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Captive Audience Kindle Edition
Ten years ago, the United States stood at the forefront of the Internet revolution. With some of the fastest speeds and lowest prices in the world for high-speed Internet access, the nation was poised to be the global leader in the new knowledge-based economy. Today that global competitive advantage has all but vanished because of a series of government decisions and resulting monopolies that have allowed dozens of countries, including Japan and South Korea, to pass us in both speed and price of broadband. This steady slide backward not only deprives consumers of vital services needed in a competitive employment and business market—it also threatens the economic future of the nation.
This important book by leading telecommunications policy expert Susan Crawford explores why Americans are now paying much more but getting much less when it comes to high-speed Internet access. Using the 2011 merger between Comcast and NBC Universal as a lens, Crawford examines how we have created the biggest monopoly since the breakup of Standard Oil a century ago. In the clearest terms, this book explores how telecommunications monopolies have affected the daily lives of consumers and America's global economic standing.
- LanguageEnglish
- PublisherYale University Press
- Publication dateJanuary 8, 2013
- File size1324 KB
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Editorial Reviews
Review
“With an appealing blend of earnestness and feistiness, Crawford is set on turning the sorry state of broadband and wireless services in the United States into the biggest populist outrage since Elizabeth Warren went after banks.” —John B. Judis, The New Republic
(John B. Judis The New Republic)
“Crawford shows us that the railroad barons of today run cable companies. These monopolies raise prices, stifle competition, and drag the U.S. further behind in global telecommunications revolution.”—Clay Shirky, author of Here Comes Everybody: The Power of Organizing Without Organizations (Clay Shirky 2012-03-23)
“Federal regulatory agencies make definitional decisions in the lives of Americans. But they are little covered by our diminished media; and even when the stories are told, they tend to be told from the perspective of the powerful. That’s what makes Susan Crawford’s book . . . so remarkable. She gets the facts straight—I know, because I was there. But she also does something just as important: she puts the facts in perspective, providing readers with an analysis that is essential if we are ever going to forge communications policies that serve all Americans." —Micheal J. Copps, Former FCC Chairman, The Nation (Michael J. Copps The Nation 2013-04-12)
“Crawford argues persuasively that the unchecked power of telecom giants has removed incentives for progress.”—Paul Krugman, The New York Times (Paul Krugman The New York Times)
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Product details
- ASIN : B00AMYGFXK
- Publisher : Yale University Press (January 8, 2013)
- Publication date : January 8, 2013
- Language : English
- File size : 1324 KB
- Text-to-Speech : Enabled
- Screen Reader : Supported
- Enhanced typesetting : Enabled
- X-Ray : Not Enabled
- Word Wise : Enabled
- Sticky notes : On Kindle Scribe
- Print length : 368 pages
- Best Sellers Rank: #1,945,753 in Kindle Store (See Top 100 in Kindle Store)
- #49 in Antitrust Law (Kindle Store)
- #196 in Franchising Law (Kindle Store)
- #220 in Antitrust Law (Books)
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Ironically, the reaction to Captive Audience has been almost as enlightening as the book itself. It is sad but not surprising to see among many strongly positive reviews here a number of 1- and 2-star reviews from conservative pseudo-academics, political pundits, and would-be policy wonks who have tried to refute Crawford's conclusions with straw-man arguments, "evidence" frequently drawn from their own paid opinions rather than from original sources of independent data, and tired absolutist free-market philosophies which opponents of regulation in any form have flogged since the original Gilded Age in the 19th century. A quick Internet search reveals that the authors of every one of these negative reviews are transparently shilling for the American telecom industry as paid PR flacks, marketing consultants, or employees of telecom industry-funded think tanks.
A newer spate of negative reviews takes what appears to be a more subtle but no less misleading tack: We are now supposed to believe that a range of everyday Americans who have never before reviewed any other book on Amazon.com have also given Captive Audience 1- or 2-star reviews, all in a one-week period, all because they deny its broadly-supported conclusions on the basis of homey personal anecdotes. One completely misses Crawford's fundamental point that in contrast to a growing number of other technologically advanced countries, the blazing fast fiber broadband which he apparently enjoys at work remains unavailable at any price to the vast majority of American homes. Another apparently travels between different cities--does he subscribe to residential broadband access anywhere?--and seems not to realize that the particular wireless applications he finds useful do not generally require high data throughput so they are poor measures of broadband Internet speed and cost for other users. Another uses high-bandwidth applications in an unspecified rural location and assures us that the broadband access speeds available to him are adequate for his needs, but offers no evidence that the same is true for other rural areas or that similar speeds will continue to be adequate for even higher-bandwidth applications of the near future. Yet another curiously mixes basic errors in grammar with rhetorical flourishes, as if he has been fed professionally-written sound bites to offer as his own opinions, wittingly or unwittingly.
I do not find it plausible that these negative reviews represent truly independent opinions; it appears that most or all have been carefully guided by the unseen hand of the American telecom industry's pervasive and very well-funded lobbying machine. For that reason, they backfire: they ultimately fail to refute Crawford's thesis, but taken together, they are a ringing endorsement of the need for her timely book. The fact that the major telecom carriers appear to be so afraid of Captive Audience, are too craven to address Crawford's concerns directly and honestly, and instead feel they need to use third parties and straw-man tactics to try to discredit her conclusions and make other people afraid of them, is the most compelling reason for all concerned Americans to read Captive Audience and decide for themselves.
How did this get started? It's not an ethnic fashion. The folks who settled the Great Plains were Norwegians and Swedes and Germans, and gelatin is not an ethnic treat anywhere in Europe. Or anywhere else, as far as I know!
No, it's because there was a time when only rich folks could make Jello on their farms in the summer. People who were rich enough to have their farms electrified. Once Jell-O got imprinted as a luxury item, it remained fashionable even when everybody could have it.
You see, electricity itself was a luxury in the early 20th century, and gelatin salads were a proxy for being rich enough to have electric power delivered to your place. In her brilliantly troubling new book Captive Audience, she quotes this 1905 dismissal of government interference with the electricity market.
"The ownership and operation of municipal light plants stands upon a different basis from that of the ownership of water works, which it is so often compared. Water is a necessity to the health and life of every individual member of a community ... It must be supplied in order to preserve the public health, whether it can be done proitably or not, and must be furnished, not to a few individuals, but to every individual. Electric lights are different. Electricity is not in any sense a necessity, and under no conditions is it universally used by the people of a community. It is but a luxury enjoyed by a small proportion of the members of any municipality, and yet if the plant be owned and operated by the city, the burden of such ownership and operation must be borne by all the people through taxation."
This is exactly the argument being used today against government involvement in broadband. It is why children even in such hardly remote locales as western Massachusetts have to go to public libraries to do their homework. Comcast and Verizon just don't find it profitable to run cables and fibers into rural locales.
Those profits are maximized by managing scarcity. with the cooperation of a deregulatory-minded Congress, always hungry for campaign contributions from big corporations. As a result, what the FCC laughably calls its broadband plan of 2010 would have every American household getting 4 Mbps download, 1 Mbps upload by 2020 --- with 100 million households getting up to 100 Mbps download and 50 Mbps upload. The South Korean plan, by contrast, is for every household to get 1 Gbps (1000 Mbps) right now!
I recommend this book to everyone. It explains why my ophthalmologist can't send my retinal scans from his Boston to his Cambridge office electronically (that example explains why symmetric channels, with comparable upload and download speeds, are essential for economic development). Why the backup service Mozy will use postal mail to send you your backed up files on disk if your computer crashes -- the files were uploaded incrementally but to download them all at once would take a week or more.
The US is going to be a second-rate economy if we don't wake up to the simple fact that some regulation in communication technologies is needed to create universal service, and ensuring that service is one of the functions of government. Broadband Internet service is like electricity really turned out to be, and not as the privately owned electric utilities wanted the public to see it at the turn of the 20th century.




