Earlier quoted context omitted.
They won capitalism? The government regulations are entirely responsible for the lack of competition. As it stands, competition found away around the wired line regulations. The wireless devices came along. And soon the satellite networks will give the cellphone carriers a real kick in the pants.
Nope, you can’t the-free-market-will-fix-everything this one. The telco lobbyists wrote the government regulations. Wireless is slow and coverage is spotty. Satellite is unreliable, expensive, and has a fixed latency cost that can’t be eliminated.
Just a point of clarification, the free market generally means independence from government regulation. This isn't the free market failing so much as incumbents using the power of government to force their advantage, part of the argument of the free market is that by not allowing the government to interfere in this manner no one can get laws written to benefit them because the government doesn't get involved in the first place. Now granted that's in a frictionless airless world with spherical cows. But to say the free market failed and the very next sentence say it is because of regulation from the government is oxymoronic.