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Why American Internet Service Is Slow and Expensive

An anonymous reader writes "Reporter David Cay Johnston was interviewed recently for his new book, which touches on why America's Internet access is slow, expensive, and retarding economic growth. The main reason? Regulatory capture. It seems the telecommunication companies have rewritten the regulatory rules in their favor. In regards to the fees that were meant to build a fast Internet, Johnston speculates those fees went to build out cellular networks. 'The companies essentially have a business model that is antithetical to economic growth,' he says. 'Profits go up if they can provide slow Internet at super high prices.'"

6 of 351 comments (clear)

  1. Because... by Fuzzy_Pumper · · Score: 5, Insightful

    Screwing over people for profit the the American way???

  2. Re:It's not cheap to build by Vancorps · · Score: 5, Insightful

    That's cool, what about the billions in tax payer subsidies to pay for it as well?

  3. Re: SOCIALIZE! by Anonymous Coward · · Score: 5, Insightful

    Given that the government tramples on constitutional rights all the time (i.e. 2nd Amendment), the FCC would find a way to restrict your "freedom-of-speech rights". Using your highway system example, driving is a privilege granted by the government to use their roads, not a right. Just as they have implemented laws and rules and restrictions on driving, they could easily do so on the internet. Fines could be implemented for cussing, anit-political rantings, etc. and it would just become another government cash cow. We would end up paying as much or more as we do now in registration fees and licensing, and likely have less freedoms on the internet.

  4. Re:SOCIALIZE! by Anonymous Coward · · Score: 5, Insightful

    gross inefficiencies, waste, and abuse

    This is a oft mentioned fallacy by the anti-government crowd. The cheapest way to get a letter (an actual paper one, not e-mail) from NYC to LA is via the US Postal Service. The reason that the conservatives in Congress were so against making Medicare available to be purchased by anyone is because they knew that private insurance companies wouldn't be able to compete. There are some things government does well, others it doesn't. It's not a universal truism that they fuck up everything they touch.

  5. Re: SOCIALIZE! by Anonymous Coward · · Score: 5, Insightful

    That's another form of "capture", in this case by control freaks. We don't have a government that represents the people, at least not all of them. All too often government represents the interests of the rich and powerful, the loud and obnoxious, or those who want others to conform to their way of thinking--when what government should be doing is guaranteeing and preserving freedom (and yes, that includes freedom FROM monied interests in some cases, sorry libertarians).

    Government should not be in the business of controlling individual liberties without a damned good reason. The "driving is a privilege" BS is a prime example. That should never have been allowed to take root, has no basis in any kind of constitutional republic, and that it has taken root we're going to be forever eradicating it, just as we're going to be forever eradicating the "because it's on a computer/on the Internet then law enforcement should have it without a warrant" crap too. Both things, BTW, have been allowed to exist because some people are fearful of cars and some people are fearful of computers and control freaks use those to gain support for their positions.

    However, consider this: corporations are not exactly huge defenders of freedom and individual liberty. They are in fact quite the opposite and they prove it constantly. It is at least possible for people to take their government back and make it work for them. I would aruge it is their duty, as would some rather wise folks from a couple hundred years ago. It is not possible to make a corporation behave correctly in a civilized society absent a monetary interest or force of law. We need the force of law on OUR side, not theirs. In this case, it need not be government provided broadband. I don't want the government making my computers, shoes, jeans, etc. and broadband isn't something they should do either for just those reasons you specified. However, government can and should require certain behaviors out of the private entities that do so, in no small part because of their use of right of way, the limited useful spectrum, and the fact that they seem to have taken our money and stolen it. Governments should not be prohibited from stepping in and providing services in those areas where private companies don't want to, which of course is what private companies have been buying into law for some time now.

    It's not black and white, this or that, etc. There are ways to make things better without giving all the power to one side or the other. The point is right now the power is too far on the private side when it comes to money, the "force" is all directed against the citizens, and it's not helping anybody.

  6. Re: SOCIALIZE! by phantomfive · · Score: 5, Insightful

    Uh, I like the idea of driving being a privilege. No one should be on the road without demonstrating that they have the capability to handle a ton of metal without killing people.

    --
    "First they came for the slanderers and i said nothing."