European Parliament Committee Backs Further Hack Of Roaming Charges
from the the-answer-is-always-more-regulation dept
The EU continues to try to regulate itself out of this self-created mess, the latest move being that a European Parliament committee has voted to further cap roaming charges on text messages and mobile data. The plan moves forward to the whole Parliament, and will be considered on the cusp of peak travel season, so the politicans can brag to their constituents that in this time of economic misery, they're moving to cut their vacation costs. But what they're really doing is further impeding the market by removing any incentive for operators to compete with one another -- just as the EU regulators did back in 2000. This was a situation created by overzealous regulation: had the EU allowed the likes of Vodafone to create products based on its competitive advantage, it's likely the market would have brought prices down on its own, and without the balloon-squeezing effect. But once the EU began interfering, that became impossible, since it in essence outlawed competition. Interfering in the market even more may be politically useful, but won't create lasting competition that will benefit consumers in the long run.