Because we would have more honest competition (and from that possibly better outcome for the consumer). I find that a great example is Blu-Ray vs HD-DVD where

Because we would have more honest competition (and from that possibly better outcome for the consumer). I find that a great example is Blu-Ray vs HD-DVD where the later did not have region restrictions but the first belonged to Sony who also owned a movie studio allowing large portion of the content to be never released on HD-DVD.