Rural Americans Lose if DOJ Blocks EchoStar/DirecTV Merger
To the Editor:
If the Justice Department is going to deny the merger of EchoStar and DirecTV, I would like for officials there to explain how rural Americans are supposed to receive high-speed Internet access (?DOJ Gives Red Light to DBS Merger,? Sept. 30 issue).
The sad reality is, rural Americans have no hope to receive this technology if the merger is rejected because neither the cable or phone companies will spend the hundreds of millions of dollars necessary to extend this service into remote rural areas.
I know your magazine reaches cable executives and I would challenge any of them to write a response to my letter and explain how they propose to link the most rural parts of Wyoming, like my hometown of Sheridan, for high-speed Internet if this merger fails.
It is wrong to suggest that the merger of EchoStar and DirecTV will create a monopoly. Denying this merger will, in fact, leave the ?no-opoly? that currently exists for millions of Americans. If President Bush is serious about rapidly expanding broadband Internet access, he will instruct the attorney general to intercede in this matter and protect the interests of rural Americans.
Former U.S. Sen. Malcolm Wallop
Chairman
Frontiers of Freedom
Sheridan, Wyo.
More Regulation, Fewer Choices
To the Editor:
I was troubled to read in your paper about the likely rejection by federal regulators in Washington of the proposed EchoStar/DirecTV satellite merger (?DOJ Gives Red Light to DBS Merger?). If the merger is rejected, the government (our tax dollars) will be left to pick up the tab for linking up rural America to the high-speed Internet.
With the rapid expansion of technology, the government is trying to keep pace in making the latest developments available in all parts of the country. Unfortunately, due to burdensome regulations and other obstacles, the government's methods have proved to be ineffective and costly. In fiscal 2002, Congress appropriated $700.5 million for the Education Technology Block Grant program, $32.5 million for the Department of Education's Community Technology Centers Program and $15 million for the Department of Commerce's Technology Opportunities Program.
The merger would help eliminate government interference in this emerging marketplace.
With the near collapse of the competitive telecom industry, the regional Bell companies now control 86% of the DSL broadband market and prices are rising as competitive options fall. The combined EchoStar/DirecTV entity would insure that no consumer would be a captive customer of the Bell giants, even in areas not served by cable TV.
This is clearly a merger that would actively serve the public interest. Hopefully, regulators in Washington and the Bush Administration will reconsider their reported action and allow the free enterprise system to work.
Thomas A. Schatz
President
Citizens Against
Government Waste
Washington, D.C.
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