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Comment by snisarenko

I disagree. Local loop un-bundling does not solve the problem. You are still back to the same situation. A single pipe can only handle so many providers, thus limit local competition to 2 or 3 providers. So either all will collude, or the one with the deeper pockets will under-price the other ones until they go out of business. (sure you can add more "regulation", but this just throwing duct tape on a broken system)

Local infrastructure will always be a winner takes all economic game. So its pointless to play it. (side-note: Elon Musk's Starlink might change the economic game)

The only way for people to "vote with their wallets" on local communication infrastructure, is BEFORE the winner "settles in", not AFTER.

A bid system, allows 100's of companies to compete to set the price for 2-3 years. Rather than 2-3 companies competing to set the price for perpetuity. It also creates an incentive to produce quality service, because they will be competing for another contract in 2 to 3 years (i.e. they have 2-3 years to demonstrate they are a competent provider).

parent snisarenko 6 years ago

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