Broadband Internet and Digital TV: Wireless and Cable Revenue Strategies for Small Power and Telephone Businesses in Technologically Underserved Rural Areas

This paper compares the approaches taken by the managers of a small regional power grid utility cooperative and a small, privately held local loop telephone company who sought to make high-speed internet access available to their rural customers. Both the power cooperative and the telephone company set out to extend their product service mix, revenue streams, and profit margins by implementing new revenue-producing services more commonly offered only in high-density, metropolitan areas. The power company setup a small network of 8 wireless transmitters, each with a 5 to 7 mile radius service area. The telephone company implemented a cable-based xDSL connectivity solution within its existing telephone wire infrastructure. This study compares each set of manager's efforts at technological innovation and revenue generation in rural settings by overlaying them with the Technology Adoption and Technology Implementation theory of Bonnal et al. (2002) and Kumar et al. (2002). It offers a practical six phase technology innovation project management methodology for small business managers.