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I don't actually think it's the last-mile problem. It's that cities sell a charter to telecom companies, who then cite the last-mile problem as a reasoning for a limited number of charters being granted. Telcos basically say "hey, you can't expect me to lay all this wire...
unless you'll give me oligopoly/duopoly/monopoly profits." And then the cities are like "okay" or "bribe me" and then the telcos have limited incentive to do a good job at anything because of limited charters granted.
Interesting so its more like an interplay between corps and govt.
In my humble opinion based on reading Cable Cowboy.
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