Federal regulators have dashed plans by US WEST Communications to compete with cable companies in Iowa, Colorado and New Mexico.
The Federal Communication Commission on Friday dismissed the telephone company's request to a build and operate a "video dial tone" network in Des Moines and Cedar Rapids, Iowa; Albuquerque, N.M., and Colorado Springs, Colo. The network would offer video programs and interactive broadcast services through copper telephone wires and coaxial cables similar to what is used by cable companies.US WEST "had not provided sufficient information regarding estimated costs and revenues," according to an FCC statement.
Lynn Gipple, a US WEST spokeswoman in Des Moines, said the company was disappointed that the applications were dismissed. But she said it was positive that the FCC dismissed the applications "without prejudice."
"It gives us the opportunity to refile," she said.
US WEST announced in November that it hoped to build the new interactive networks in Des Moines and Cedar Rapids at an estimated cost of $183 million. The networks would provide services to 120,000 business and residential customers in Des Moines and 63,000 in Cedar Rapids.
The FCC did give approval Friday to US WEST's request to expand its video dial tone trial in Omaha, Neb., to all customers who want access. US WEST has offered the services to a limited number of customers since the FCC approved the trial a year ago.
Gipple said video dial tone applications are pending for other cities in the company's 14-state territory, including Minneapolis-St. Paul; Denver; Portland, Ore.; and Salt Lake City.