Posts Tagged cell phone

Monopolies and Competition: Mom! Dad! AT&T’s Not Sharing!

AT&T, T-Mobile, cell phone, acquisition, monopoly, competitionIn my most recent post at Ethika Politika, I comment on AT&T’s recent plans to acquire T-Mobile, a move that has garnered cries of “monopoly!” (or “duopoly!”) from all sides.

But although many see AT&T’s actions as “anti-competitive” in nature, I see no such thing. From where I stand, the acquisition has great potential to improve the company’s output, which could indeed benefit consumers and invigorate competition in the industry:

With a newly expanded network, AT&T could greatly improve its ability to expand service to rural areas. Due to increased economies of scale, it is likely that prices could decrease across the board. Additionally, although critics claim that the tightening of the market will have a negative impact on innovation, many believe it will raise the stakes (“mono y mono!”), leading to improvements on any number of company weak spots, from customer service to overall quality of service.

Yet whether the deal will be good or bad for (anyone’s) business is secondary; such matters remain debatable. The core issue, as I see it, rests in the mindset of those who adamantly oppose the deal on limited evidence, particularly those trying to prohibit it from happening altogether.

As I argue, the problems with such a mindset can be broken into three main areas: (1) a fear of competition itself, (2) a misunderstanding of the company-consumer relationship, and (3) a corresponding pessimism and all-around static view of human ingenuity and potential.

I expound on each, but regarding the third (and most important), here’s an excerpt:

Do we really believe that markets are that unmovable, or that we as innovators, explorers, and dreamers do not have what it takes to meet whatever challenges and needs may arise? Are we really so short-sighted that we Read the rest of this entry »

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“Excuse me, operator, but do you know where I might find a toilet?”

Toilet

If you had a choice between making a phone call or taking a dump, which activity would you prefer to modernize?

According to this article, there are now more cell phones in India than there are toilets. In fact, as the article reports, “this lopsided statistic is true around the globe, as well.”

The detailed statistics are as follows:

It’s an irony that applies globally, too: this year, the International Telecommunication Union reports, the number of mobile subscriptions is expected to surpass five billion. By contrast, some 2.6 billion people — or nearly 40% of the world population — live in conditions with dismal sanitation. Fully 16% of the world is still forced to defecate in public every day.

So why is this the case? How has such a cutting-edge technology become available in so many areas that still don’t have proper sanitation? Is it really that much more important to call Aunt Mable than it is to be able to flush your stuff to kingdom come? Read the rest of this entry »

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