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Telecommunications industry

U S West Launches Swift ADSL Internet Service

Strategic Insights

— 1 min read

In a major breakthrough in Internet access technology, U S West Communications has launched its asymmetric digital subscriber lines (ADSL) Internet service, offering data speeds up to 250 times faster than ordinary modems. The MegaBit service, now available in Denver and Boise, provides speeds of 256 kilobits per second for home users and up to 7 megabits per second for business users. This launch marks a significant advantage for U S West, as it is the first regional phone company to deploy ADSL technology.

Key Takeaways:

  • The MegaBit service will reach less than 40 percent of U S West's customers in metro Denver, with around 30,000 to 40,000 subscribers qualifying for the ADSL technology.
  • Home users will receive data speeds of 256 kilobits per second, nearly 10 times faster than typical 28.8kbps modems, while business users can go as fast as 7 megabits per second.
  • The ADSL service is always on and runs in parallel with the voice network, allowing users to access the Internet without tying up incoming phone calls.
  • U S West has partnered with Microsoft Corp. and Oracle Corp. to provide high-speed access to software applications, which customers will be able to download and use for a day or purchase and upgrade automatically.
  • The company's CEO, Sol Trujillo, opted to roll out the ADSL product in limited areas, rather than waiting for broader availability, to gain a marketing advantage over competitors.
  • U S West will sell "software by the slice" delivered over the Internet by the end of 1998, marking a significant shift in the way consumers access and use software applications.

Statistics:

  • 30,000-40,000: Number of U S West customers in metro Denver qualifying for ADSL technology
  • 262,000: Total U S West customers in Colorado
  • 288,000: Total U S West customers in Idaho
  • 10x: Speed increase of ADSL technology compared to typical 28.8kbps modems
  • 7 megabits per second: Maximum speed for business users
  • 256 kilobits per second: Speed for home users

Sources:

  • "U S West to launch high-speed Internet service today"
  • "ADSL Internet service set to blaze fast path to homes"
  • "Big stumbling block to faster Internet access: availability and marketing"
  • "Regional phone company's ADSL technology first to market"
  • "Bill Gates meets with U S West CEO for ADSL meet"
  • "Cable modem service 'At Home' to roll out in Denver in July"

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