Churning is not important, just like AT&T, MCI, and Sprint, people switch around for the 50 bucks certificate they got in the mail. But MCI is still there, AT&T is still there! Not a big deal.
The matter is "would internet be competing with TV or cable?" Fuzzy question we are facing here- an orange and apple thing. Internet let you send e-mail, trade stocks, get to databases, etc. They are competing in the telecom area, (fax, voice, etc), those brocasting things will take a while to happen and at that time providers would be just like a grocery store. Who cares where and who? Just need be nearby (easy to access), affordable, and have good service. A matter of taste and patience, for sure.
Think about this: Why do people still go to the theater? Don't they have TV and VCR? Eventually the profit has to come more from the business for certain niche applications. Like CompuServe's model. |