Path to Freedom

weareu

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I think that everyone is putting presure on ICASA to come up with a solution for the rediculous prices people have to pay for internet in South Africa.

But on the other hand, we live in a proclaimed Capitalist country. I can just see a hundred people reading this post and going what, WHAT, what? But read the whole post before you decide which side of the fence I'm on.

I have an issue with the overregulation of the industry which is why we are in this position in the first place (Paying more than we should). I hope that everyone is familiar with Communism and why most people in the world fight so heavily against it? There always tends to be a hand-full of people (in a Countries case it would be the government) that have so much 'say' that when they are greedy, which people naturally tend to be, everyone else suffers.

So back to the problem at hand, what should ICASA do? We'll at the moment they are needed as a balance because the industry has always been and is still very regulated (previously Telkom was 100% state owned).

But the ultimate solution and definetly the one that I am calling for, is the total 100%, no-nonsense deregulation of the industry. A true ITC revolution in SA.

What does this mean?
Well, if we want to be a capitalist country (except for the very few misguided misfits), we should act like one:
- No license required for providing ANY kind of ITC service including hardware, wiring, sat, etc.
- No price regulation or price fixing (this will obviously enforced by the competition commision)
- No laws or regulatory bodies enforcing stupid laws and rules outside of the core constitution (excluding all the stupid laws that have anything to-do with ITC and was written when Telkom was still state owned).

The Result?
So what would the effect be of doing something like that? Apart from the liberilization of the entire country and freeing the country from the heavy shackles and chains that Telkom has on them.
- 100% true competition, which means better prices and much better service.
- No barier to entry for international telekoms providers.
- No barier for local providers that desperately want to participate and already have the physical infrastructure (Sentech, Eskom).
- Major Job creation!
- Freedom

So Telkom and the SNO apparantly moaned like little ... when a press release on ITWeb claimed that there might be a third-network-opp. But here's the facts: The industry should never have been so heavily regulated!!!! And if you want to be a listed public company you must face the music. You cannot have the best of both worlds. And as for the SNO, you cannot enjoy the same privilages that Telkom had in the past!

So what if there is a third, fourth, fith, 100th opperator, why should it really matter to Telkom, SNO if they are true capitalist companies? They're not, thats why! Bloody Comunist Scum!

So what should ICASA do? We'll, enforce the libiralization of the ITC industry by ensuring 100% deregulation accross the board and then disband!
 
Regulation must be appropriate and enforcable, or we're better off with no regulation.

No, I'm not an anarchist, but too much intervention is harmful. Unenforced regulation is even worse as it penalises the law abiding citizen.

As my signature says...
 
weareu, while I appreciate your post, I strongly disagree with your theory. I will respond why within a day or two.

Hi Debbie2,

And I emplore you too. I practice what I preach and unlike our government and current telecoms providers (telkom AND neotel), I welcome the competition :-) (The competition to my views that is).

If you actually post your promised comment, you agree with my "competition" is good theory and I fail to understand why you would disagree with my governance (avoiding competition) is bad views.

... Waiting for your reply in angst
 
Give me a few more days. I know what I what to respond with, the problem is condensing such an enormous load of information into one or two posts. I'm thinking how to word this succintly as possible.
 
Weareu - life in a capitalist world is not as straightforward as you make it out to be. Things don't necessarily work out for the good of everyone if everything was 'free for all'. Firstly, I cannot imagine that there exists any completely deregulated telecoms industry in the world - I can't imagine SA being the first at anything. Secondly, I can't imagine that a capitalist telecoms company would see any benefit in providing the rural areas with wired infrastructure - these are the people who are in desperate need of the most basic of telecoms services in SA. So a completely de-regulated industry like you propose will just not work - and we may even end up with a monster company that eats up any potential competition (wink wink...sumthing like microsoft). But yeah, some competition would be good.
 
Ok, here's the short answer, to partially further what Fluppy has said above - regulation is supposed to protect everyone BUT Telkom. When people talk of a competititve market, what they are unknowingly calling for is for Telkom to be less restrained. Does everyone truly imagine that market forces would act in the consumer's favour, given the situation we currently have with Telkom's current assets and controls over infrastructure? ICASA can't even handle Telkom now as they are. Now imagine ICASA trying to control Telkom in a fully competitive market?! That's the short version. I am still working on the fully explanative one.

Regulation is not a bad thing, in fact it is critical in telecoms.
 
IT all depends on the nature of the regulations. Regulations put into place to protect companies in a certain market is the wrong approach. Just like what happened with Telkom. Regulations to guard against unfair service provision to customers is the important one. A free market will cause chaos. No standards to be followed and probably no accountability will be enfored on the service providers. End of the day regulations are required but limited ones that is. They should very clear and penalties must be imposed if anyone do not follow them.
 
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