It has nothing to do with regulations.
What other corporation are you going to buy from, when you’re not the customer in the first place, but have been commoditised to be their product?
How do you protect the product, if the corporation and it’s customers have no incentive to do so themselves?
But governments, they are monopolistic by definition. And the answer to no one. Army? Seizing land? Pollution??? Well the people of Africa could tell you some stories about their governments...
Or maybe you remember the USA govt detonating countless nuclear weapons over the USA soil...
In a free market a monopolistic company is just an invitation for the competition to a rich easily accessible lunch. The (naturally occurring) monopoly is short-lived.
Unless there is regulation. Regulation raises the barrier of entry, discourages start-ups and thus protects the monopolistic company from the competition.
It's quite logical, really.
It was ruled in 2001 that Microsoft, indeed, had a monopoly on the PC operating system market which they used to overtake the browser market. They did this through private contracts with OEMs and distributors such that all PCs sold to customers were to include Windows and only Windows.
> Judge Thomas Penfield Jackson issued his findings of fact on November 5, 1999, which stated that Microsoft's dominance of the x86-based personal computer operating systems market constituted a monopoly, and that Microsoft had taken actions to crush threats to that monopoly, including Apple, Java, Netscape, Lotus Software, RealNetworks, Linux, and others. [1]
> So they the competition quickly routed around them and made them irrelevant.
That's certainly true for some of their products, such as Internet Explorer, but certainly not for Windows on the desktop.
The PC operating system market is not the server or mobile OS market.
> Where's Microsoft "monopoly" today?
They own the PC operating system market.
> Unless there is regulation. Regulation raises the barrier of entry, discourages start-ups and thus protects the monopolistic company from the competition.
Microsoft created barriers of entry into both the PC operating system and browser markets through anti-competitive tactics. If by government regulation, you mean "court enforced contracts", I'd agree with your premise.
[1] https://en.wikipedia.org/wiki/United_States_v._Microsoft_Cor...
But my point is that didn't last as the market punished them for it and made them irrelevant. The market moved to mobiles and web and today they are a good player in the industry.
Even on desktop where they still enjoy a healthy margin, it's not monopoly: Windows is ~80% while Mac OS and others take the other 20%.
This was your point and it's also what I addressed:
> The only monopolies are government-granted, otherwise startups quickly eat their lunch.
You claimed that monopolies are only possible through government regulation, because government regulation creates a barrier to entry that's easily surpassed by larger companies.
I provided proof illustrating that monopolies have been built through private agreements absent of government regulation.
Reality contradicts your "dystopia".
Reality has a number of regulations and restrictions. The dystopia GP describes is a world without these regulations and restrictions, not the reality we inhabit today.
Perfect competition exists almost no where, and you should read up on the conditions when it is allowed to take place. Regulations are part of the equation, but not nearly all of it.
Large companies are relatively easy to disrupt, since they usually respond slowly to market changes and they are much less efficient than a lean startup. The "advantages of scale" you are so fixated on are just a small part of the whole picture and what large corps gain at scale, they lose at management costs and through lack of innovation
It is a natural process, with countless examples all around us. A healthy process too, since it promotes competition and innovation.
But this process is interrupted by regulation. Regulation protects the incumbents, that is why large companies love it. They'd rather regulate than innovate. Indeed, when startups aren’t allowed to compete (by governments) large companies dominate and the market stagnates.
That only happens when there are regulations to run afoul of and/or a company is not a monopoly. Without government companies would be free to pollute the environment, cheat customers, and abuse workers to breaking point. The market wouldn't punish those companies if all the companies in the market were doing the same kinds of things, which is what would happen if said bad behavior was profitable.
"Oh you don't disagree with Exxon poisoning community water supplies and using a private army to seize land from indigenous people? Tough luck, Shell and BP are doing the same thing."
Yeah most governments leave a lot to desire in efficiency, fairness, effectiveness, etc. But a world where corporations are the only ones who set the rules would be far worse.