Mr. Kessler’s Datatopian Assumptions

August 19, 2009

I was surprised that the Wall Street Journal editorial page printed Andy Kessler’s datatopian rant today, which essentially calls for the Federal Government to economically regulate the competitive broadband Internet as a monopoly and move away from a market-driven property rights model for mobile Internet infrastructure.

After one reads Mr. Kessler’s compilation of datatopian platitutudes and selective analysis, please consider the litany of datatopian assumptions (below), which undergird Mr. Kessler’s regulatory recommendations.

  • Mr. Kessler’s: “Why AT&T Killed Google Voice: Telecom operators are yesterday’s business. It’s time for a national data policy that encourages innovation.”

Mr. Kessler’s Datatopian Assumptions:

First, assume a broadband pipe(s).

Second, assume broadband/Internet works, always.

Third, assume all the billions of daily Internet transmissions just happen — perfectly.

Fourth, assume everyone can always use as much bandwidth as they want.

Fifth, assume its all free.

Sixth, assume broadband doesn’t need return on investment.

Seventh, assume that the broadband competition everyone sees everyday in TV/online/print advertising doesn’t exist.

Eighth, assume only Silicon Valley companies can be trusted.

Ninth, assume only Silicon Valley companies can innovate.

Tenth, assume Government policy/regulation is the wellspring of market innovation.

In short, assume that datatopia can be within our grasp, if we would only listen to Silicon Valley and trust in Government economic regulation.

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