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On the revenue side, robocalls provide telcos with lots of business opportunities. Start with the "billable minutes".

Consider also that the telcos offer premium services to counter robocalls. Verizon "Caller Name ID" is priced at $2.99/month; for their landlines they sell hardware such as the "Call Blocker Shield". Sprint "Premium Caller ID" (which includes blocking capabilities) costs $2.99/month. T-Mobile "Name ID" is $4/month.

Consider as well that many cell-phone plans are not unlimited and that depending on the plan, incoming calls may count against monthly minute quotas.

On the cost side: the technical solutions to tighten up the network cost money, whether it's implementing heuristic filtering on the existing unreliable network, or working to make the origins of calls reliably identifiable.

Between the revenue and the cost telcos thus have significant incentives to avoid solving the problem of robocalling.

The staggering negative externalities of robocalls, though, are borne by the public. We have a huge collective incentive to see the problem of robocalls solved.

Ajit Pai's FCC won't help the public, though -- it's fine with telcos privatizing profits and socializing losses.



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