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| Talk about blackmail! This scenario would be like going to a mechanic who quotes you an outrageous price for fixing your car, and, when you begin to question whether it's justified, he tells you that, if you keep asking him questions, he's going to raise his price even more.
Gee, I thought that the ISP's had good reasons for these caps and overages--reasons that would stand up to scrutiny. I guess not.
But let's look at Moffett's motivation. He wants telco and cableco profits to go up, and he's advocated things to increase those profits for years. Now, it's pretty clear that he doesn't want a DOJ investigation; otherwise, he wouldn't make this threat. If such an investigation would indeed cause the ISP's to raise prices further, that would translate into bigger profits, which is supposedly what he wants. Then why would he be trying to forestall such an investigation if it would lead to what he wants? One possibility is that he knows the caps and overages couldn't be justified, and the political pressure would forces ISP's to back away from them. Another possibility is that the ISP's big profit margins would be revealed, which could prompt other companies to enter the market to try to get a slice of that pie. That would be bad for the incumbent players and bad for their investors.
Basically, the takeaway here is that, if Craig Moffett is against it, whatever it is, it likely benefits consumers. | |
Sammer
join:2005-12-22
Canonsburg, PA
1 edit | said by ISurfTooMuch:This scenario would be like going to a mechanic who quotes you an outrageous price for fixing your car, and, when you begin to question whether it's justified, he tells you that, if you keep asking him questions, he's going to raise his price even more.
Actually it's more like someone who knows a mechanic who has been charging to replace parts that didn't need to be replaced. People who are selling something that isn't honest don't like investigations. If there is no anti-competitiveness to find the DOJ investigation can't have any effect on rates. | |
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