Sean Porter's high-speed Internet connection doesn't come through a
cable-television cord, a telephone line or from a satellite. An electrical outlet powers the broadband connection at the Manassas
architect's firm. "The greatest advantage is that we only need to have an outlet to use
it," Mr. Porter said. Manassas is the second city in the nation where broadband service over power
lines became commercially available. City officials there began marketing the
service in February. Today, only about 300 U.S. consumers pay for high-speed Internet access over
power lines, but this new method of delivering Web content could jolt the market
for Internet service. Allentown, Pa., and Cincinnati are the only other U.S. cities where residents
are paying for the new high-speed Internet service, but electric companies from
North Carolina to Hawaii are testing the service or plan to begin a pilot
project. Federal regulators hope broadband access over power lines becomes
widely available, especially in rural areas. In Manassas, 60 homeowners and a handful of businesses have Internet access
through power lines. Another 1,200 homeowners have asked to be hooked up. That's
nearly 10 percent of the city's 12,500 homes. By the end of the year, broadband over power lines could be available to all
Manassas residents. It would be the first U.S. city where the technology is
available to all residents. Internet access from power lines began to get attention last year, when the
Federal Communications Commission (FCC) promoted it as a way to offer high-speed
Internet services for people in rural areas. The FCC also saw broadband access
from power lines as an alternative to high-speed access from phone, cable and
satellite companies that could lower consumer prices. Because the power grid is ubiquitous, broadband over power lines could be
available to nearly every U.S. home. "Having another major player - the power companies - has to help bridge
the digital divide. The power companies have the infrastructure to make
broadband available nationally," said Ed Thomas, chief of the FCC's Office
of Engineering and Technology. The FCC in February proposed rules to govern broadband over power lines. The
rules aren't final, but a handful of cities, utilities and technology companies
are pushing forward. Current Communications Group in Germantown, Md., is working with Ohio utility
Cinergy Corp. to market broadband service over power lines in Cincinnati. Current Communications also has a pilot project with Pepco in Potomac to test
the new Internet service. "There are a lot of utilities out there that really, really want to do
this," said Jay Birnbaum, vice president of Current Communications, a
privately held firm founded four years ago. Main.net Powerline Communications in Reston is working with Manassas, which
owns its electric plant, to deliver Internet content over the power lines. Main.net and Current Communications are two of the primary companies in a
small cluster of firms that market technology to send Internet data over power
lines and make the modems that subscribers plug into wall sockets. Experts long have known power lines could accommodate Internet data.
Electricity travels at a lower frequency than an Internet signal, so the two can
share a power line. Public works department employees in Manassas hook up new Internet
subscribers nearly every day. "They're beating down our doors," said John Hewa, assistant
director of the city's electric utility. That's because few people there have high-speed Internet access, Mr. Hewa
said. "A lot of people are telling us they can't get high-speed services where
they live. There are a lot of areas where it's not available, and they're using
dial-up service," he said. The FCC found in June 2003 that there were no high-speed Internet subscribers
in 9 percent of U.S. zip codes, where about 1 percent of residents live. In
another 16 percent of U.S. zip codes, there was just one broadband provider. The American Public Power Association, which represents utilities, says 75
percent of its members serve communities with fewer than 10,000 people, many of
whom don't have high-speed Internet access. About 24 million people subscribe to broadband service, according to
Washington research firm Precursor Group. But spokesmen for Verizon Communications Corp. and Comcast Corp. both say
they are equipped to deliver high-speed service in Manassas. The new broadband service in Manassas also might be popular because the city
charges $26.95 a month, less than digital subscriber lines (DSL) or cable
Internet providers. Current Communications charges a basic rate of $29.95 a
month in Cincinnati. Customers typically pay $30 to $40 a month for DSL service
and $40 to $50 a month for Internet access over cable. Although the FCC is hopeful that broadband over power lines helps lower
prices and provides access to underserved areas, Precursor Group analyst Pat
Brogan isn't so sure the service will take off because DSL and cable Internet
services have been around for years. Broadband over power lines simply might be
too late to catch up, he said. But electric companies want to make money off their power lines, and
consumers who have been relegated to using low-speed dial-up services are
interested in subscribing to broadband access over power lines, said Joseph
Marsilii, president and chief executive of Main.net. "I firmly believe there is a huge market for this," he said.
"I think we're on the cusp."