Extremely high barrier to entry + (necessary) complex regulatory structure = industry with fewer players.
And in that situation, you've basically got breeding grounds for cartels and price-fixing. Even if not all the players hold the line, prices will take a long time to come down rather than how quickly they would in a high-competition market.
Heck look at how long it took carriers to stop charging insane money for SMS! It did eventually happen, but over the course of years as each carrier in turn put through small incremental price reductions to show growth for shareholders.
And in that situation, you've basically got breeding grounds for cartels and price-fixing. Even if not all the players hold the line, prices will take a long time to come down rather than how quickly they would in a high-competition market.
Heck look at how long it took carriers to stop charging insane money for SMS! It did eventually happen, but over the course of years as each carrier in turn put through small incremental price reductions to show growth for shareholders.