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Ratewatcher Telecom Guide

VOLUME 20, December 2007

FairPoint’s Request to Acquire Verizon in Maine, New Hampshire and Vermont: A Decision Is Near

After months of litigation, the Maine Public Utilities Commission (PUC), along with its counterparts in New Hampshire and Vermont, will soon decide whether FairPoint Communications will be allowed to own and operate Verizon’s network and become the major regional provider of telephone and broadband services in those three states. The Public Advocate, on behalf of Maine’s consumers, has been one of the most active parties in the case, which is undoubtedly one of the most important cases ever decided by the Maine PUC.

Last October, just after the last day of formal hearings, the Public Advocate announced that we would not oppose the acquisition if the Commission adopted over twenty separate conditions that would serve to protect Maine customers and the public interest. Because FairPoint is a much smaller company than Verizon, and because it is financing this acquisition with a lot of debt that is rated below investment grade level (sometimes called junk bonds), many of the conditions we recommend are aimed at FairPoint’s financial viability, including our condition that Verizon accept a lower purchase price.

Other recommended conditions address FairPoint’s obligation to provide high quality service to customers, its future prices for telephone and broadband services, its technical ability to successfully create and implement new operational systems, its ability and commitment to deliver DSL broadband service throughout Maine, its continued delivery of all necessary wholesale network services to competitive carriers, and its obligations to maximize federal support to keep telephone rates as low as possible. Other intervenors in the case are focusing on service to competitive carriers, employment issues, and FairPoint’s obligations to ensure the privacy of customer information and phone calls. In our view, the paramount concern is the risk that the State’s major telephone and broadband carrier will encounter serious financial difficulties, perform poorly, and demand rates higher than those of Verizon.

FairPoint already operates six rural telephone companies in Maine. However, if Fairpoint is approved the operations and prices of those companies will not change at the outset, but FairPoint indicates that it would eventually try to unify its operations in Maine.

One potential benefit of the acquisition is the possibility that FairPoint will offer video service (IPTV) over its network in competition with Time Warner’s television packages. However, its earliest availability in limited areas is not likely to occur before sometime in 2009. It could also be much later.

A final decision by the Public Utilities Commission is expected in January, 2008.

Verizon Wireless To Buy Unicel

While Verizon Communications wants to abandon its landline and broadband business in Maine, New Hampshire and Vermont, it is expanding its wireless business in those same states by buying Unicel (RCC Minnesota). Coincidentally, Verizon’s price for the FairPoint sale and the price it is paying for Unicel are quite similar—around $2.7 billion each.

Because Maine’s rural cell phone customers do not have many choices in this market, the loss of Unicel, which focused on rural areas, may not be a good thing. In addition, Verizon Wireless uses a CDMA system while Unicel uses a GSM system. That means that Verizon Wireless will either maintain two types of networks or it will eventually require all Unicel customers to get a new CDMA phone. Verizon has not provided any details yet, but it indicated that it may maintain the GSM network in order to provide coverage for other companies under roaming agreements. If it does not maintain the GSM network, that could be bad news for GSM coverage in certain rural areas of the State. T-Mobile and AT&T use GSM networks in Maine.

The sale of Unicel is awaiting approval by federal regulators. If the sale is approved, only time will tell if consumers benefit or suffer, but, all else being equal, we prefer increased competition to fewer choices in the market.

Choosing a Long-Distance Carrier Can Save You Money Even If You Rarely Call Long-Distance

Don’t Choose “No Carrier”  Many customers who opted to have no long-distance carrier have been surprised that they get charged for having no service. First, there is a $5 fee from your local phone company to make any change in long-distance service, even if the change is to choose no carrier. However, when your change is to select a new long-distance service, that new provider will usually reimburse the $5 fee. Second, your local telephone company may charge you a monthly access fee when you choose no long-distance carrier. Therefore, it may be cheaper to choose a long-distance carrier that has no monthly minimum or monthly fee, instead of no long-distance carrier at all.

Verizon’s New “Shortfall” Charge Many customers who make few long-distance calls have chosen Verizon’s Sensible Minutes plan because that plan charged no monthly fee even though the per-minute rates were relatively high. Many of those customers were surprised some months ago when Verizon began to collect a $2 minimum from customers who used less than $2 worth of long-distance calls. The solution is simply to choose a long-distance company that has no monthly fee and low rates. Pioneer Telephone waives its 99¢ fee if you accept bills by email and Touchtone waives its new $1.47 fee if you make no calls at all in a given month (see page 6).

New Rule May Soon Require “Soft Dial Tone”

“Soft Dial Tone” is a service that allows a telephone line, without active service from the phone company, to continue to provide access to E911 emergency dispatchers. In the last legislative session, the Public Advocate helped to persuade lawmakers to pass a law that would require soft dial tone. The Legislature agreed it was a good policy to expand E911 service, but chose to ask the Public Utilities Commission to write the specific rule. We expect a final rule to be effective in early 2008. At this writing, the details of any new requirement are uncertain.

Soft Dial Tone could be a life saving service under a variety of scenarios. In the most typical case, a local phone line that has been disconnected because of non-payment or any other reason will continue to have E911 access in case of an emergency. However, it may also prove useful in case of an emergency in a remote location at a residence without active service. For those who have not maintained traditional telephone service because they rely on a cell phone or a VOIP service, soft dial tone may serve as a backup for emergency access when those alternative services fail to work (e.g., during a power interruption).

Cell phones already provide a form of soft dial tone. Generally, any cell phone with a charged battery and in the presence of wireless coverage will be able to access E911 service, even when there is no active service from a wireless carrier.

Verizon Increases Prices For Calling Features And Toll Rates

It may cost just a fraction of a penny to furnish it but you’ll now pay $8 per month (up from $7.75) if you take Caller ID service as an individual add-on to Verizon’s local phone service. Some customers may find that a simple inexpensive telephone answering machine is a reasonable substitute, allowing them to screen calls for free.

Verizon’s feature packages have also been increased—by more than a dollar per month. The following are some of the new individual calling feature prices from Verizon (most have increased by 25¢): Call Fowarding $4.50 Busy Redial $4.50 *69 (calls last number received)  $4.50 Speed Dialing $4.50–$6.50 Call Waiting $5.50 ($8 with ID and name) Three-way Calling $4.50 Distinctive Ring $5

New Toll Rates For customers who have not chosen a long-distance calling plan, the rate for an individual instate toll call on Verizon’s network will now be increased to 40¢ per minute (during the daytime) while Pioneer Telephone would charge just 3.5¢ per minute for the same call.

Alternative local phone companies

The following carriers offer an alternative to Verizon’s local telephone service. To allow for an apples to apples comparison, we have added any applicable SLC or “line charge” (Verizon currently adds $6.39) to the advertised local rate. In general, business customers are more likely to save money by choosing a competitive local carrier. Residential customers, who pay extra for special features, may also find some savings. Residential customers who routinely use over 600 minutes of long-distance should look at package plans shown on page 4.

Name/Phone/Website

Business
or
Residential

Monthly Rates Per Line (excluding surcharges & taxes)

Notes

AT&T One Rate
(800) 205-6268
att.com

R

$38.50

Includes 2 features

BCN Telecom
(888) 866-7266
bcntele.com

B & R

B-$32.50-$36.50 per line

R-$24.83 per line

R-10% discount below Verizon feature packages

Mid-Maine
(877) 643-6246
midmaine.com

B & R

B-$32.50-$38.50 (depending on contract length)

R-$50-$75-local/DSL bundle

Selected exchanges

One Communications
(800) 825-5282
onecommunications.com

B

$26 to $32 per line (depending on contract length)

Throughout Verizon territory

Oxford
(800) 520-9911
oxfordnetworks.com

B & R

B-$31.28-$40.34

R-$16.63-$19.72

Norway/South Paris

B-$28-$32 depending on number of lines & bundled services

R-$25 ($31.90 with features)

Lewiston/Auburn

Business service available in various exchanges

PineTree
(866) 746-3873
pinetreenetworks.com

B

$33-$35 per line

Selected exchanges

Telrite
(866) 285-3989
telrite.com

B & R

$31.50-$41.50 (depending on contract length)

Throughout Verizon territory

USA Telephone
(877) 872-2800
savewithusa.com

B & R

B-$40.50-$43.50 per line*

R-$31.50-$36.50 (depending on location)*

Local service bundled with 3¢ instate and interstate LD minutes and 6 features

DSL starting at $20/mo.

*$2 extra for paper billing

All rates include $6.50 line charge when applicable. Compare Verizon’s Local Rates: Res.—$24.29 economy, $25.68 premium; Bus.—$41.77 economy, $44.88 premium (includes Verizon’s $6.39 line charge).

All rates include $6.50 line charge when applicable. All prices exclude other surcharges and taxes.

Prepaid Calling

Prepaid accounts are great for calls made away from home. They are also a good way to avoid expensive hotel and payphone rates. However, when calling from home, traditional long-distance companies like Pioneer and Touchtone offer better, more convenient service, at similar rates. Since AT&T tripled its Maine instate calling rates, we doubt that many Maine customers who make instate calls will be interested in the AT&T/Sam’s prepaid card. Any customers who were subject to the rate increase without notice at the time of purchase may seek a refund by calling the PUC at 1800 452-4699.

For the first time, we are featuring the MCI card marketed in this area by Rite-Aid stores. This card offers prepaid minutes at various prices, depending on the quantity purchased. At the highest quantity, the rate is 4¢ per minute—but Rite Aid puts these cards on a two-for-one sale a couple of times per year. At 2¢ per minute, it’s a very good deal. Onesuite.com remains a good deal too, but watch out for the loss of your minutes if you don’t buy new minutes within six months.

Sam's Club/AT&T

OneSuite.com

MCI

US Rate 48 (states)

8.52¢ instate / 2.84¢ interstate

2.9¢

4¢-7¢*

($80-$10 card)

Western Europe

11.36¢-19.88¢

3.4¢-9¢

12¢-35¢

Canada

8.52¢

3.2¢

8¢-14¢

Other Fees

5% sales tax on initial store purchase-maximum of 15% surcharge on phone refills

None

None

How to buy?

Sam's Club (similar offers at BJ's & Costco) or renew by phone

www.onesuite.com

Rite Aid stores

Expiration

No Expiration-holders of older cards may call customer service # on card to reactivate minutes

6 months from activation or last recharge

No expiration

Record of calls

No

Yes via Internet

No

Use from other countries?

Yes

Yes

Local access numbers in foreign countries allow low-cost calling to U.S.

Yes

Need to use worldwide access number on back of card

Rate to U.S. from Canada

14.2¢

3.5¢

8¢-14¢

Payphone Charge

$1.00

55¢

30¢

Other Features

Enhanced features offered at extra charge

$1/month "Message One" sends voice mail and faxes to your email address

Lower "local access" rates available in certain areas or when using VOIP access from your computer

*Rate depends on quantity of minutes purchased.

Approx. twice a year Rite Aid offers buy one card, get one free

Customer Service

(800) 335-8900

(866) 417-8483

See back of card

Long-Distance Plans

At the risk of getting boring, we still recommend Pioneer and Touchtone as the best two full-service, pay-as-you-go long distance plans for most customers in Maine. The majority of customers do not use enough long-distance minutes to justify an unlimited calling plan. As opposed to prepaid calling accounts, these carriers don’t require prepayment, they don’t round up to the next minute (they apply 6-second billing), you can’t lose your minutes, you’ll never run out of minutes during a call, and they offer superior customer service. If that isn’t enough, the rates are similar to those of the best prepaid calling accounts. Large carriers and local telephone companies generally charge much higher long-distance rates than either Touchtone Communications or Pioneer Telephone.

New Fee from Touchtone Communications Unfortunately, Touchtone recently began to charge a new cost recovery fee of $1.47 per month to all customers, but it only charges the fee in months when there was actual usage. As a result of this fee, Pioneer Telephone becomes the all-around lowest-priced pay-as-you-go long-distance carrier. Their 99¢ monthly fee is waived if you opt to receive your bill by email or if your bill is over $15 in a given month. For independent telephone company customers, Touchtone is the best choice. Pioneer’s low rates are available only in Verizon territory and only to customers who pay their bills on time.

COMPANY

Pioneer
pioneertelephone.com

Touchtone
touchtone.net

Verizon
verizon.com

FEATURED PLAN

Talk Cents

3.9¢ Plan

5¢ Plan

(RESIDENTIAL)

Instate

Interstate

Instate

Interstate

Instate

Interstate

RESIDENTIAL per minute rate (excluding surcharges & taxes)

3.5¢

3.25¢

3.9¢

3.9¢

Monthly Minimum

none

none

$9.99

Monthly Fee

99¢*

$1.47

$6.00

SAMPLE RESIDENTIAL MONTHLY COSTS

Includes 50% instate/50% interstate minutes & monthly fees, excluding surcharges & taxes.

LOW @ 10 mins. per month

$1.34

$1.86

$9.99

MEDIUM @ 100 mins. per month

$4.37

$5.37

$12.00

HIGH @ 500 mins. per month

$16.88*

$20.97

$36.00

HIGHEST @ 1,000 mins. per month

$33.75*

$40.47

$66.00

Hawaii/Alaska

6.9¢

7.9¢/15¢

Sample RESIDENTIAL INTERNATIONAL RATES

Turkey

6.9¢

21¢

$4.61

Canada

3.9¢

99¢

Holland

4.9¢

$3.25

Kenya

13.9¢

38¢

$5.65

South Korea

5.9¢

$4.52

United Kingdom

4.9¢

$2.75

Rate available in rural independent areas?

no

yes

no

(BUSINESS)

Instate

Interstate

Instate

Interstate

Instate

Interstate

Business per minute rates (excluding surcharges and taxes)

3.5¢

2.7¢

3.9¢

3.9¢

5.5¢

5.5¢

Monthly Minimum

none

none

$65.00

Monthly Fee

99¢*

none

none

PICC Charges (per line)

$2.95

$2.49

$3.10

In-bound 800 Rates

3.5¢**

2.7¢**

3.9¢**

3.9¢**

5.5¢*

5.5¢*

TO SUBSCRIBE, CALL:

877-492-6878

800-900-5474

800-585-4466

NOTE: Surcharges are not included in the rates shown

$5 fee to change carrier is often covered by new carrier upon request

PICC charges (a per-line access charge) apply to multi-line business customers only

1-minute billing unless otherwise noted

An average customer will save about 10% as a result of 6-second billing

*Beware that international calls to mobile phones priced much higher

*99¢ fee waived w/online billing or usage over $15

**99¢/mo. per 800 number

Alt. Plans-Rate Buster 2.9¢ instate/2.7¢ interstate with 1-minute billing

6-second billing

Pioneer is a Maine company

1.9¢/min. to call other Pioneer customers

*Touchtone Agents in Maine: 888-594-2500, 877-839-8484, or 800-619-2537

6-second billing

Lower rate may be available for high-volume customers

Customer service 800-266-4006

**$1.99/mo. per 800 number

*$10/mo. fee applies to 800 inbound service

18 second minimum

6-second billing applies to most business plans

Residential plans get 1-minute billing

International rates are lower with advance sign-up and monthly fee

Voice Over Internet (VOIP) Services Continue to Grow—and Die

By most estimates, VOIP will eventually replace the traditional telephone network because it costs less. The traditional local telephone company transmits your calls over their own wires and routes them to their destination via expensive computer switching machines in their downtown central office. Traditional phone service occupies an electronic circuit which uses wire and switching resources as long as the line is active. VOIP, on the other hand, works just like email—it converts your voice to packets of data that travel at the speed of light. Calls are routed by various electronic routers, travel over the public Internet, and the bits of data are ultimately reassembled at the final destination. All this has to happen quickly enough to keep up with your conversation, as opposed to emails which would not be noticeably affected by small delays in data transit. This speed requirement is the reason that VOIP cannot work with a slow dial-up connection.

VOIP is a cheaper and more efficient way to carry voice traffic. Ironically, it is the cost of the traditional phone network that causes VOIP services to cost as much as they do; each VOIP call that terminates on a traditional phone network requires a per-minute payment to the traditional local phone company as an “access” charge. If everyone used VOIP, telephone calls could almost be free, except for the local high-speed connection to the Internet.

While traditional telephone companies have been losing lines to VOIP service—one estimate is 150,000 lines per week are lost to traditional phone companies and about 100,000 new VOIP customers are added each week—lower costs of service and aggressive marketing of bundled telephone services and broadband services, have allowed the traditional phone companies to continue to earn healthy profits (we believe Verizon is still substantially over-earning in Maine). Moreover, when diversified companies like Verizon or AT&T lose a landline customer, they often get that same customer’s money when that customer subscribes to cell phone or broadband service.

Although it costs less to provide VOIP service, there is no guarantee that any particular VOIP provider will be around for the long term.

Sunrocket Crashes, Vonage Stumbles Sunrocket was one of the more popular, low-priced adapter-type VOIP services. However, it failed financially and ceased serving its customers last August. Vonage, the largest and most well-known of the adapter-type VOIP providers, was temporarily ordered to stop taking on new customers after Verizon brought a lawsuit against them for patent infringement. While Vonage remains fully functional now, patent cases are still pending. Perhaps the takeaway message is—VOIP is good but don’t sign any long-term contracts. And unless you have a good cell phone service as a backup, we still do not recommend VOIP as your only communications service.

Can that happen to my phone company? Yes, but typically, residential customers do not have a lot at stake if their competitive phone company fails. The consequence for the customer is usually nothing more than the need to quickly sign up with a new carrier and, if applicable, to ask the new service provider to port your telephone number to their service. Although customers often worry about the stability of small, little known phone companies, even very large companies can end up in bankruptcy—remember MCI? Unless you have a business that relies on a complex set of services from one carrier, there’s generally not much to worry about.

As we show below, there are three different flavors of VOIP—no-frills computer-based services, services that use an adapter that connects to your regular telephone, and enhanced services from cable companies. Only the latter two types can transfer your old phone number to their service, although many adapter-type VOIP companies may not be able to port your particular number.

Cheap Cell Phone Calls to an International Phone Number?

Skype recently introduced “Skype To Go” which allows you to call an international phone for just pennies per minute, even from your cell phone. After you register the international number, Skype will send you a local number which will connect to the international number. The charge will be based on “Skype Out” rates (just over 2¢/minute)—a whole lot better than the small fortune you would pay by dialing an international number directly from a mobile phone. This service also requires a monthly fee (just under $3) for “Skype Pro.” Of course, Skype still offers totally free computer to computer telephone and video calls throughout the world. It’s free to download at www.skype.com

VOIP services and plans

FEATURES

PRICE

NOTES

Free/Low Cost/Computer-Based

JAJAH
jajah.com

Dial call on computer-then talk on your regular phone

Free to other Jajah users 2.9¢/min. for domestic calls

Innovative new service requires no software or equipment

PULVER
Free World Dialup
pulver.com

Unlimited to other members (May ring regular phone numbers w/separate service)

FREE

Can work with a special telephone or free software

SIPPHONE
sipphone.com

Unlimited to other Sipphones
May ring regular phone numbers

Free to other Sipphones
Reg. calls start at 1.9¢

Using telephone adapter ($60) or computer software (free)

SKYPE | skype.com (also GoogleTalk, AIM [AOL], iChat, Yahoo, and Onesuite)

Unlimited worldwide PC to PC and low rates to ring regular phone numberss

Free to other Skype users
Reg. calls start at 2.1¢

Using computer mic/speakers, or headset
Incoming phone # (skypeIn) $60/yr

WEBPHONE
webphone.com

Webphone to Webphone

FREE

Minimum purchase $15

PC to Phone calls

1.9¢/minute

Subscription Services With Phone Adapter

Aroostook Internet
AINOP Phone
800-752-4330
ainopphone.com

Unlimited to US, Canada & Mexico

$35/month

Adapter $84
No activation fee
Available in Verizon territory

300 US minutes

$26/month

AT&T CALLVANTAGE
att.com/callvantage

Unlimited to US & Canada, Puerto Rico

$25/month ($30 activation fee) Western Europe-4¢ to 8¢

$30 early termination fee may apply if canceled within 1 year Adapter included

BROADVOICE
broadvoice.com

Unlimited in Maine

$10/month +3.9¢/min. interstate & Canada & low international rates

Adapter included
$40 activation fee

Unlimited World (US + 21 countries)

$20/month

LINGO
lingo.com

Unlimited to US, Canada & Western Europe

$22/month

$30 activation fee
First month free
$40 first year termination fee

500 Minutes US, Canada & Puerto Rico

$15/month

NET2PHONE
net2phone.com
(also available from IDT)

Unlimited US & Canada

$30/month-Europe 5¢ to 8¢

$40 first year termination fee
Requires prepayment
$30 activation fee
Adapter included

Unlimited Europe or bundled rates for specific counties

+ $40/month

500 minutes US & Canada

$15/month

350 minutes Western Europe

$15/month

PACKET8
packet8.net

Freedom Unlimited US & Canada

$25/month-Europe 3¢ to 8¢

$30 Activation fee
Adapter not included
Claims ok with dialup

Freedom Unlimited Global
Unlimited Calls to 40 European & Asia
countries/cities included

$30 extra per continent/month

VERIZON
VoiceWing
www22.verizon.com

500 minutes US, Canada & Puerto Rico

$20/month (VW to VW calls are free)

Required 1-year term
$40 early termination fee
Adapter included

Unlimited US, Canada & Puerto Rico

$25/month

VOICEPULSE
voicepulse.com

Unlimited US

$25/month

Adapter included
Required 1-year term

Unlimited ME + 200 Long Distance minutes

$15/month Europe 5¢ to 9¢

VOIPYOURLIFE
voipyourlife.com

Unlimited US & Canada

$24/month

Free hardware; Free activation
Choose US or Canada phone #
No term or fee

Unlimited US, Canada & over
30 countries

$30/month

VONAGE
vonage.com

Unlimited US, Canada & Puerto Rico

$25/month

$30 Activation fee
Adapter included
Includes some calls to Europe

500 Minutes

$15/month (3.9¢/min.after 500 included) Europe-3¢ to 8¢

Private Networks

DIGIPHONE
Beeline Cable 800-439-4611

Unlimited to US, Hawaii, Alaska & Canada

$35/month (if Bee Line Cable Customer) $40/month for others

BeeLine Cable area only
Free installation

TIME WARNER Cable
Digital Phone
timewarnercable.com

Unlimited US, Canada, Guam, Puerto Rico & Virgin Islands

$40/month
Europe 7¢-12¢/min.

Most of Maine
Free installation

Note: FCC has required full service retail VOIP providers to comply with E-911. Some services listed here are not required to provide E-911.

HIGH-END WIRELESS SERVICE: Apple’s iPhone—Device Prices Have Been Slashed But Issues Remain

By most accounts, Apple’s iPhone is an impressive device, successfully combining a phone with Internet service, an iTunes music player, a camera, a touchscreen with virtual keyboard and other cool features. Even better, the price of the iPhone (subsidized by the service contract) has been greatly reduced—now starting at $300. So what’s the catch? For starters, the iPhone has been programmed to work only with AT&T—and within AT&T’s network, only on AT&T’s GSM network. If AT&T Wireless’s GSM coverage is not adequate where you need service in Maine, AT&T won’t be your best choice and the iPhone is a non-starter. The iPhone’s Internet access relies on AT&T’s GPRS/EDGE broadband service (unless in its WiFi mode) which should be available whenever GSM coverage is adequate..

It is theoretically possible to use the iPhone with other carriers. In late August, a teenager took apart a new iPhone, fiddled with its wiring and software codes, and managed to unlock the phone. This technical capability, combined with a recent legal ruling by the U.S. Copyright Office, may open the door to the unlocking of cell phones from the carriers that seek to hold phones hostage to their service. However, Apple has issued a warning that users who make unauthorized modifications on their iPhones will likely cause “irreparable damage to the phone’s software,” thus excluding the phone from Apple’s limited warranty. Media reports have indicated that such tampering can “brick” your phone—in other words, when you’re finished, it will have all the functionality of a brick.

Cost iPhone service plans require a two-year contract and prices start at $60/month plus taxes and fees. Therefore, expect the total two-year cost to be between $1800 and $2000. At these prices, it is especially important to remember to cancel your contract within 14 days if you are not completely satisfied with the service.

Alternatives If you are a gadget freak but the iPhone is not right for you, the Blackberry is also a very cool device. You won’t get a built-in iPod but you’ll get a full hardware keyboard for emailing, and portable Internet service along with your phone. Many wireless companies in Maine offer Blackberry and other web-enabled smartphone models.

Top 5 Ways to Avoid Early Termination Penalties

  • Use a Prepaid Cell Phone Service
  • Use a Carrier (such as Unicel) that offers “no contract” service (but pay more for phone)
  • If service is insufficient, cancel the contract within the 14 to 30 day grace period
  • Use a web based service to sell the balance of your contract (see our website for details)
  • Ensure that phone repairs or minor contract changes don’t cause your contract to “re-up.”

Cell Phones Dirtier Than Toilets?

Unfortunately, experts cited in various recent media reports, do indeed claim that cell phones often harbor a greater number of hazardous germs than are commonly found on toilets, bottoms of shoes, door handles or keyboards. It’s easy to spread these germs because mobile phones are almost always in contact with hands and often used quite close to the mouth. Bacteria and viruses thrive in warm temperatures so it’s not surprising that cell phones kept in pockets and purses offer a good breeding environment. The solution is simple—clean your phone regularly using an anti-bacterial wipe approved by the phone’s manufacturer.

Don’t You Dare Call Customer Service!

Consumers have grown to expect frustration when they call a large company to fix a billing or service problem. But now, the risks have gone beyond the usual impossible telephone menu options (“press 1 if you would like to hear about our new exciting offers”) and canned corporate phrases (“your call is very important to us”). Now, if you complain about bad service too much, the company may resolve it by offering you no service at all.

Sprint-Nextel told about 1000 of their customers to find another wireless service because they called the customer service number too many times. Customers whose service was terminated did call customer service an average of 25 times per month, but the reason for so many calls was, in most cases, the Company’s inability to resolve legitimate complaints. Hopefully, this brilliant new strategy won’t be catching on and setting a new low in customer service standards.

Mobile Broadband For Your Cell Phone And Laptop

Cellular broadband, also known as GPRS, allows you to access the Internet on the road or away from home. Cellular broadband can be combined with your cell phone calling plan when using a Blackberry or other smartphone device, or you can subscribe to a broadband-only service for your device. Another alternative is to buy a card that plugs into a slot on your laptop and allows you to connect to a mobile broadband service. It’s a good way to cruise the Internet on a train, plane, or in your car (not while driving!). GPRS broadband is on the slow end of the broadband speed range but it can be a great way to have Internet and email access on the go—in areas covered by the service.

The following chart provides a sample of new mobile broadband options. Coverage in Maine is expanding—check with the carrier to make sure it works where you’ll need it.

COMPANY

LAPTOP BROADBAND MONTHLY FEE

PRICE OF LAPTOP CARD

SMARTPHONE BROADBAND MONTHLY FEE

AT&T
wireless.att.com
800-888-7600

$30-$60 depending on amount of data transfer

$100 w/WiFi

Starting at $30 w/2 yr. contract

$36 activation fee

Starting at $35 with eligible calling plan priced $40 or higher

T-Mobile tmobile.com
800 937-8997

$50

$150

Starting at $40

Unicel
unicel.com
800-215-7004

$30-$65 depending on amount of data transfer

$110 w/2 yr. contract

Starting at $30 with eligible calling plan

US Cellular
uscc.com
888-944-9400

Business customers only

Business customers only

Starting at $40 with eligible calling plan priced $40 or higher

Verizon
verizonwireless.com
800-256-4646

$60

Starting at $50 w/2 yr. contract

$25 activation fee

Starting at $80 with eligible calling plan

Note: Cards come in three commonly used interface types for broadband access:

-Standard Type II card slot - Express Card/34 card slot - Universal Serial Bus (USB)

Ask about availability of improved 3G standard, which is expanding in Maine

FCC Shoots Down Proposal for Free Broadband to All Americans

In the last Ratewatcher, we reported that a company called M2Z Networks filed a proposal with the Federal Communications Commission (FCC) asking for some unused radio spectrum in exchange for their commitment to provide free high-speed wireless Internet service throughout the U.S. Their business plan is to make money by selling advertising in much the same way that Google supports its free services with ad revenues. However, in September, the FCC decided that it would not bypass the usual process for auctioning and allocating radio spectrum, even in the face of this extraordinary proposal. M2Z and other firms will continue to look for ways to obtain the needed radio spectrum, which is currently not being used for other purposes.

Free Cell Phone Service in the U.K.

In the meantime, a new wireless voice service called Blyk just began offering free ad-supported wireless voice service in the U.K. It is estimated that 4.5 million young people in the U.K. will get service with no contracts and no bills either, unless they exceed the monthly 217 texts and 43 minutes included for free.

Monthly Fee Wireless Plans

AT&T (Cingular)
wireless.att.com
(888-333-7055)

T Mobile
tmobile.com
(800-866-2453)

US Cellular
uscellular.com
(888-944-9400)

Unicel
unicel.com
(800-336-4455)-local
(800-462-3558)-national

Verizon
verizon.com
(800-256-4646)

Nation 450 with Rolllover

Nation 550
Family

Get More

Family Time Basic

Wide Area Single 700

Wide Area Family

National Single 450

Expanded Local

Local Family

True
Nationwide

America's Choice Individual

America's Choice Family

Monthly Fee

$40

$60 (2 lines)

$40

$60 (2 lines)

$40

$70 (2 lines)

$40

$40

$70 (2 lines)

$40

$40

$70 (2 lines)

Anytime Minutes

450*

550*

600

700

700

1000

450

800

1800

600

450

700

Offpeak Minutes

5000

Unlimited

Unlimited

Unlimited

$6 Unlimited

Unlimited

$8 Unlimited

1000

1000

500

Unlimited

Unlimited

Cost per extra min.

45¢

40¢

40¢

49¢

30¢

35¢

30¢

45¢

45¢

Cost of extra lines

N/A

$10

N/A

$10

N/A

$10

N/A

$20

$9

$20

NA

$10

Roaming Rate

0

0

0

69¢

0

40¢

0

0

From Canada

79¢

49¢

69¢*

50¢

69¢

To Canada

19¢

20¢

19¢

30¢

49¢

Home Area

U.S.

U.S.

U.S.

ME, NH (excluding Portsmouth), VT and parts of 19 other states in south, midwest and west

U.S.

Most of ME, MA, NH, VT, and NY

U.S.

US

Type of Network

GSM/TDMA

GSM

CDMA

GSM

CDMA

Notes

Rollover applies-minutes roll over for up to 1 yr.

Extra $1.25 "regulatory fee" applies to all plans

*Plus unlimited mobile-to-mobile minutes between AT&T users in calling area

1000 minutes for $40/mo with no extra offpeak minutes.

"MyFaves" option-unlimited calls to any five numbers for $10/mo.

Family Plan includes free mobile-to-mobile minutes in area

Regulatory fee of 86¢ per line

1Hotspots (VOIP) service available

96¢/monthly "regulatory fee."

Unlimited mobile-to-mobile between US Cellular customers in area for Family Plans

Wide Area Family-45 roaming minutes included

National family plans start at $70

$30 plan available with 300 minutes

*New Brunswick or Quebec, other Provinces much higher

Service contract is optional-price per phone is cheaper with contract. (Our advice: choose no contract.)

$2/mo. for unlimited Unicel-to-Unicel with local and nationwide plans

Family Plan includes unlimited Unicel to Unicel minutes

Unlimited "in-calling" among Verizon Wireless customers.

$60 plan offers 900 minutes.

  • Roaming charge —applies when calling from outside home area. International roaming may cause additional toll charges and administrative fees.
  • Toll rate—applies only to some local plans when call destination is outside home area. Toll rates apply to international calls.
  • Activation fees —($30 to $36) often apply but are sometimes waived upon request when purchasing online.
  • Cancellation fees—($150 to $200) generally apply if you cancel service before expiration of contract term.
  • Cost of phone—Phone is often free when signing a 1 or 2-year contract. Ask about current promotions.
  • Right to terminate—Some carriers reserve the right to terminate service if 50% of usage occurs outside of their licensed area.
  • Features—Most plans include Caller ID, Call Forwarding, Call Waiting, 3-Way Calling, Voicemail, and other advanced features.
  • Grace period—Right to cancel contract within first 14-30 days.
  • Note—Your wireless phone may not be usable with other wireless plans when you change service. Many advertised promotions require two-year contracts, which should be avoided.
  • Dial 611 from cellular phones for customer service. 911 emergency calls may work from cell phones even without activation.
  • Each carrier offers many other plans. Call and check websites for latest promotions and always verify coverage quality in area of use.

Prepaid Wireless Plans

Cingular
Pay As You Go
cingular.com
(888) 333-6651

Net 10
net10.com
(877) 836-2368

T-Mobile
To Go
tmobile.com
(877) 387-4324

Tracfone
tracfone.com
(800) 867-7183

Unicel
Unicel Express
unicel.com
(800) 462-3558

Initial Cost of phone

$20 to $170

$20 to $90

$40 to $400

$10 to $80

$10 to $250

Home Area

Much of US (spotty in Maine)

Much of US (spotty in Maine)

Much of US

Much of Maine* or Much of US*

Much of US

Airtime Rate Per Minute (US)

25¢

10¢

10¢ to 34¢

20¢ to 34¢

10¢ plus $10/month

Roaming Charge Per Minute

0

0

0

Double the airtime rate

0

Toll Charge Per Minute

0

0

0

0

0

Minimum Recharge Dollars

$15

$15

$10

$10

$20

Expiration of Minutes (days) (varies by refill amount chosen)

30-365

30-365

90-365

45-365

30-90

Sample Annual Cost (Does Not Include Cost of Initial Package or Roaming Calls)

10 minutes/month

Cost

$100

$150

$100

$80

$360

Minutes purchased

400

1500

1000

240

2400

Type of refill

1 x 365 days

1 x 365 days

1 x 365 days

4 x 90 days

4 x 90 days

50 minutes/month

Cost

$150

$150

$100

$150

$360

Minutes purchased

600

1500

1000

630

2400

Type of refill

6 x 90 days

1 x 365 days

1 x 365 days

1 x 365, 1 x 90, 1 x 45 days

4 x 90 days

100 minutes/month

Cost

$300

$150

$150

$240

$360

Minutes purchased

1200

1500

1400

1200

2400

Type of refill

2 x 365 days

1 x 365 days

1 x 365 and 1 x 90

6 x 90 days

4 x 90 days

NOTES Customers who use more than 100 minutes per month should consider regular monthly fee cellular plans. Watch for and ask about promotions.

With unlimited mobile-to-mobile 10¢ plan, a charge of $1.00 per day applies when there is any incoming or outgoing use. 10¢ plan allows unlimited mobile-to-mobile (Cingular to Cingular)

15¢ per minute + airtime to Canada

Canada roaming 79¢

Minutes roll over

Minutes roll over

You will not be able to make or receive calls from any location outside of the US, Puerto Rico or US Virgin Islands

Airtime rate depends on number and duration of minutes purchased

$100 refill gets 15% more minutes and 365 days expiration on further refills

Canada roaming 49¢

50¢/min. + airtime for calls to Canada

Airtime rate depends on number and duration of minutes purchased

Roaming coverage in much of US

*Home area depends on zip code

No extra charge for calls to Canada and 60 other int'l destinations

No service in Canada

Canada roaming 50¢

25¢/min. to Canada

Internet Service Update

Dial-Up We’ve eliminated the dial-up listings because fewer and fewer customers are shopping for new dial-up service. For those who are, there is a Maine-based dial-up company with very low rates ($7/month), toll free access from all parts of Maine, good customer service, and free accelerator—www.207me.com or 1-888- 229-2411. We see no reason to spend more with other non-local providers. 207ME now offers a new way to initiate its service; they sell, at various retail locations, packaged prepaid CD ROMs, including 30 days of service, for $6.95.

Verizon DSL Verizon now offers its entry-level DSL speed at $15/month and the price is guaranteed for life—not just the first year. So what’s the catch? For starters, it requires a two-year contract which may become inconvenient when a better offer appears, when you move, or if you decide that you need a higher speed. Second, although Verizon calls it a “price for life,” the fine print says that they only have to keep that price as long as they keep offering that same service. Therefore, Verizon may simply change the service in some way and declare it to be a different one—with a higher price. Of course, if FairPoint succeeds Verizon early next year, that “price for life” may turn out to be the life of a fruit fly.

DSL Expansion Various programs and initiatives on the state level will soon be making DSL available to more people in Maine. As part of an agreement with the Public Advocate, Verizon has agreed to spend $12 million in late 2007 and early 2008 to make DSL available in a number of new areas. In addition, the ConnectME Authority has begun to collect funding (via your phone bill) and approve new broadband projects that require a subsidy. Finally, if FairPoint is approved to succeed Verizon, FairPoint will be obligated to make additional DSL investment. As a result of these initiatives, we hope to see DSL availability in Verizon territory grow much faster over the next three years.

Cable Modem Prices remain stable for Roadrunner service (about $45) but Time Warner has been more aggressive in offering discounts for bundles of its services. The “triple play”—Cable TV, Unlimited Telephone, and Cable-Modem high speed Internet—is sometimes available for as little as $99. If you’re served by a different cable company, the price may be lower as shown in the following charts.

Wireless Broadband New small wireless high speed Internet providers have emerged as an excellent solution in many rural areas. Some of these companies are shoestring operations but they are willing to venture into rural territory that few others have dared to enter. If you live in a rural community and you believe that there are a number of customers who desire high-speed Internet, call some of these new providers to see if they’re willing to serve your community. In some cases, ConnectME funding may assist such new service.

Satellite When there’s no access to other high-speed service but there is a view of the southern sky, satellite broadband is a solution, though a lesser quality one for certain purposes. Wildblue and Starband have the lowest prices (about $50/month after $300 in equipment cost). Satellite broadband service is expected to grow rapidly over the next five years, as equipment cost declines and the technology improves.

Cellular Broadband (GPRS) If you need portable broadband, many cellular providers now support broadband Internet service that will work on your Blackberry, iPhone, or other portable device, as well as your laptop. This service is becoming more widely available in Maine. See page 11 for a report on mobile broadband cards and service.

Internet Service Providers

Company

Area

Features

Prices

DSL HIGH SPEED INTERNET

Aroostook Internet | 800-752-4330
ainop.com

Various locations in Maine

5 email addresses
5 Mb space

Res. $35/mo. | Bus. $70/mo.
No setup fee

Cornerstone ccmaine.net
207-992-4411

Bangor, Calais, Charleston, Dexter, Dover-Foxcroft, Machias, Sebec

email addresses
5 Mb space

In-Town res. $30/mo. In-town | $40 setup fee.
Rural res. $40/mo., $70 setup fee.

GWI 866-494-2020 | gwi.net

Available in 40 exchanges within Verizon's territory

5 email addresses
40 Mb space

$35/mo. Res. | $50/mo. Bus.
No setup fee

Midcoast Internet | 207-594-8277
midcoast.com

Available throughout Maine in selected exchanges

4 email addresses
20 Mb space

$43/mo. Non-Vz customers
$75 Setup fee $100 equipment fee
$95 cancellation fee

Midmaine | 877-643-6246
midmaine.com

Available throughout Maine in selected exchanges

5 email addresses
20 Mb space

$30/mo. Res. | $80/mo. Bus.
$55 Setup fee Vz customers
$48 setup fee Non-Vz customers

Oxford Networks | 800-520-9911
oxfordnetworks.com

Lewiston/Auburn (not all areas yet) and Norway/South Paris

5 email addresses
10 Mb space

$38/mo. Res. | $60-$80/mo. Bus.
No setup fee

Pioneer Wireless | 866-335-1254
pwless.net

Northern Maine-Fort Kent area

5 email addresses
10 Mb space

$40/mo. Res. | $50/mo. Bus.
No setup fee

USA Telephone | 888-872-9400 savewithusa.com

Verizon exchanges

5 email addresses

$20/mo. Res. | $28/mo. Bus.
Must be USA customer. No setup fee.

Verizon | 877-483-5898 | verizon.com

Available in much of Verizon territory

9 email addresses
10 Mb space

Starting at $15/mo. Res.
$60/mo. Bus.
No setup fee

CABLE MODEM HIGH SPEED INTERNET

Aroostook Internet | 800-752-4330
ainop.com

Houlton area

5 email addresses
5 Mb space

$25/mo. Res. | $50/mo. Bus.
$50 installation fee

Bee Line Cable | 800-439-4611

Skowhegan, Wilton, Madison, Industry, Anson, Farmington, Millinocket, E. Millinocket

5 email addresses
10 Mb space

$30/mo. Res. | $35/mo. Bus.
1st installation fee

Comcast | 800-266-2278
comcast.com

Berwick, So. Berwick, Eliot & Kittery, Brunswick & Freeport areas

7 Mb space
7 email addresses

$43/mo. Res. + $3/mo. modem
rental w/ cable TV installation fees

$52–$150/mo. Bus.
$50 installation fee

Metrocast Online | 800-695-2545
metrocast.com

Acton, Lebanon, Newfield, Sanford, Shapleigh, Springvale & W. Newfield

5 email addresses
40 Mb space

$42/mo. Res.
$50 installation fee Res.
$40–$200/ mo. Bus.
$100 installation fee Bus.,
includes modem rental

Pine Tree Cablevision | 800-220-3320
ptc-me.net

Machias area

3 email addresses
10 Mb space

$21–$49/mo. Res.
$50 installation fee
$40–$200/mo. Bus.
$100 installation fee, includes
modem rental

Time Warner Cable | 800-833-2253
rr.com

Most of Maine

8 email addresses
10 Mb space

$45/mo. Res. - $33.74 Setup fee
non-cable customers
$85-$185/mo. Bus. - Setup fee $80

company

area

features

prices

WIRELESS HIGH SPEED INTERNET

Airolink Wireless | 207-680-5465
airolink.net

Parts of Kennebec and Somerset Counties

5 email addresses 50 Mb space

$40/mo. Res. | $50/mo. Bus.
$25 Equipment cost
Bus. installation fee $100

Aroostook Internet | 800-752-4330
ainop.com

Available in Houlton, St. Agatha area

4 email addresses
5 Mb space

$40/mo.

$125 Installation/setup fee

Axiom Technologies | 877-462-9400
axiom-tech.net

Available in Washington & Hancock counties

5 email addresses

$44/mo. Res. | $55/mo. Bus.
$225 Installation Fee

Downeast Wireless | 207-667-7414
downeast.net

Available in Ellsworth and
Blue Hill area

4 email addresses
5 Mb space

$50/mo. | $250 Equipment cost

Mainely Wired | 207-338-6530
mainelywired.com

Available in midcoast Maine, Swanville, Skowhegan area, Chebeague Island, & Searsport

4 email addresses

$42-$45/mo. Res. | $46-$50/ mo. Bus. | $200 Installation Fee
$100 Off-Island setup fee
$200 On-Island setup fee

Midcoast Internet | 207-594-8277
midcoast.com

Various locations in the
mid-coast area

4 email addresses
20 Mb space

$50/mo. Res.
$100-$200 Equipment cost
$100 Off-Island setup fee
$200 On-Island setup fee

Pioneer Wireless | 866-335-1254
pwless.net

Houlton, Presque Isle, Caribou, Millinocket

5 email addresses
10 Mb space

$40/mo. Res. | $50/mo. Bus.
$99-$199 Equipment cost

Redzone | 207-596-5700
redzonewireless.com

Available in Midcoast Maine (Thomaston/Rockland/Camden area), Mount Desert Island & Cranberry Isles

Basic service does not provide email address(s)

$20-$25/mo. Res | $30-$35/mo. Bus. | $50 Installation Fee

SJV Wireless, Inc. | 877-475-8638
sjv.net

Fort Kent, Wallagrass, some areas
of St. John

1 email address
3 Mb space

$40/mo. Res. | $50/mo. Bus.
Installation Fee-$99 Res. &
$199 Bus.

VVD Networks | 207-735-2611
vvdnetworks.com

Bangor area

2 email addresses
8 Gb space

$35/mo. Res. | $80/mo. Bus.
Res. Setup fee $100–$200
Bus. Setup fee $300–$400

Xpress America | 207-286-9477
xabb.net

Available in Biddeford/Saco area

5 email addresses
10 Mb space

$30/mo. Res. | $50 installation fee

SATELLITE HIGH SPEED INTERNET

HughesNet (formerly Direcway)
888-667-5537 | hughesnet.com

Available statewide

(Generally requires clear view of Southern sky)

5 email addresses
10 Mb space

$60/mo. + $400 equipment cost $100 installation cost
2 year contract

Skycasters | 800-853-0434
skycasters.com

Available statewide

(Generally requires clear view of Southern sky)

10 email addresses
1 Gb space

$150/mo. + $900 equipment

$400 installation cost

Starband | 800-478-2722
starband.com

Available statewide

(Generally requires clear view of Southern sky)

10 email addresses 10 Mb space

$50/mo. | $300 equipment cost
$400 installation cost

WildBlue | 866-945-3258
wildblue.com

Available statewide

(Generally requires clear view of Southern sky)

5 email addresses

$50/mo. +$300 equipment

Free installation
1 year contract

More Broadband Is Coming, But Is It Coming to You?

New Initiatives, New Providers Will Help to Expand Broadband Throughout the State

The uneven availability of broadband (high-speed) Internet service in Maine has become a major issue for the State. Since it is an unregulated service, doing something about it can be tricky. However, there are three initiatives at the state level and potential large programs at the federal level that will increase broadband availability.

Verizon’s $12 Million Investment As part of an agreement with the Public Advocate, Verizon has committed to invest $12 million in new DSL deployment during this six-month period. In exchange, the Public Advocate agreed to recommend that the Public Utilities Commission (PUC) delay a decision on Verizon’s rates until it is determined whether FairPoint will succeed Verizon as the major telephone utility in Maine. Staff of the PUC recommended that the Commission find that Verizon is over-earning by $32.4 million per year (nearly $6 per line per month). We expect new DSL service in 72 Maine towns as a result of this agreement. Verizon has set up a toll-free number to answer questions about which areas will soon have DSL availability. For that information, residential customers can call 1-800-870-9999 and business customers can call 1-800-941-9900.

ConnectME

The ConnectME Authority has begun to consider proposals to expand broadband service in particular areas of the State that are currently unserved. ConnectME collects funding from communications service providers who then pass it on to consumers in the form of a new separate surcharge on their bills, of no more than .25% on services provided in Maine. The ConnectME Authority recently awarded its first set of grants to a variety of rural wireless broadband projects.

FairPoint’s Commitments

It remains uncertain whether FairPoint’s acquisition of Verizon’s telephone and Internet operations in Maine, New Hampshire and Vermont, will be approved in all three states. However, in the event that FairPoint is approved to succeed Verizon, FairPoint has proposed a specific build-out of DSL that would significantly increase DSL availability in Verizon territory.

New Small Wireless Rural Broadband Providers

As shown on page 16, the number of small wireless broadband companies in Maine has been growing. These companies are capable of serving relatively few customers—perhaps as few as 25—in Maine’s small communities and rural areas. We believe that these companies may offer a good solution for rural customers and for pockets of larger communities where DSL and Cable-Modem services are not offered.

Federal Initiatives 

Currently, the federal Universal Service Fund (USF) spends over $4 billion per year to subsidize telephone companies that serve high-cost (rural) areas. Lately, there has been a lot of debate in Congress and at the FCC, about shifting the focus of federal support toward broadband instead of traditional telephone networks. Once everyone has broadband, everyone will have access to Voice Over Internet Protocal (VOIP), which is a more efficient means of providing telephone service. However, the FCC recently rejected proposals to provide universally free wireless broadband to every person in the U.S. using WiMax radio technology, in exchange for exclusive use of certain radio spectrum.

Local Phone Company DSL Rates

Parent Company
(available only to local telephone customers of each listed company)

Local Company

Sample DSL Rates

Coastal Telco Services
207-563-9929
Tidewater.net

Lincolnville
Tidewater

$38/mo. Res & Bus.
$104 initialization fee

FairPoint Communications
800-400-5568
fairpoint.com

China
Community Serv.
Maine
Northland
Sidney
Standish

$35/mo. Res. & Bus.
No setup fee

Pine Tree Networks
207-688-8811
pinetreenetworks.com

Pine Tree
Saco River

$35/mo. Res.
$50/mo. Bus.
No setup fee

Mid-maine
877-643-6246
midmaine.com

Mid-Maine

$30/mo. Res. | $80/mo. Bus.
$55 Setup fee Vz customers
$38 Setup fee Non-Vz customers

Oxford Networks
800-520-9911
oxfordnetworks.com

Oxford
Oxford West

$38/mo. Res.
$60-$80/mo. Bus.
No setup fee

TDS Telecom
888-225-5837
tdstelecom.net

Cobbosseecontee
Hampden
Hartland/St. Albans Island
Somerset
Warren
W. Penobscot

$30/mo. Res.
$60/mo. Bus.
No setup fee

Verizon
877-483-5898
verizon.com

Verizon

$15/mo. Res.
$60/mo. Bus.
No setup fee

Union River Tel.
207-584-9911
Rivah.net

Union River

$45/mo. Res. & Bus.
$150 Installation fee Res. & Bus.

Unitel, Inc.
207-948-3900
Unitelme.com

Unitel

$45/mo. Res. & Bus.
No setup fee

Standalone DSL Update (DSL without Local Phone Service)

Verizon is currently obligated to provide standalone DSL broadband service to those customers who do not also want traditional local telephone service. However, Verizon has continually raised the price of that service—it now charges $48/month or $36/month with a one-year contract. In comparison, Verizon’s lowest DSL price is $15 when accompanying voice telephone service. It is apparent that Verizon is not interested in making this service easily obtainable or affordable. The Public Advocate has asked the Public Utilities Commission to require standalone DSL service at affordable rates if FairPoint is approved as Verizon’s successor in Maine.

Time Warner’s Triple Play

Unlimited Telephone Service Along with Digital Cable TV and High-speed Internet

Time Warner has been expanding the availability of its Digital Phone which aims to compete with traditional telephone service from Verizon. Although there are many VOIP (Voice Over Internet Protocol) services available to any customer with high-speed Internet service, Time Warner’s Digital Phone service is an “enhanced” VOIP service. It is enhanced by a proprietary network that interconnects with the local telephone network, making the service more reliable than VOIP services that rely on the public internet.

Is it a Good Deal? For some customers, it is a very good deal. There are periodic promotions that offer the triple play for $99 plus taxes for the first year. Therefore, if a customer is already paying, say, $57/month for TV service and $45/month for Roadrunner high-speed Internet service, he or she may already be paying more than the cost of all three services. Effectively, by choosing the triple play, you can have unlimited telephone service in the U.S., Canada and Puerto Rico for no additional cost. If you buy Digital Phone service by itself, the price is $40 plus fees and taxes—about $15 more than Verizon’s price for just local telephone service (including fees and taxes). Therefore, at the standalone price, it would make sense to switch to Digital Phone only if you routinely use over 400 long-distance minutes per month. Time Warner includes a host of advanced calling features which makes it an especially good bargain for customers who pay separately for Verizon’s calling features (see page 2).

Is it Reliable? At this time, Time Warner’s Digital Phone service is not likely to function during an electrical outage, making it less reliable than traditional telephone service. In the future, battery backup investments may resolve this issue. In addition, Digital Phone service may be subject to other service quality problems more frequently than the traditional telephone network. Nevertheless, it generally works well, the quality is normally indistinguishable from traditional phone service, and calling features like Caller ID are included at no additional cost. Given the greater risk of an outage, customers with cell phone service should have an additional layer of comfort.

Have a Complaint about Junk Faxes, Telemarketing to Your Cell Phone or Landline, or Abusive Emails?

You may easily file a complaint directly with the Federal Communications Commission by going to: https://esupport.fcc.gov/form1088/consumer.do Just fill out the simple form and click. If you have not already signed-up to avoid telemarketing calls, go to www.donotcall.gov and register your phone number.

Is there a Need to Protect a Wireless Number from Telemarketers?

Not really. It is already generally unlawful for telemarketers to call wireless phones. However, there have been many rumors that wireless telephone numbers will soon be released to telemarketers and that consumers must rush to register their cell phone numbers with the “do not call” registry. These warnings are a hoax, with perhaps a small grain of truth. There are plans to develop a wireless 411 directory but inclusion in this directory will be purely voluntary. See www.qsent.com/wireless411/

“DO NOT CALL” UPDATE

“As we reach the five-year anniversary of the Federal Trade Commission’s Do Not Call list, Congress was on track to eliminate the existing five-year expiration that would apply to registered telephone numbers. At the time of this publication, it appears that there will be no need to re-register your telephone number in order to continue exercising your right not to receive most telemarketing calls. However, concerned customers may check the web site, www.donotcall.gov to make sure that Congress passed a law making your telephone number registry permanent.

TWO USEFUL PHONE NUMBERS

  • 800-FREE-411 Free (ad-supported) directory information from your cell phone or landline
  • 800-452-4699 Customer assistance from the PUC to resolve utility disputes