IBM boosts power line broadband

IBM has signed an agreement with Houston-based utility company Centerpoint Energy to test the delivery of broadband over power lines (BPL). 

The technology uses existing power lines to carry a data signal and could compete with DSL and broadband cable services.

Centerpoint Energy primarily touts BPL as a way to automate meter reading, monitor network operations and detect outages.

"These 'smart grid' technologies should result in improved system reliability, service and safety for electricity customers," said Don Cortez, a vice president at CenterPoint Energy.

Using power lines to bridge the 'last mile' to the consumer offers a way round the monopoly of cable companies and traditional telecoms providers such as BT.

A number of providers have tried to blaze the BPL trail, but have failed. Data signals have caused interference with radio signals and setting up such systems requires large investments from power providers before scalable services can be offered.

As a result of such difficulties most of the early trials have been abandoned.

Utility firms looking to become telecoms providers also face an uphill battle to persuade customers of the merits of such a transition. A US survey found last year that many are reluctant to sign up for any new services from a utility company. 

The technology gained renewed interest after a consortium of investors including Google last week invested $100m in start-up BPL provider Current Communications Group. 

In April this year the European Commission recommended member states to investigate how they could stimulate BPL services.