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Whats wrong with letting new market entrants pick and choose where they offer their services?

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Whats wrong with letting new market entrants pick and choose where they offer their services?

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For years, the large telephone companies have enjoyed a government-protected monopoly and built huge networks on the backs of captive ratepayers. Now they are pushing a bill in Congress that essentially allows them to bypass local officials and self-define the “franchise area” in which they will offer their new video services, allowing them to cherry-pick the most lucrative markets and “redline” or avoid poorer neighborhoods. This would mean that only some consumers would enjoy the benefits of upgraded services and more competition. It would also give the telecoms an unfair advantage against cable operators whose franchise agreements require them to serve everyone in their franchise area. The “franchise area” for all video service providers should be based on what’s best for the public, rather than what’s best for the provider.

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