CenturyLink says ILECs have no advantage in greenfield fiber deployments

CenturyLink (NYSE: CTL) said in a letter to the FCC that claims by the ACA and XO Communications -- that ILECs have an advantage over CLECs when it comes to deploying fiber in greenfield deployments -- is counterintuitive and that any advantage that ILECs had in the past has evaporated thanks to recent inroads by CLECs and cable companies.

CenturyLink's comments are part of an ongoing dispute over special access reform between incumbent local exchange carriers (ILECs) and their CLEC (competitive local exchange carrier) customers that purchase special access circuits to fulfill multisite business customer service requests in areas where they have not built out their own network facilities.

CenturyLink even gave examples of non-ILEC providers that successfully compete for customers and have deployed their own fiber facilities such as Level 3, which CenturyLink said provides more Ethernet and business services than the telco. In addition, it noted that a number of cable companies and CLECs like XO are also major providers of Ethernet services.

"None of those providers are compelled to share the conduit they deploy, which occurs frequently, particularly in greenfield situations," CenturyLink said in the letter.

The telco added that it is no cheaper for an ILEC to dig a trench and lay conduit than for any other provider. "And an ILEC has to go through the same additional steps as any other provider, such as negotiating with the building owner and obtaining any necessary permits," the company said.

CenturyLink also chastised XO and ACA for what it characterized as falling back on "vague, tired" claims that ILECs have economies of scale, superior access to capital and ubiquitous networks.

For more:
- see this FCC filing

Related articles:
AT&T, CenturyLink, Frontier and Verizon want more time to review special access data
Verizon says Windstream, Incompas want to shift special construction costs to incumbent carriers
INCOMPAS, CCA oppose USTelecom, ILEC request to extend special access review
TDS says its rate-of-change expenses are higher due to lack of wholesale competition
AT&T, Verizon, CenturyLink special access pricing practices face new FCC investigation
Windstream says ILEC construction charges create barriers for CLECs, business customers

Suggested Articles

The personal information of hundreds of thousands of CenturyLink customers was exposed online via an open database that has since been closed.

The number of hyperscale data centers hit a new high-water mark in the third quarter, according to Synergy Research Group.

Comcast Business has extended its broadband and network management capabilities into parts of Canada via a partnership with iTel Networks.