Re:I have seen the future and I am opposed
by joe_the_user on Monday February 14, 2011 @06:42PM
(#2219271)
I'm not sure what the solution is.
But I think that one can articulate the problem of abusive monopolies as being narrower than simply companies leading the market.
The distinction between rent-seekers and profit-seekers is rough but it's a little closer to the original complaint. We can define abusive monopolies as companies which have acquired not just a strong position in the market but also a legal or force-based cudgel to drive off all serious competitors. Telcos having a monopoly on civic rights-of-way is an example of this. Companies using software patents to scare-away competitor are another example of this.
One problem in dealing with this situation is that in a fair, "commodity" market, margins tend to become "paper thin". Thus there's a lot of capital out there chasing opportunities to get a choke-hold on one or another markets. I don't have any idea what to do about that.
But I think that one can articulate the problem of abusive monopolies as being narrower than simply companies leading the market.
The distinction between rent-seekers and profit-seekers is rough but it's a little closer to the original complaint. We can define abusive monopolies as companies which have acquired not just a strong position in the market but also a legal or force-based cudgel to drive off all serious competitors. Telcos having a monopoly on civic rights-of-way is an example of this. Companies using software patents to scare-away competitor are another example of this.
One problem in dealing with this situation is that in a fair, "commodity" market, margins tend to become "paper thin". Thus there's a lot of capital out there chasing opportunities to get a choke-hold on one or another markets. I don't have any idea what to do about that.