Whether or not you think that AT&T is bluffing on halting or slowing its capital investment, the reason that they are investing in residential services is that it is not regulated and they are finally facing some competition. Implementing Title II regulation will limit their return-on-investment and drive up their costs so naturally they will start investing in areas where they can make more money just as they have done since divestiture. Look at the amount of money that they invest in business and wireless services that are not subject to regulation.
People are naive to think that introducing regulation will make service better and lower prices. Only competition will do that. Regulation will bring you consistent price increases each year and a lower quality of service with little to no innovation. Look at any of the utilities that your city or county provide. What new and exciting services has your water or trash company offered lately? Have you seen your price go down? The same goes with the electric utility. The only innovations that have creeped into their services are to lower the cost of providing electricity so they can achieve higher profits.
Once again I caution, “Be careful for what you wish. You just may get it.”
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