Entry Into Telecommunications: Rural ILEC Perspective

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Slide 1

NTCA logo, The Rural Voice of Telecommunications

Entry into Telecommunications

Rural ILEC Perspective

Jill Canfield
Senior Regulatory Counsel
NTCA
jcanfield@ntca.org

Slide 2

Changing Face of Telecommunications

Photograph showing two girls using cell phones with a boy looking over their shoulders

Slide 3

Rural Youth

9 out of 10 have mobile phone
Pay up to $50/month for service
Consider mobile service “essential”
90% have Internet connection
Primary use is email
Consider broadband access “essential”
Half have more than 100 channels of video
No brand loyalty

Slide 4

Independent Rural Carriers

Independent Rural carriers are progressive:
- Rural telephone companies were the first to deploy digital switching
- 97% offer custom calling features
- 92% offer Internet
- 84% offer long distance
- 55% offer mobile wireless service
- 29% are CLECs
Rural Carriers are community based companies with local decision making
Rural Carriers are strongly committed to public service
Rural Carriers have a reputation for quality service

Slide 5

Nonmetro Counties

Map of the 50 states, Alaska, and Hawaii showing areas covered by metropolitan and non-metropolitan counties [D]

Slide 6

Advancing the Communications Revolution

Map of the 50 states, Alaska, and Hawaii showing geographic areas covered by the local telephone networks of NTCA member companies [D]

Slide 7

Competitive Pressures

Minutes of use declining
Increased emphasis on broadband “pipe”
87% face broadband competition from at least one other provider
Most face competition only in cities and towns, but 47% throughout service territory
54% “very concerned” about cable offering voice

Slide 8

BROADBAND MARKETING PROMOTIONS

Bar graph showing the types of marketing promotions offered by providers [D]