Why US Wireless Isn't Wide Open
Geoffery B tips a story in Business Week about why the US cellular carriers' talk about opening up their networks rings hollow. "Even as the wireless industry chants a new gospel about opening mobile phone networks to outside devices and applications, some of the biggest US carriers are quietly blocking new services that would compete with their own. Would-be mobile-service providers, ranging from startups to major banks to eBay's PayPal, have encountered these roadblocks, erected by the likes of AT&T and Verizon Wireless. In some cases, cellular carriers have backed down, but only after inflicting costly delays on the new services."
I don't think it's out of the norm for a business in a competitive market to create artificial barriers to entry to protect their profit margins. In a capitalist system, a business must take certain steps to "get ahead" of current and would be competition to survive. These are typical tactics.
I feel like the summary is a tad sensationalist... I don't find a business not voluntarily allowing more competition to be suprising.
Even if they were completely open about what phones and services you could use on their network, it wouldn't amount to much thanks to subsidized phones. How many people will really pay full retail price for a phone when they can get one that is just as good, but locked down, for "free"? Yay, I can save $2 on custom ringtones if I pay $150 more for my phone.