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Categories - Copywriting - Shopping - Free Online Business Help - Telecommunications Services Articles: Telecommunications - The Socialization of Telecommuniations One bright spot in government bureaucracy is now being charged with the task of passing out $4.7 billion of taxpayer money to businesses that don’t want it, don’t need it, shouldn’t have it, and don’t appreciate the government’s attempt to control their businesses by hanging a poisonous carrot in front of their noses.
The RUS initially enabled a business model that made sense by making taxpayer-backed longer-term and lower-interest loans available in rural areas to help develop the nation’s telecommunications network. The return the taxpayers have received from their risk and investment has been immeasurable as 1200 new telecom companies popped up around the country enabling the rapid sharing of information and development and adoption of technology in every industry in the nation. Every business from farming to medicine has largely benefited as a result. Now, as you can see from this video featuring lon-time industry expert Ken Pyle and David Villano of the RDA, it is being forced to struggle to accomplish something that is alien to the concepts that it operates on.
The men and women who initially recognized the importance of telecommunications and took advantage of these guaranteed loans, did so on behalf of their communities. Through many generations, they have coaxed businesses with low revenue streams into profitability and expansion while keeping their networks’ capabilities up to date making broadband available in over 95% of their serving areas. While they may have forsaken their farms and grain elevators, these great business managers continue to figure out ways to adopt the latest technology on behalf of their communities. Today, small communities, that would otherwise be isolated and backward, are able to trade on the stock market and access information from major universities around the world to help them in their endeavors.
As government has expanded beyond sustainability, now taking more than 61% of our production to survive, it’s viral expansion has caused it to find ways to take more and more control in order to justify its growth. This broadband initiative is just another example of using taxpayer money to continue the socialization of our industries. As the virus has proliferated through the FCC and other bureacracies seeking more power and total control, this is just another step in the wrong direction. The results, as we have seen in health care, are always disastrous.
The TelCos that agree to the government mandates required to qualify for stimulus money will find themselves more under the control of the government and the business models that don’t work now in order to extend broadband coverage to low revenue areas won’t work in 10 years when it comes time to upgrade network capabilities again. The TelCos will be forced to depend on taxpayer money to keep serving these areas. This is a trap. Along with the new government money, assuming that it’s forthcoming, will come more mandates that must be agreed to.
The other thing that will happen is that if ILECS don’t agree to take the money and accompanying control, it will be offered to CLECs that will end up with entire networks of low-revenue-stream serving areas and the only way they will be able to survive is through continued taxpayer funding. In the process, the CLECs will take revenue from the ILECs who depend on it to maintain their networks and service their customers. In the end, the CLECs will never be viable businesses and the ILECs will not be able to maintain the high level of service that they provide today and the true cost of broadband will never be known as it is hidden in taxpayer subsidies and the cost of bureaucratic expansion.
The government has turned on itself in order to accomplish this and put one of the few efficient bureaucracies that actually provide a service to the country into a situation where it has to abandon its principles in order to give away taxpayer money. It will be forced to hire more people and expand As you can see from the video, if a TelCo doesn’t qualify the first time, the rules will be changed and they will be given 2nd and 3rd chances. Expect the rules to be changed to punish the TelCos that refuse to take taxpayer money before all of your money is passed out.
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