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Network Resilience and its Regulatory Inhibitors



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Network Resilience and its Regulatory Inhibitors Draft James Alleman and Jonathan Liebenau University of Colorado and Columbia University London School of Economics and Columbia University INTRODUCTION OVERVIEW With the events of 9 11 the concern for network resilience has been foremost on the agenda of the country The desperate but often unsuccessful attempts of people to communicate immediately after the attack of the World Trade Center are the most poignant reminder of the need for communications While the telecommunications companies responded heroically and service was restored quickly Elby Verizon AT T1 NYT Sept 01 many firms in the Wall Street area and beyond found that the redundancy they thought they had did not exist These firms did not understand that some of the complex rules developed by the Federal Communications Commission FCC and mandated by Congress rendered the networks less resilient than they could have been However the current economic weakness of the telecommunications industry is the dominant factor inhibiting investment in network resilience This weakness has roots in the disillusion of financiers following the dot com bubble the mismanagement of some leading companies and the detrimental effects of severe competition during a period of high spending for acquisitions licenses and market share Many blame the Telecommunications Act of 1996 for some of this weakening others focus on poor strategic choices and mismanagement in the face of high costs and price cutting among competitors Here we will consider the environment around the telecommunications industry to show what 1 S Elby Network Design and Resilience Presentation to Columbia University course ELEN 6901 October 30 2002 PJ Aduskevicz AT T Response terrorist attack September 11 2001 presentation to NRIC V October 30 2001 forces and to what extent the network suffers from delay or distortion to the goal of increased resilience New opportunities will arise with new thinking about the use of



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