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|  openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | Re: Thank you FCC! said by qworster:Thank you, FCC, for 'deregulating' DSL. I guess this almost 50% rate hike is GOOD for consumers-RIGHT??!! Until consumers stop paying these price increases, then it must not be too bad for them. Until the market is no longer willing to bear the increases, costs will continue to rise. | |
| |  en102Canadian, eh?
join:2001-01-26
Valencia, CA | Re: Thank you FCC! With a no real competition (one cable, one DSL/Fiber), and most people hooked onto the internet like crack, they could raise the basic price to $100/month, and people will still buy it. Many might start local 'sharing' connections over WiFi to cut costs though 
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Canada = Hollywood North | |
| | | openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | Re: Thank you FCC! You can ask for additional competition, but it's not going to change the price increases. Cost of doing business, inflation, energy expenses, labor costs, etc. continue to rise driving prices higher in many markets...not just in telcos' local loop markets. | |
| | | | en102Canadian, eh?
join:2001-01-26
Valencia, CA | Re: Thank you FCC! While inflation does exist, a 40% increase in price isn't typical.
As I've mentioned - the cost of doing business is actually somewhat less than it has been due to consolidation, wholesale price drop, relatively cheap backbones (cost is less than it has ever been). AT&T is increasing costs... because they can, landline DSL / HSI Cable is nearing saturation, and as there are less 'new' users to add, shareholders demanding higher returns want more, and it will have to come as a rate increase.
Don't tell me AT&T hasn't been making large profits... they're just following the flow of Comcast/Cable Co, and want more profits, as landline is drying up.
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Canada = Hollywood North | |
| | | | | openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | Re: Thank you FCC! I'm not telling you that AT&T is making profits and I'm not telling you that AT&T doesn't want to increase that bottom line. What I'm saying is that the increase is margin is not the only thing driving price increases. | |
| | | | | | en102Canadian, eh?
join:2001-01-26
Valencia, CA | Re: Thank you FCC! No, I suspect there's a lot more to it than profit margin.
Getting rid of competition (indie ISP's), attempt to migrate customers over to Uverse (I can get 6Mbps Uverse if I jump through AT&T's hoops for a similar price to DSL).
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Canada = Hollywood North | |
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Thank you FCC!