1. The government decides that prisoners can make phone calls, but they can only use a single prison-approved phone operator, and that operator is a private company.
2. The private company realizes it has no competition, raises prices as much as it wants.
3. The government is surprised with the outcome.
I would say the government is at fault here for prohibiting competition, not the companies.
It's the 21st century, you could establish a system where any company, with an appropriate license and government approval, could offer tablets / cell phones for prisoner use, with appropriate limitations and restrictions placed on them of course. Prisoners could then choose which company they want to go with. That would instantly eliminate the problem.
2. The private company realizes it has no competition, raises prices as much as it wants.
3. The government is surprised with the outcome.
I would say the government is at fault here for prohibiting competition, not the companies.
It's the 21st century, you could establish a system where any company, with an appropriate license and government approval, could offer tablets / cell phones for prisoner use, with appropriate limitations and restrictions placed on them of course. Prisoners could then choose which company they want to go with. That would instantly eliminate the problem.