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by bobo888 5462 days ago
Well this is how it happend in Romania:

----------------- 2000 - 2002

There was NO regulation. We just threw UTP cables from building to building, and bought external connectivity from bulk sellers. We didn't pay any taxes. We didn't have any signed agreements with "customers". We didn't have any permits from the city council either. There were no employees... heck, we weren't even registered as a business.

We just threw UTP cables through the city like it was in our own backyard. The only problem was after thunderstorms, when there was a shortage of switches to replace the burned ones :) Oh, and from time to time I had to call some customer's mom to ask her to reset the stuck switch hosted by her kid, because half the network couldn't connect to the internet.

Users paid about $10 for 100 mbps connectivity with other users (multiplayer games and movie/mp3 sharing) and 64 kbps internet access.

Basically we were just some highscool/college kids building a LAN, and every user paid a share of the costs. My network had about 200 subscribers and covered a 2x2 km area. Several networks like this one were scattered throughout the city. Every month a couple of new networks appeared, while others bit the dust (including my own).

----------------- 2003 - 2004

(By this time me and my friends lost interest in being a "pseudo-ISP", so I can only speak from the POV of a customer)

Networks with 100-300 users began joining together forming networks of 1000+ subscribers. Companies were formed, real sys-admins were hired. Some backbones were now built with fiber optics.

Big companies noticed this and started to complain in the mass-media, calling such networks "illegal". Well, they were partly right (nobody gave a f#ck about building permits and taxes).

Now users paid $10 for 100 mbps connectivity with hundreds and even thousands of other people, and 256 kbps internet access. Big telcos were barely able to offer 128 kbps with a monthly traffic limit.

----------------- 2005 - 2008

Big telcos stopped complaining and began building their networks. Then increased their networks speeds, removed the FUP, offered subscriber packages (phoneline + cable + internet access). For $10 you could get a landline and 5 mbps internet.

A lot of city "LANs" couldn't keep up with the big guys and crumbled. Others joined forces and became real ISPs (with tech support, tax payments, ...) and some even managed to obtain money from investment funds. They could still compete with the main ISPs because they offered much better tech support, and the 100 mbps LAN speed was still of huge interest, even if the internet access was limited to 1-10 mbps.

----------------- 2009 - 2010

Small ISPs begin implementing Fiber to the Building. Hello Gigabit (well, 1000 mbps with others subscribers only... the internet connection is limited to 20-30 mbps).

Big telcos buy more and more small ISPs, but also continue to improve their infrastructure. Some drop the old cable (with its DOCSIS modems) and begin implementing Fiber to the Building too.

----------------- Today

For $10 per month you can get 100 mbps internet access + 5GB of mobile 3G connection. My ISP started installing Fiber Optics to the home (GPON technology) for houses and continues installing Fiber to the Builing (and UTP from there to your apartment) for high buildings. They also began installing WiFi access points through the cities (free access for all subscribers).

-----------------

IN THE END, I WOULD LIKE TO THANK THE ROMANIAN GOVERMENT FOR NOT INTERFERING. And if the large companies will try to form monopolies, I'm sure new ISPs will appear. I don't care about regulations. Thank you.

3 comments

Awesome story. I like the idea of a city or neighborhood LAN with an internet gateway.

This makes a lot of sense, especially when local online businesses want to serve their local community (like a local Groupon or live streaming of the neighborhood's Little League game from multiple cameras).

Well, back then we didn't see it as a business. Of course there were also people who knew what they were doing, but if I remember well, my network started with three teenagers wanting to play Quake and Need for Speed. Then more and more people joined... hundreds of them.

Internet access wasn't a priority (most users wanted it for IRC, and there were very few local websites/services anyway). As long as we could share movies and play games, everything was fine.

Today things changed. I think that most users want 100 mbps internet access instead of 10 mbps internet + 1000 mbps LAN. But I'm confident that, if the ISPs fail, people could build their own networks as long as the State doesn't interfere.

The problem with US seems to be that the Government is bullying (through all kinds of regulation) small ISPs in order to protect the big guys.

---------- EDIT: I have to admit that (in 2003 or so) it felt good when a big telco, with a budget of millions, could barely provide 128 kbps, while the small ISP which I joined was providing 512 kbps internet access + 100 mbps LAN. Today I'm a subscriber of that big telco, because they managed to pull their stuff together and now provide a really good service (at least in my area). But Gov regulation had noting to do with it. It was the competition: improve your service or die. Plain and simple.

The interesting thing in the report is that they blame Romania for introducing "noise" in their statistics, so they did not include it. In one place they actually blame the ad-hoc networks for this, probably thinking that most of the country still has the pseudo-ISPs that were usual back in 2003.
He's right, My dad, who lives in Romania, has a 100mbps internet connection bundled with a 5GB 3G plan for about $13/mo.

I am paying $60 for a 50/8 pipe, and consider myself happy, compared to other US residents.