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International Worker No 241, Saturday November 8, 1997

Internet access for everyone moves closer

By Mick Ingram

Recent reports indicate that the greatest obstacle to widespread Internet access could be removed -- extortionate costs for telephone connections at frustratingly slow speeds.

Norweb Communications and Canada's Northern Telecom and have revealed details of a joint bid to transform electricity utilities into suppliers of a high speed network to access the Internet.

The companies claim they have perfected a method of transmitting data in the "several megaHerz" band at rates of up to 1Mega bits per second, ten times faster than currently available connections from British Telecom.

"Telecoms is a multi-utility offering," said Mark Ballett, managing director of Norweb Communications, the telecoms arm of UK-based United Utilities. By exploiting the ubiquity of the electricity network, power companies can bring high-speed Internet access to the mass market.

Norweb worked with Nortel for three years at the company's European Research and Development labs in Harlow. After technical trials, they plan a 200-home marketing test in Liverpool, beginning in November 1998.

The system receives radio frequency signals sent over the power lines from the local sub-station and converts them back at the customer's electricity meter into packets of computer data. All the customer needs is a small box attached to the meter and a card for their personal computer.

The use of power lines as a cheap and easy access medium into the home has until now been prevented by noise and voltage spikes producing poor quality transmission. Nortel tested its system against a variety of household appliances and said Internet Protocols' packet-based structure proved ideal at withstanding extreme conditions. The radio frequency carriers caused no interference to hi-fi equipment or televisions, the company said.

The technology will allow utilities companies to offer high-speed access at flat-rate tariffs, driving up Internet usage and unleashing a new wave of demand. Based on a market penetration of 10%, power companies can offer a permanent connection at a third to a half that of alternative access technologies.

For the power companies, the main cost incurred is the base station installed at each electricity substation. In Europe and Asia, Norweb's next targets for the technology, substations typically support between 200 and 250 households. In the US too few households are supported by a single substation to make the model economically viable at present.

From the substation, data is carried on Nortel's network to a PC adaptor card. A PC ethernet card costs less than £200 and is comparable with a ISDN adaptor, but without the extortionate connection charges.

The monopoly status presently enjoyed by British Telecom have made them slow to change. The fastest connection currently available is an ISDN 2 business connection. At a minimum fee of over £1,000 a year and with calls charged at standard rates, this is beyond the reach of most home users.

Revolutionary implications

The revolutionary implication of the Norweb development is that it is targeted at the mass consumer market. The nature of the technology is such that it would make no economic sense to the electricity supply companies to limit this technology to Internet Access Providers. Having incurred the costs of installation of the base stations it would be stupid to miss out on the ready made market created by every home being supplied with electricity.

Already the Internet holds a fascination for millions of people. For many the Internet becomes an indispensable part of daily life. Current estimates place the number of users world-wide as high as 60 million. Millions more are connected through their workplace.

Increasing home use of the Internet has put pressure on telecom companies in Britain to come into line with their US counterparts and offer free local calls. In the US meanwhile, telecom companies are desperately seeking new ways of coping with the increased traffic the Internet brings.

The technological advances made by Norweb and Nortel mean that Internet Access becomes an increasingly attractive and affordable option for workers. Not only have computer hardware prices dropped significantly, but major advances in utilising consumer based products such as televisions for Internet access are well underway.

The European capitalist class are preparing for this eventuality with perpetual discussions on the need for Internet censorship and laws against cryptography.

The true potential of this technology will only be realised when production and scientific research are taken out of the control of the capitalists and reorganised for the good of society. The Internet links workers throughout the world. It is now possible not only for workers to instantly communicate with each other, but to establish a web site as a focus for a united offensive against the transnational corporations. The Internet has thus become a vital weapon in the class struggle.

It is in order to realise the full potential of the Internet that the Socialist Equality Party and the International Committee of the Fourth International are developing the World Socialist Web Site as the home of contemporary Marxism.

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