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Cunningly the bizarro world I live in is not the US. So I can only tell you what works here - without using tax subsidies.

So let me be clear, because I think you somewhat misread my point. I am in favor of competition, be that Muni or collectives or whatever. My point is that the factors that make it hard for an isp to enter a market should be "made easier" - and I don't think you need tax subsidies to do that.

Could a Muni provide capital to say lay fibre, absolutely. Could they effectively create an income stream from leasing that fibre to ISPs, absolutely. Perhaps in some rural areas they may even provide a subsidy to consumers (regardless of isp) because of cost /density reasons.

So let me tell you about the bizarro world I do live in. Over here, while there are still regulations, it is possible with relatively little hassle to lay fibre. Literally under the road. For years we've seen trenches being dug next to roads.

The folk who lay the fibre are not the isp. The isps run on top of the fibre, and compete. I have about 20 to choose from - it's easy for a company to enter the space, and it's easy for large incumbents to play as well.

The one I chose went bust, I switched in 30 minutes. (I was offline for about 24 hours before customers collectively realised they were gone.) The fibre provider confirmed they had been turned off for outstanding bills, and at that point I switched to another isp.

Separating the physical wire from the service over that wire is the best play. I don't need a choice of wire, but as it happens in some neighborhoods there are 2 cables laid, by different providers (to the same neighbourhood).

Could munis lay fibre, or WiFi, or whatever infrastructure they like? Sure. And clearly they can use tax money to do that. Just don't grant any monopolies over that wire, and you foster competition. You don't need ongoing taxes to be an isp, you just maintain the infrastructure just like a road or water or whatever.




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