Study: Government-owned telcos have too many advantages

The Progress & Freedom Foundation released a study at this week’s U.S. Telecom Association conference in Las Vegas that concluded governments possess unique advantages when they compete with private companies in the telecommunications marketplace. These include the following: less regulation, less taxes, few obstacles in gaining permits, easier access to government-backed capital, and various forms of public subsidies. The study said government-owned telcos “pose formidable, if not insurmountable, obstacles” to the creation of fair marketplaces.