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Brazilian Watchdog Approves PLC Network

It is a well-known fact that broadband providers all over the world are looking for innovative ways to reach more customers. As laying cables across a country is getting more and more expensive, companies are looking for existing infrastructure to support their network.

An example of the innovative methods being used is seen in the UK, where providers are now using the existing sewerage system to lay fibre for providing super fast broadband services (click for more on uk best broadband provider). In yet another such initiative, the Brazilian telecom regulatory body, Anatel, has approved the use of power cables for providing broadband services. Although the technology, known as power line communication or PLC, has been available for some time, and 40 countries are already making use of it, a large-scale implementation is yet to be seen.

According to Julio Puschel, who is a telecom analyst with the Yankee Group in Sao Paulo, the new network will have some obvious advantages. The biggest cost in developing any broadband network is providing the last mile connectivity, and by making use of power cables, this cost is almost completely eliminated. Similarly, many other major investments that need to be put in a broadband network can be reduced or eliminated by this technology. Moreover, the electricity network has an unmatched reach, which means that broadband can now be made available to even the remotest of areas.

The Brazilian power companies are aggressively planning for the new network, and are already bringing in telecom expertise to guide them with the project.

However, several issues are still unresolved. For example, it is not clear how the revenues between the telecom company and the power company will be shared. Also the amount of interference that the high voltage power cables will create for the broadband network may have a major negative impact on its quality.

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