Monday, August 5, 2013

Is Verizon Better?

If you think Verizon is better, then move to the US. I would rather have Canadian competition than let more American companies come north. Here are the top three reasons I keep hearing that Verizon is a good idea for Canada: better wireless coverage across North America, a company that does not price gouge, and competition is better for all Canadians. 

To start with "better wireless coverage across North America," you really think Verizon has ANY infrastructure in Canada? They don't, they roam off of Telus and Bell's networks. Why would anyone think that wireless coverage would magically get better once Verizon is here?  

So Verizon "doesn't price gouge?" How can people who think this survive to adulthood? These people must be the same ones who thinks the market crash was caused by gremlins in  the computer networks. 

So "competition is good for all Canadians," I can see how on the surface this might be true. Since the general public never looks at the whole picture, I will let you in on a secret... No business likes competition. 

Here is a scenario for you, two companies are across the road from each other; both offer the same products. Between them they employ 2/3 of the town, both pay excellent wages. Since people, being people, will always complain about the largest companies start complaining of price gouging and poor customer service. So a third company comes in offering the same products at half the price, and the municipal government tells the original two that they have to share their facilities with the new comer for pennies. Now neither company can afford all of their employees, so jobs are cut. Prices are cut to compete, more jobs are lost now that there is even less money to pay employees. Now the third company is the same size as the other two and between the three of them employing 2/3 of the town. Now lets add a fourth company, but the market cannot support a fourth company, jobs are lost and wages are cut. After the dust settles only two companies remain employing 1/3 of the town. I've seen this happen in reality in a small town. The same principle applies when scaled up. 

So if you think I will agree that Verizon will make my life better, you are delusional. So there is nothing in it for me, nor do I see anything but trouble in the long run for the rest of Canada. 

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