New York City Phone Monopoly Bad for Consumers

In January of 1982 the US government mandated the breakup of AT &T Corporation to foster competition and give the consumer a fair break. While this has worked wonders for long distance calling costs, it has not done anything for the local markets like New York City where #Verizon (the local spinoff from the divestiture) owns all of the landlines.

Today if you live in New York City, as well as many other places in the country, you don’t have a choice as to who your phone carrier is. This means that the company that owns the lines in the ground has control over you, the customer. If you live in a large building there may be some choices because there is now fiber optic cable in the ground from more than one supplier and it is worthwhile to negotiate with a large building for many customers. If you are in a small building or own an individual home you have no choice but to go with a very expensive service from only one supplier.

The solution is simple. The government needs to require the sole suppliers like Verizon in New York City to lease their lines to competitors at a bulk discount rate. This would open up both local phone and Internet services to competition and in the long run reduce the cost to consumers. We need to stop these government created monopolies that are essentially bullying the consumer.

#Consumer #ConsumerAdvocate #Monopoly

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s