Wednesday October 8 3:10 PM EDT
Norweb, Nortel To Plug Clients Into Internet
By Kirstin Ridley
LONDON - Canada's Northern Telecom (Nortel) and Britain's Norweb
Communications today unveiled new technology allowing reliable, low-cost,
high-speed access to the Internet computer network through the domestic
electricity supply.
In a move heralding the first competition between electricity companies and
telecommunications carriers, the two groups said their patented technology
would allow power firms to convert their infrastructures into information
access networks.
Having "fixed the fuzz" of electrical interference on power lines, the
companies said they could shunt data -- and possibly voice -- over power
lines into the home at up to one megabit per second.
This is up to ten times faster than ISDN, the fastest currently available
speed for domestic users.
Although it is slower than rival ADSL technology being developed by British
Telecommunications , which upgrades copper wires, Norweb and Nortel's
technology is much cheaper for operators to install.
All consumers need is the equipment developed by Nortel and Norweb -- an
extra card for personal computers, some software to handle subscription,
security and authentication services and a small box which is installed
next to the electricity meter.
This will send and receive data and is in turn linked to a personal
computer through an ordinary coaxial cable.
Peter Dudley, vice president of Nortel, said the groups had had an
"absolutely spectacular" amount of interest from electricity companies in
Britain and abroad who are keen to offer the service to consumers.
"The race is on to be first," he told Reuters.
Prices will be set by electricity companies who offer the service. But
consumers currently spend an average of 20 to 30 pounds ($48.6) per month
for Internet access -- and the new service offers permanent access without
telephone costs.
"Assuming they continue to spend at that rate, it is not unreasonable to
assume that is the kind of tariffing that may be submitted," Dudley said.
The Canadian telecoms equipment maker and Norweb, part of England's
multi-utility United Utilities, said their technology was fast enough for
most future domestic or small office applications and was cost effective
enough to allow operators returns on investments.
"As one of the first practical, low cost answers to the problem of high
speed access to the Internet, this technology will unleash the next wave of
net growth," Dudley said.
The two companies have developed a "specialized signaling scheme" which
allows them to carry data traffic between local power substations and
homes, effectively turning the electricity supply into a communications
network.
Each substation is then linked by fiber-optic circuits to a central switch
-- and from there into the world-wide computer network.
After 18 months of refining and upgrading a prototype and promising "oodles
of bandwidth", the companies said they planned to market the technology in
Europe and the Asia Pacific region.
"We are ready to ship in volume," said Ian Vance, vice president and chief
scientist at Nortel Europe.
Banking on high growth and good economic returns, Norweb hopes to attract
around 200 customers in a marketing pilot in north western England in the
second quarter of 1998 before rolling out the service.
Copyright, Reuters Ltd. All rights reserved
----------
Bill D'Arcy
billg@netinfo.com.au
"Simplicity is the key to truth."
Bloke in the pub