It all breaks down to the fact that the internet isn't seen as a utility in this country so its vastly unregulated. States have the power to ordain monopolies (and believe me they use it) for Cable and DSL providers. Most people in the US don't have a choice for their provider its usually either Cable, DSL, or ****ty wireless. Because of this obvious lack of competition there has been little to no push to grow and innovation in the industry (the only major exception being Verizon and their push for fiber optic to the home). Personally I think its about time the ISPs start getting regulated more like they are in some countries.
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