The third player

Anyone who reads this blog knows I am very excited by the impending competition between cable companies and regional telephone companies. I have heard various "experts" express concerns that with only 2 players (the cable & telephone company) in any given market that competition will not be fierce and that consumers won't benefit from lower prices. These experts are missing a huge trend that will introduce additional competition to the marketplace, and that is broadband wireless connectivity. While WiMax (which got major approval from the IEEE today), and EV-DO services are scarcely available today, expect a major roll out of these services next year. The providers of these services, including the likes of Cingular, Verizon Wireless, and small startups, will be the third major player that will keep the duopoly with fixed wires into the home honest and help drive prices down.