TELECOM Digest OnLine - Sorted: Re: The Coming Tug of War Over the Internet -- Wash Post

Re: The Coming Tug of War Over the Internet -- Wash Post

hancock4@bbs.cpcn.com
27 Jan 2006 10:56:11 -0800

jmeissen@aracnet.com wrote:

> No, you still insist on making irrelevant or incorrect
> analogies. Under my argument, if the photographer were somehow the
> ONLY planning service available (because for some mysterious reason
> only one was feasable in this imaginary world) and every wedding HAD
> to make use of a planning service, then he should not be allowed to
> prevent his clients from taking his plans to another photographer
> for actual implementation.

No. The bottom line is that the baby Bells now operate in a
competitive world. You don't need them at all anymore. You may get
all services -- broadband and local -- from a cable TV provider.
There's a lot of fibre out there that can serve end points. In other
words, the photographer is NOT the only planning service available.

It is true the baby Bells have a monopoly on traditional POTS service.
But that is (and always has been) the least profitable part of the
business. The more profitable aspects -- switching, premium services,
long distance, equipment, are fully competitive. In other words, even
if someone uses Bell as connection, a heavy user with a combined $100
communications bill would pay only $5 to the Bell company, the rest
would go to others. That's not a very powerful market position nor
very profitable.

All of the arguments in this theme falsely assume the baby Bells have
a monopoly as they did in the old days.

If the baby Bells have something to offer the market place (by virtue
of their long experience in communications services), the market place
should not be denied their services. AT&T tried to compete in the
market place and failed and the company no longer exists. The
regulators didn't decide this, the market place and AT&T's abilities
and offerings worked it out.

If Verizon can outdo Comcast in Internet service (for example), why
shouldn't we consumers have that benefit?

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