Verizon raises DSL prices to cover tax costs

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Sharing their lines sounds like they don't

make money off this "sharing". In fact, the FCC ruled that these carriers no longer had to charge wholesale prices for use of their infrastructure. This means they will be able to charge rates which will sustain the profit margins granted them by the government.

And the fees being levied on the customer to susidize network construction in poorer areas will of course go to the builders of these networks which just so happens to be the carriers which charge the consumer for the cost of this tax. So by charging this increase and then paying the tax and then getting it back for network development, they will be making a profit off of the tax passed on to the customer.

And as a utility, they were supposed to be trustees for the ratepayers as far as their infrastructure is concerned. Now they are acting like they got their in a truly competitive market and use the rate payer's infrastructure to make their stockholder's rich.

We either need to go back to full regulation as utilities, or ditch all regulations and let the carriers duke it out in a competitive market like everyone else. This blurring of the distinction is only helping the stockholders.

And last but not least. There are fees that phone companies pay that cable companies don't. And rules to follow as well. But the phone companies do not have to compete in a competitive market so as to fear bankruptcy and stockholder losses. They won't be allowed to suffer this fate. Cable companies, however, don't have this safety net.

Let's go all out competition or full utility. I'm sick of the phone companies whining. I would like to see them have to go full competition. Service would improve and prices likely go down.

Posted by: bjbrock   Posted on: 01/22/05 You are currently: a Guest | Members login | Terms of Use

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