Bell Companies Stifle Broadband Growth, Critics Say

LAFAYETTE, La. — Large regional telecommunication companies are attempting to stop small cities and town from creating their own broadband networks, according to the mayor of rural Lafayette, and using the aid of the FCC to do it.

Joey Durel, mayor of the 116,000 person-large town located in southern Louisiana, says that BellSouth, the regional telecommunications company that operates in the south-eastern United States, is attempting to stymie the city’s plans to create a broadband network that would offer data, voice and video to the town’s residents.

“We have the opportunity to do something great for this community – and in a state that needs a big win,” Durel told USA Today Wednesday. “They have to get out of our way.”

The companies, according to critics, are engaging in a tactic where they attempt to leverage threats of decreased broadband deployment against regulators in order to receive concessions and forcing states like Pennsylvania, which recently considered a Verizon-backed bill to bar cities from selling broadband services, to allow them a monopoly on high-speed Internet access.

Currently, U.S. consumers pay relatively high rates for high-speed Internet access, averaging around $35 to $40 a month for speeds of one to two megabits per second. Japanese Internet users pay about $15 a month for speeds of 30 megabits per second or higher.

According to people like Mark Cooper, research chief for the Consumer Federation of America, the Bell companies can maintain high prices for service because of a series of waning promises made to the FCC in exchange for rulings that would allow the companies to deny rivals access to their lines, a former staple of telecommunications regulation.

In exchange for promising to run fiber lines straight to homes, for example, the FCC ruled that the companies should not be forced to open their lines to competing companies.

Currently, BellSouth intends to run fiber to neighborhoods and use copper wires to connect to homes. SBC has asked to be allowed to take fiber to nodes, the copper wires that run from switching offices to homes and businesses, lengthening the distance from fiber connections to homes even farther.

“By splicing in a little fiber, the Bells can squelch competition,” EarthLink Vice President Dave Baker told USA Today. “There can be and should be competition in broadband services on new networks.”

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

'Neon Nightswim' Party Returns to XBIZ Miami

XBIZ is pleased to announce that the annual Neon Nightswim Pool Party will once again illuminate XBIZ Miami on Tuesday, May 20.

FSC Addresses UK Age Verification Guidelines

The Free Speech Coalition (FSC) has published an article offering guidance on the U.K.'s Online Safety Act and the various guidelines put forward by the country's telecommunications regulator Ofcom.The article follows:

European Commission Posts AV Guidelines, Seeks Feedback

The European Commission has made public its draft guidelines on protecting minors online under the Digital Services Act, including age verification requirements covering adult sites and platforms.

'White-Hot' Party Set to Kick Off XBIZ Miami

XBIZ is pleased to announce that the annual White-Hot Party, the official opening bash of XBIZ Miami, is set for Monday, May 19, at Mynt Lounge in South Beach.

AEBN Publishes Popular Searches for March, April

AEBN has announced the top search terms for March and April from its straight and gay theaters in all 50 states and the District of Columbia.

Takedown Piracy Adds 'Search Max' Feature

Takedown Piracy has launched Search Max, a search engine for detecting, verifying, and removing Google infringements.

Sex Workers' Group Fights Proposed Swedish Ban on 'Remote' Sexual Services

The European Sex Workers’ Rights Alliance (ESWA) has launched a campaign against a Swedish government proposal to expand current laws against purchasing sexual services to apply to acts performed remotely by cammers, streamers and custom content creators.

FSC: Arizona Governor Signs Controversial Age Verification Law

Free Speech Coalition has released a statement regarding Arizona Governor Katie Hobbs signing the state's age verification bill into law.

NCOSE Sues 4 Adult Websites Under Kansas Age Verification Law

The National Center on Sexual Exploitation (NCOSE), a conservative anti-pornography organization, has sued four adult websites in Kansas under the state's age verification law.

Sarina Havok, Robin Coffins Launch New Site Through Grooby's Blue.xxx

Sarina Havok and Robin Coffins have launched their new membership site, SarinaAndRobin.com, through Grooby's website management company Blue.xxx.

Show More