[overcooked]

A couple things: 1) While AT&T was not the only provider left standing, it was the largest and had scale advantages against its competitors. The Kingsbury Commitment was designed to halt AT&T's expansion and ensure that those competitors were able to compete. However, it failed: AT&T was able to continue to improve its dominant position by selling subscribers in certain areas while purchasing competitors in more strategically advantageous areas. 2) One of the reasons for "natural" monopoly regulation is that we do not want telephone wires, railroads, and pipelines running everywhere. Building a utility requires gaining access to rights of way. Society subsidizes all private utilities by creating rights of way and infringing upon the rights of property owners along the route. 3) The scores of companies running railroads everywhere were subsidized even further. At least in the West, the federal government gave land along the route to the railroad companies for construction. [1] In some ways, building a railroad was more about land speculation than private construction of transportation infrastructure.

[1] https://en.wikipedia.org/wiki/Pacific_Railroad_Acts