With the lack of control on blog content, we are seeing an upswing in blogging-related lawsuits. In many ways blogging is the modern equivalent of keeping, and sharing, a diary. If you wish to dip your toes in blogging water, feel free to comment on our blog, or start your own. Some popular sites include blogger (Google), Windows Live Spaces (Microsoft), MySpace (News Corp.), and Vox (Six Apart).


Industry Analysis

Do you remember when the Web was young?
The wayback machine allows users to view archives of 55 billion Web pages from 1996 to the present. Compare our current website with that from October 1997. Very different! See how your favorite website has evolved.

Mobile ESPN bites the dust. Are other MVNOs in danger?
The mobile virtual network operator (MVNO) business—companies selling cellular services without owning a network—has been touted as the next big thing (TNBT) in telecom for some time. However, with less than one year in the business, Mobile ESPN has announced it will shut down. Many are now questioning the viability of the MVNO business model. We believe ESPN has a much bigger opportunity to sell its content for delivery via other operators than the one offered by the MVNO option.

What do you think? Post your comments here.


Tech Talk

Will VoIP peering mean the end of the PSTN?
SentitO Networks and Stealth Communications have announced that Internet telephone service providers (ITSP) can connect directly to offer end-to-end IP connectivity between VoIP users. Eighteen million telephone numbers are in their ENUM registry, supporting call rates of 700,000 calls per day. As more ITSPs peer, the PSTN will no longer be needed to interconnect VoIP customers. Rich Tehrani of TMC calls 2006 the year of VoIP peering and relates ITSP peering to Metcalf's law of value in telecommunications. Peter Southwick reviews the constructs and benefits of ITSP peering in this podcast and the associated blog.

Free IP telephony chapters online
The first two chapters of a new IP telephony book are available free on the Internet. The first chapter contains a history of voice over IP and case histories of VoIP deployments. The second chapter explores the IP telephony lifecycle. These chapters are a good starting point for readers looking for hard dollar figures for ROI and TCO. Author Jim Cavanagh analyzes the true costs associated with IP telephony and VoIP deployment. If you desire more depth, consider our new IP telephony workshop, described below.


New Hands-on Workshop

IP Telephony: Protocols and Implementations
Most enterprises will eventually move to VoIP technology and implement IP telephony (IPT). Yet for all the "plug and play" services from several players, setting up a corporate IPT infrastructure can be quite complex. Therefore, the IT staff must understand the various technological requirements, architectural components, and protocols critical to the successful implementation of real-time traffic (e.g., voice within an IP infrastructure). Specifically, implementers must understand the analysis of the SIP protocol stack for voice calls; QoS options in an Ethernet switched environment and an IP routed environment; and VoIP operation in a network that employs network address translation (NAT). Read more in the course description.


Recent podcasts
 - Disruption—Introducing Web 2.0
 - Follow the data
 - What would John Malone YouTube?
 - Bernie and Sol: Leaders or Bleeders?

Recent blog posts
 - Sir Tim on Net Neutrality
 - Disruption—Introducing Web 2.0
 - Tubesafe
 - Saving the environment, one download at a time?


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