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sonicmerlin

join:2009-05-24
Cleveland, OH
kudos:1

reply to skuv

Re: We want the Government to MANDATE competition?

said by skuv :

So what we want is the Government mandating competition? Just how are they going to accomplish that?

Tell the cable companies that paid for their own networks and the telcos that paid for their own fiber builds to disconnect from their wires and cables and let someone else use them?

You can't mandate competition. If competition were viable, meaning that a profit could be made by the 3rd or 4th competitor to enter a market, then it would have been done already. Since in most localities, there is very little that is stopping competition other than the cost of building a network.

The Government can't force a company to become a competitor in a market or in all markets. So what exactly do you want them to do?

A 3rd competitor that can afford to do the initial build into a market is not going to be able to take enough customers from the incumbents to make a profit and keep prices competitive. The best they could do is build, come in with lower prices, steal some customers, then the incumbents lower their prices, and the customers stop bleeding. Then the 3rd competitor slowly disappears as they are making no money.

I don't see how you expect the Government to magically create competition.
Then why has line sharing worked in Europe?

Guess what? I just proved you wrong. Sucks to be you.


skuv

@rr.com

said by sonicmerlin:

Then why has line sharing worked in Europe?

Guess what? I just proved you wrong. Sucks to be you.
And what did you prove wrong, exactly?

How is the government going to basically STEAL the coax and fiber that these companies have paid for and make them share it?

If the lines had been laid by the government and paid for by the government, it would be a different story. Kind of like the story of when we already had line sharing in the US over the copper that the government did help lay and pay for with AT&T. And that is still be shared by the DSL companies that happened to be able to afford to operate.

Again, I ask, how does the government MANDATE competition? They just can't give away someone else's assets away. And how well would it work out forcing companies to take loans to build out competing networks that are pretty much not going to make any money in most cases?

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