DOSSIER:

Roger Nishi is the new chairman of the Organization for the Promotion and Advancement of Small Telecommunications Companies and is also vice president of industry relations for Waitsfield and Champlain Valley Telecom, a Waitsfield, Vt.-based telephone company. He talked to Telephony contributing editor Joan Engebretson recently about OPASTCO's plans and priorities.

What are your goals as chairman of OPASTCO?

We continue to focus on intercarrier compensation to get changes made to make it more rational. At the same time, we realize that universal service continues to be an issue and a significant portion of revenues to our members. We're putting a lot of emphasis on universal service fixes, and we're hopeful that we will get some changes. And in the video area, we also recognize that companies need to make changes in terms of getting content, transmission issues and the cost of programming. Also as we move forward, we're focusing on what OPASTCO can do for its members in terms of creating partnerships and new lines of business.

What expectations do you have for the OPASTCO Summer Conference?

Our theme is “Forging a New Frontier.” We're hoping our members can gain knowledge from the meeting. We have regulatory panels taking a look at issues such as intercarrier compensation and universal service. We're also looking at marketing and ways in which people can use the Internet to lower their marketing costs and increase customer satisfaction. We're looking at things like IPTV and how can you use it to drive broadband penetration.

With the summer conference in Alaska, will there be any special attention on native American telephone companies?

Although the event will be held in Alaska, we're focusing on the rural industry as a whole. We have invited Alaskan telcos to attend, and hopefully those within the region will take advantage of the opportunity.

What are the biggest challenges for small independent rural telcos today?

Continuing to meet the needs of customers and provide them with services they really need in rural America will always remain a challenge. We need to make sure we provide the best possible service at the most reasonable rates possible. To add to that, another challenge we will be facing will be continually upgrading broadband. As soon as you get an area covered, the next generation is already coming out. It will require continuous investment. The challenge for the industry as a whole is rapidly changing technology. It's changing so quickly that regulators have a hard time keeping up.

How can small telcos such as yours avoid being gobbled up by consolidators such as Fairpoint, which have been buying a lot of rural lines?

It comes back to a mindset of continuing to be successful and continuing to work with the community you serve. Over time, some companies have decided that they no longer want to stay in business, and there are opportunities for them as there are companies that want to purchase rural companies. It comes back to a vision that we're here to service our customers and to always be part of the community. That's the mindset needed.

In an era when major telcos are just beginning to deploy fiber to the neighborhood or home and to use those networks to support triple-play services, independent telcos have made significant progress in this area. Why are they so much more advanced than the major telcos?

We don't have large pockets of population, so it's always been the independent telco mindset that what's good for a customer in a heavily populated state is good for all customers. It's important to deploy to as many people as possible as early as possible. Our customers made us what we are today, so we have to continue to serve them with the latest and greatest services possible. But that doesn't mean we don't have challenges on the regulatory front. With regulatory uncertainly, it's hard to make a decision about what to do with our networks. We face as much or more uncertainty as the major carriers. So much of our revenues come from intercarrier compensation and universal service that we really need those revenues to continue to provide service at reasonable rates.

How did you get started in telecom and what are some of the things you've accomplished during your career?

I started with Ernst & Young as a young man in the telecom group in the mid-80s. I dealt with cost studies, federal regulations and strategic planning for telcos. The opportunity with Waitsfield and Champlain Valley Telecom came about when they purchased some key properties. Since then, I've been involved in the state telephone association and have been active on various committees. I've also served as president of the Telephone Association of Vermont, and while I was president, we expanded the local calling areas. I was also involved with assuring service and quality standards throughout the state.

Why did you want to be the OPASTCO chairman?

It's a huge opportunity. It's a great organization, and there are so many things that OPASTCO does for the rural telecom industry. It's an honor to be the person in charge and making changes for rural companies and consumers in the areas we serve.