Chris Butler with Americans for Tax Reform: FCC and Senate Flirting with Crippling Cell-Phone Regulation


If you like the frantic pace of technological development in the wireless arena, and fierce free-market competition between the iPhone, the new Palm Pre, and Research In Motion’s Blackberry, you should be concerned by the prospect of new FCC regulations.

Thanks to rapid technological advances, mobile phones are turning into handheld computers with more power than desktop PCs had just a few years ago. While consumers love the multiplying choices and the technological leaps, many don’t understand how they get funded.

The most important developments in mobile technology have required creative funding streams that have necessitated carrier exclusivity agreements. For example, the iPhone’s “natural” cost would be well north of $600, were Apple not able to create a subsidy for purchasers through an exclusive partnership with AT&T.

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