More Hazlett

This time in the WSJ. Excerpt:

Sadly, regulations still block countless opportunities. In wireless, broadband deployment is suffocated by the industrial policy now known as "the Digital TV transition," an official FCC proceeding now in its 17th year. During that time, a vast swath of bandwidth has been wasted, and the emergence of wireless broadband -- by many measures, a potentially dominant competitor -- has been thwarted, bottling up a "third path" for high-speed networks.

In wireline, access regulations continue to discriminate against firms investing billions to build networks. TV broadcasters are bestowed with must-carry rights appropriating bandwidth from cable operators. More happily, cable modem services have thus far escaped "open access" obligations, which would force them to share their networks with rivals, and have sped to a 2-1 lead in broadband subscribership. Runner-up phone companies offer DSL (digital subscriber line) service on "open access" platforms. Investors prefer cable's proprietary model.

So should regulators, because only by inducing the creation of new networks will better alternatives be offered. Phenomenally great alternatives are on the horizon. Instead of defending existing market structures as in the '60s, regulators ought to dare a surprise ending -- and welcome the emerging technologies of tomorrow.