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How do you compete with a corporate entity that has become the state? Getting back to net neutrality: you also have the concept of a natural monopoly. A natur
by api 10y ago
How do you compete with a corporate entity that has become the state?
Getting back to net neutrality: you also have the concept of a natural monopoly.
A natural monopoly is something where there is an intrinsic barrier to competition. In the case of telecom there is a natural monopoly over last mile connectivity because it makes zero economic sense to create more than one or two redundant last mile connectivity networks. It would also be an eyesore. Imagine huge sprawling bundles of wires or constant digging everywhere.
So for telecoms like Cox, Comcast, etc. you have a double whammy: they are natural monopolies and competition is also restricted by a state over which they have achieved regulatory capture.
These companies are monopolies, plain and simple, and if they can leverage that monopoly they can effectively shut down the Internet as a venue for entrepreneurship.
- mdpopescu 10y agoIf by "become the state" you mean "is supplying state-like services" (like defense), you compete by creating another company supplying the same services. We have dozens of private defense companies in Romania. If you mean "is preventing others from supplying the same services"... if it does that by using force, we're no worse off than now. If it does that by enticing people to sign bad agreements... I can't say I like the idea, but I'm not seeing it as a big deal long-term. > In the case of telecom there is a natural monopoly over last mile connectivity because it makes zero economic sense to create more than one or two redundant last mile connectivity networks And yet, I have one ISP that put up 7 km of fiber optics, that have been stolen several times, in order to get my business. (I live in the country side.) I had another ISP that put up 15 km of regular cable for the same reason. (I no longer use them because at some point I had 3 ISPs and I was trying to cut costs. I honestly regret that now that I'm making a lot more money.)