Comments on: AT&T’s pretty bad, but sadly so are the other carriers… http://iphonetouch.blorge.com/2009/08/15/atts-pretty-bad-but-sadly-so-are-the-other-carriers/ Top iPhone and Touch news and tips Mon, 13 Feb 2012 07:28:45 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Timothy http://iphonetouch.blorge.com/2009/08/15/atts-pretty-bad-but-sadly-so-are-the-other-carriers/comment-page-1/#comment-15657 Timothy Tue, 18 Aug 2009 19:25:00 +0000 http://iphonetouch.blorge.com/?p=3074#comment-15657 Okay so we all know AT&T is fairly bad but I've recently had an experience that made me wonder... I had to phone CS for my teenage daughter's Tracfone (we got them Tracfones to stop overspending and teach them some financial savvy) and it was actually very painless. Not a very long wait, friendly (if foreign accented) service rep and I got the problem sorted in no time. Now I wonder how our 'pricey' carriers would compare to these bargain providers? Are we paying for something we're not getting - like good customer service? Okay so we all know AT&T is fairly bad but I’ve recently had an experience that made me wonder…
I had to phone CS for my teenage daughter’s Tracfone (we got them Tracfones to stop overspending and teach them some financial savvy) and it was actually very painless. Not a very long wait, friendly (if foreign accented) service rep and I got the problem sorted in no time.
Now I wonder how our ‘pricey’ carriers would compare to these bargain providers? Are we paying for something we’re not getting – like good customer service?

]]> By: Louis Wheeler http://iphonetouch.blorge.com/2009/08/15/atts-pretty-bad-but-sadly-so-are-the-other-carriers/comment-page-1/#comment-15561 Louis Wheeler Sun, 16 Aug 2009 18:59:43 +0000 http://iphonetouch.blorge.com/?p=3074#comment-15561 The problem is that, a long time ago, phone service in the US was a monopoly, (AT&T -- Ma Bell). When the government broke up that monopoly, they did so incompetently, without allowing for true competition. The government allowed the local bell companies to have exclusive monopolies over the land lines in their areas. The local Bell companies parlayed that monopoly into control over mobile phones. They froze out competing technologies and ISPs to shut out the competition and chose incompatible technologies and frequencies for mobile phones. Thus, they balkanized America. Consequently, we have a worse condition than when we had one company as a monopoly as they do in Europe. The various local Bells can avoid blame by pointing fingers elsewhere and paying off government officials. This is the problem of state or crony capitalism in regulated markets. It is the fault of government controls which are subverted to harm the consumers. It is a classic case of how not to deregulate a market because it provides for no freedom or competition. It would have been better if the government had given up any regulation for this business. That would have produced chaos as consumers were charged excessive rates for poor service. But this would have incited competition that would have eventually solved the problem. Half way measures do not work; they destroy the incentives to succeed. They bureaucratize businesses which never satisfy the customers needs. The problem is that, a long time ago, phone service in the US was a monopoly, (AT&T — Ma Bell). When the government broke up that monopoly, they did so incompetently, without allowing for true competition.

The government allowed the local bell companies to have exclusive monopolies over the land lines in their areas. The local Bell companies parlayed that monopoly into control over mobile phones. They froze out competing technologies and ISPs to shut out the competition and chose incompatible technologies and frequencies for mobile phones. Thus, they balkanized America.

Consequently, we have a worse condition than when we had one company as a monopoly as they do in Europe. The various local Bells can avoid blame by pointing fingers elsewhere and paying off government officials. This is the problem of state or crony capitalism in regulated markets. It is the fault of government controls which are subverted to harm the consumers. It is a classic case of how not to deregulate a market because it provides for no freedom or competition.

It would have been better if the government had given up any regulation for this business. That would have produced chaos as consumers were charged excessive rates for poor service. But this would have incited competition that would have eventually solved the problem. Half way measures do not work; they destroy the incentives to succeed. They bureaucratize businesses which never satisfy the customers needs.

]]>