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The problem is that there is finite spectrum available. The upfront cost of building a national cellular network are also astronomical, regardless of regulatory
by babypuncher 2y ago
The problem is that there is finite spectrum available. The upfront cost of building a national cellular network are also astronomical, regardless of regulatory hurdles.
The FCC was created to manage the scarcity inherent to the radio spectrum. It's not an area where regular free market economics apply. GP's proposal would actually make it easier for startups to horn in on the territory of the big established players, since the underlying infrastructure would effectively be socialized.
- specialist 2y agoOut of curiosity: What are some examples of "regular free markets"?
- chrisco255 2y agoThere are finite amounts of everything. Free market economics solve this problem all the time. There are finite amounts of food, land, energy, shelter, human resources, etc. The problem isn't that spectrum is finite, it's that there is no way to prevent interference. It's questionable if the FCC is really optimal though. There are huge amounts of spectrum still devoted to dying industries like AM/FM radio and broadcast television.