We could easily legislate that ISPs provide physical service to everyone in
>their geographical area at "reasonable" rates.
Easily? Not actually. You have to take into account that dereg has been
around for 26 years, just about the same time I've been in the business.
Here's a typical scenario, and this happens very frequently. By regulation,
I have to give up the network elements (network elements are the CO space,
the wires to the customer, and the phone number itself) to a competitive
local exchange carrier at wholesale rates if the customer requests it.
There's enough margin between the regulated wholesale rate and my retail
rate that the CLEC can sell it to the customer at a discount.
But here's the kicker. They don't have trucks and techs and network
engineers. All they have is a billing system. So they order it from me,
I build it, and then they take it over. So I'm basically doing the work
for a one-time charge, also regulated. That's a net loss for me, but the
law says I have to do it. I get no compensation for that. In fact, we
probably have to sell the maintenance piece to them at wholesale rates
as well. Hooray deregulation. Everybody gets to play at my expense.
What would persuade me that it's even remotely profitable to play on
that field. You're right, jack all.
Where can I actually, maybe make money? By building a network that's
not subject to those regulations, a broadband network.
And by getting rid of the playing fields where I don't have a chance of
competing.
That basically tends to lead to no rural broadband. Change the rules, the
telcos will change their strategies. Right now, we're running on Reagan
rules. Deregulation is great but I can tell you for a fact that people
suffer.
I mean Betty and everybody like her. I mean I'm like the Golden Goose,
I know how to lay the goddam eggs. I mean I have the technology right
freaking here. I have the people, the databases, and all of it ready to go.
But in order to get the gold you have to feed the goose.
I'm France Telecom or Deutsche Telekom without France or Deutschland
on my side. I'm freaking BELL.
You want to rescue Chrysler and the banks. I never took a dime.
Y'all hit me and hit me and never take me to dinner. :-)
So I'm whining. But don't get too down about that. I'm going to do
what I have to do to survive. If that means cutting off Ma and Pa Kettle,
so be it. I don't want to do that.
My people built this network and we'll build a better one if you give us a
chance. And that's a promise. We've got a good start on this and we're
going to keep rolling even without help.
We may end up bankrupt, but we are ready to invest our capital and take
our chances.
Just for God's sake change the regulations. I'd be happy to be nationalized
right about now, have you seen my stock lately?
Needless to say nothing here reflects the opinions of my employer.
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