| For context, the recent move in Paris ends over a century of water privatization. The city seems to have managed fine during that time frame. The focus on consumer prices is emblematic of the problem with public water management. Water/sewer services shouldn't be cheap. Prices should be high enough to adequately maintain infrastructure. Water rates in the U.S. are less than half of what they are in France,[1] and as a result, our water infrastructure is in terrible shape.[2] > You quote the example of communications, in France by law France Telecom had to expand its network to reach any citizen, whether 10km away from the grid or 10m at no cost for the consumer. This led to a great coverage of the territory and very high access to broadband for most of the population. There is no free lunch. More money spent covering more people means less money invested in improving infrastructure in urban areas. France is not a great counterpoint to the U.S. model of regulating ISPs. According to 2016 OECD data, France does have higher overall broadband deployment (40 per 100 inhabitants versus ~33 per 100 in the US).[3] But the vast majority of it is DSL rather than much faster cable. According to Akamai's latest broadband speed report,[4] France ranks 52nd in the world in average speed (page 32). The U.S. ranks 14th (page 24). The U.S. has 42% of connections above 15mbps, versus just 16% in France (pages 25, 34). https://www.akamai.com/us/en/multimedia/documents/state-of-t.... > Take the example of the US, where internet access costs easily $100 a month, has just a couple actors sharing the market in each city, in a proper position of cartel, and where government regulation is nearly non-existent; and oppose this to most european countries where a 100mb symmetrical connection will cost you 30 EUR The fact that you can get 100mb symmetrical connections cheaply in some places doesn't reflect "most of Europe." Fiber is available in almost every U.S. city I've ever lived or worked in (Atlanta, Chicago, New York, Philadelphia, Wilmington, Washington, Annapolis--all except Baltimore and Wilmington, but even those have fiber in the surrounding suburbs). But that's not necessarily representative of the U.S.--you need to look at aggregate, not anecdotal data. Almost 2/3 of the EU lives in: Germany, France, the U.K., Italy, or Spain. According to Akamai's data, those countries all have slower average internet speeds than the U.S. That is consistent with the OECD data, which shows that three of the five lag the U.S. in fiber deployment (counting the U.K.'s FTTN as fiber rather than DSL) and rely predominantly on slower DSL rather than faster cable technologies. [1] http://everylittledrop.com.au/knowledge-center/the-cost-of-w... [2] http://www.huffingtonpost.com/entry/us-water-safety_us_56bcf.... [3] http://www.oecd.org/sti/broadband/1_2-OECD-WiredWirelessBB-2... [4] https://www.akamai.com/us/en/multimedia/documents/state-of-t... |
No, that happened in 1984. (https://research.ncl.ac.uk/media/sites/researchwebsites/goba... slide 11 or http://www.eaudeparis.fr/lespace-culture/patrimoine/).
> You quote the example of communications, in France by law France Telecom had to expand its network to reach any citizen, whether 10km away from the grid or 10m at no cost for the consumer. This led to a great coverage of the territory and very high access to broadband for most of the population.
>> There is no free lunch. More money spent covering more people means less money invested in improving infrastructure in urban areas.
The point here is that the regulatory authority creates a legal framework which favors investement in the grid, resolving one of the inefficiencies of the market (no interest in paying 2MM euros to connect a person who's distant in the country side), makes investments happen which would never take place under a fully deregulated environment. This addresses issues of digital inequalities which would push actors on investing only on people or products which can yield the higher profits. At term it hurts society.
I'll take your points on the OCED and Akamai rankings, and yes I provided anecdotal evidence, not a lot of time for research :) But my sense is that if you compare speeds delivered to prices paid, consumers are still much better off in Europe. The other point which might be hard to quantify is the little choice US consumers have when choosing their ISP. It's often one or two actors who offer the same speed, price points and whose situation of oligopoly allows them to forgo proper consumer support alltogether (TWC). That is the result of no regulation and I don't see how more of that will benefit consumers.
More sources on water remunicipalisation: https://www.tni.org/en/article/180-cities-take-back-public-c...
https://www.tni.org/en/publication/here-to-stay-water-remuni...