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Originally Posted by Watts
Not entirely true. The cable companies are required by law to share the infrastructure set up. While paying dues and considerations to the local government. This make's the issue of royalties in instances like these such a touchy issue. When a company like Verizon pays a sizable share of said infrastructure, they (Verizon) wants the right to "tax" Microsoft, or any other company that uses said infrastructure. Which had no part in the construction or maintence of it. Microsoft doesn't want to cough up the dough.
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My point, though, is that companies and users have no option
but to use that infrastructure. A user wanting DSL does not have an option to choose anything but Verizon to obtain information/products/etc. from Microsoft. Thus, Verizon should not be given free reign to set prices how they see fit. A lot of what we are talking about here is a free market, where companies are free to peddle their services in any way they see fit. However, when government-imposed monopolies enter the equation, the idea of such a system goes right out the window. Verizon's contract is to provide a government service to citizens, not unlike how I am forced to use Tucson Water for the plumbing in my home.
The telcoms that set up these lines knew what they were getting into. Now that everything is in place and they find their profitability ideas aren't as fruitful as they thought, they essentially want to hold a ransom for good services that they were given government assistance to set up and own monopolies on initally.
This thing is sticky, and I don't like it. I don't appreciate it.