Access Solutions for Rural Markets
By Dave Butler, North America Internet Service

Broadband. Rural. Two words that are not normally synonymous. But the reality is that there are a variety of technologies that are either well-established or gaining acceptance that allow the world of high speed Internet service to be delivered to even the most remote of locales. And there are consumers in these areas that are anxiously awaiting the arrival of services.

Miriam-Webster defines rural as "of or relating to the country, country people or life, or agriculture." The latest statistics reveal that at least 25-35% of all Americans live in rural areas.

ISDN and DSL are typically not available to rural consumers. This is due to the fact that for either technology to work, the consumer has to be relatively (within 3 miles) close to a CO, or Telephone Company Central Office. The other "standard" alternative is a dedicated T1 or fractional T1; but these are priced well beyond the reach of the average home consumer. So alternative technologies must be utilized for these consumers to reach the Internet with anything but analog modems.

The first technology that allowed for high-speed service outside of a major urban area was Internet via satellite. A typical system consists of a roof-mounted dish, a receiver card mounted in the PC and a modem. The systems were (and still are) "telephone return" — in other words, the data coming to the consumer arrives via satellite at high speed, but data going to the Internet is sent via conventional modem. For the typical consumer, this is a large improvement; since most users are either surfing the web or watching streaming data, the bulk of traffic is being received. And, since the satellite path can pass data at speeds of up to 30 Mbps (megabits per second), the consumer is receiving data at speed up to 1000 time faster than a 33.6 modem.

There are two main disadvantages: Cost, and the realization that transmitting large files from the consumers PC to anywhere is still dreadfully slow. The cost issue is due to the fact that providers typically bill in a per kilobyte increment. There is also the additional cost of the telephone call that must be placed for the upstream side of the equation. The slow speed in transmitting files is due to the fact that the upstream side is still running over a conventional analog modem. The uplink issue may change if and when two-way satellite systems are approved and become cost effective.

The second technology that is available for rural broadband is wireless service via MMDS or LMDS

MMDS and LMDS are technologies that were originally developed for the transmission of "cable" television service in areas where laying cable was impractical. MMDS can cover ranges of up to 30 miles, allowing for up to 2,500 sq. miles to be serviced by a single tower. MMDS-wireless cable TV transmits on SHF-microwave frequencies. An MMDS system can be analog or digital. Analog systems deliver up to 30 channels; a digital system can deliver up to 120 channels. Either analog or digital systems can be adapted for data. LMDS is designed for more localized communities. LMDS uses frequencies centered around 28 GHz. LMDS is designed for line-of-sight coverage over a range of 1 to 4 miles. If a community is already receiving television service from a provider utilizing this system, the transmitting equipment can be upgraded to provide data services as well. At the transmission site, a data multiplexer and QAM modulator must be added. At the customer premise, a modem must be added, (either an external unit, or an internal PC card) and the antenna on the customer premise must be upgraded from receive only to a transmit / receive unit. The speed of a LMDS or MMDS system is typically 400 KBps in each direction. The limitations to this system are the fact that service is limited to line of sight, and the cost of upgrading the system may be beyond the budget of a rural private cable operator. Additionally, the cable operator must either develop Internet expertise, or find a local ISP to partner with.

A third alternative for rural communities is unlicensed wireless broadband. These systems operate in the license-exempt 2.4 -2.5835 GHz radio bands. These systems are also line of site; however, obstacles can be bridged with inexpensive repeaters. Since the systems are cellular in nature, they also have no real distance limit. In most cases, however, the network is not extended over 40 miles in any direction from the central transmitting point, affording an 80-mile radius. Systems speeds range from 1.5 MBps to 4 MBps. The systems are built in a cellular fashion. The central site is the main hub. Then as receivers are added, they can be receive only units, or transmit — receive slaves, rebroadcasting the signal from the master hub.

The main advantage to this system is ease of installation; no licenses are required, and since the antenna systems are usually omni directional, aiming and leveling of the antenna systems is not a critical issue. However, the lack of licensing is also the chief disadvantage. If interference is incurred during operation, the only recourse is to track the source and plead for co-operation. There is no FCC enforcement of non-interference issue in the unlicensed spectrum. Also, cost can be a factor. Nodes range from $500 - $4000 dollars.

The final solution for rural areas can be found in one of the oldest telecommunications infrastructures in the rural community — the Master Antenna System. Beginning in the late 1940s and early 1950s, many rural communities began forming co-operatives to install a very large antenna on the highest point in the community, and then distribute the signal to the occupants of the community. In many cases, these MATV systems developed into the earliest cable television services (CATV), and are still running today. There are over 2,200 of these private cable systems. With basic upgrades (and in many cases, the upgrades are already complete), these systems can deliver broadband Internet and companion data services well into the future.

The key issue in delivering data services successfully is a return path. Typically, this means that the system must be capable of allowing a signal from 5-40 MHz, with a signal to noise ratio of 13 dB. Any system that has been upgraded for interdiction and/or pay per view "impulse" (purchase from set top box or remote) has this capability. The components to be added are: a RF to IP bridge (typically, a system that modulates and demodulates Ethernet onto QPSK or QAM), and a connection to the host ISP, unless the cable operator is developing his or her own ISP capability. At the customer premise, a modem must be added, (either an external unit, or an internal PC card). Downstream (to the customer) speed range from 10 to 42 MBps; upstream ranges from 2.5 MBps to 10.24 MBps. The operator must also choose between proprietary systems and DOCSIS compliant systems. DOCSIS is a standard interface for cable modems, the devices that handle incoming and outgoing data signals between a cable TV operator and a personal or business computer or television set. DOCSIS 1.0 was ratified by the ITU in March of 1998. Proprietary systems typically work in a similar fashion, but may take liberties with modulation techniques and speeds.

A proprietary system will only work with equipment manufactured by a specific manufacturer. There are disadvantages to both approaches. If an operator chooses to use a proprietary system, he is forcing all of his customers to purchase all equipment from him. He is locking out any competitive source of hardware, and he has effectively locked out encroachment from other hardware suppliers. The disadvantage is that the operator may lose features in the future by choosing a specific manufacturer, and also running the risk of that manufacturer going out of business, leaving the operator stranded. Proprietary systems are typically less expensive.

DOCSIS systems are open architecture. This means that end users have a variety of choices for modem hardware. It also ensures that the operator can switch sources if his supplier goes out of business. However, there is a stiff premium in terms of price point when using DOCSIS hardware. Typically, DOCSIS systems are at least 25% more expensive. The open architecture also means that the operator gives up a margin of control——his end users can buy modems from a variety of sources.

One final issue that bears reckoning with for any operator planning to deliver broadband —— the ISP service side of the coin. The cable operator often overlooks this area, and yet, it is the single most important key to success in delivering this type of service.

Operators are used to purchasing programming for their subscriber base. In most cases, an operator produces little or no programming, because of the cost of production and the fact that a cable operator is not a television production house. ISP service is no different It is far easier to team with an existing, local ISP then to try and develop a full suite of ISP services in house. The local, incumbent ISP has several advantages. Typically, they have an installed base that is already looking for faster service. The ISP has dealt with challenges of established date customer service and content, and has absorbed the cost of servers, T1 connections, etc. By teaming with the incumbent ISP, the cable operator has a chance to quickly build his customer base, and avoid the pitfalls of learning an entire new business (the ISP service.) The cable operator will posses the RF knowledge that the ISP does not, and the ISP will possess the IP and PC knowledge that the cable operator does not. The successful union of these two teams ensure the success of the new data venture.

About the author

Dave Butler is the president of North American Internet Service, a broadband ISP based in New York. The author may be reached via email at daveb@nais.com.