Fast, affordable Internet access for all.
Government is often criticized for eliminating competition, inefficiently providing private services, and removing the profit motive. However, market failures are often where governments are asked or begged to step in, and, when accomplished correctly, can provide new opportunities for private enterprise.Glenn is absolutely right both in capturing some of the criticisms leveled at public networks as well as noting that publicly owned broadband tends to occur in the most difficult environments. Contrary to telco rhetoric, local government officials tend not to want to jump into telecommunications efforts unless they see it as vital for the community. They are busy enough and these networks take years of planning, public hearings, and lots of loud attacks from the very companies that refuse to build the needed networks. But look at the first two items that Glenn notes government is accused of: eliminating competition and inefficiently providing services. How is it that it can do both? Governments cannot coerce people into using the network and federal regulations prevent the local government from abusing its authority over the rights-of-way for the public network. Local governments can use untaxable bonds but private companies get depreciation, tax incentives, and can cross-subsidize from the nearby communities where they charge monopoly prices. As for removing the profit motive - this is hardly a criticism. Infrastructure should not be controlled by any entity with a profit motive - it is the foundation of all other markets. If the infrastructure is too expensive, all other markets are harmed. High-cost broadband makes all businesses less competitive. Removing the profit motive is a tremendous benefit - it allows local government to put money into local support services rather than off-shoring those jobs and paying a dividend to people living outside the community. Go Seattle! My impression is that if Seattle can move forward, it will spur decisions in Portland, San Francisco, and perhaps other large cities that are currently seeing Verizon build out the suburbs with FiOS and hollowing out the urban centers. Photo used under creative commons license from flickr.