Letter published in El Mercurio
http://blogs.elmercurio.com/columnasycartas/2008/01/24/banda-ancha.asp
24/01/2008
Sir:
A striking difference of opinion between the article "The Economist" "Broadband: open those roads," which "El Mercurio" published yesterday on its Internet section and told by Undersecretary of Telecommunications, Pablo Bello, published on the same page.
First, while for the British weekly the key that has allowed the development of broadband in the world's leading nations in penetration, quality and low prices has been the unbundling of networks, our secretary flatly rejects it saying that she "is not in the government's agenda." It should remind the Secretary that 29 of the 30 countries that make up the OECD have a regulation effective unbundling of the copper pair telephone operator dominant in their countries. Moreover, he himself was in favor of public policy that served as undersecretary other work in this in the previous government. Even made a public consultation on 2004. Why he changed his mind just appointed undersecretary for the current government?
Second, it is noteworthy that the Secretary rely on competition between platforms, ie, in the duopoly between telephone and cable companies and "The Economist", based on the failure of the U.S. experience, the discarding plane. Apart from this, in Chile only slightly more than a million households have effective access to the two alternatives mentioned, coinciding with the 20% highest incomes. The rest face a situation of absolute monopoly. Thus, there is competition duopoly to monopoly of the rich and poor, a situation unacceptable in a social market economy like ours.
Finally, concentrate the efforts of the Government in "isolated areas", as proposed by the Secretary, is to divert attention and resources to sectors where it is more expensive to reach with broadband in the short term. Without detracting from the legitimate right of all Chileans, Internet access, it is logical to first address those urban areas of high population density of low or middle income who already have installed telephone infrastructure. Underutilized and made this investment is a major flaw in the Chilean market for may already be integrated into those families with band wide, this has not yet been possible for the policy of imposing monopoly prices. Fairly, and as stated "The Economist", the mandatory unbundling of the copper pairs remedy this situation. Alberto Mordojovich
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