On August 14, John McCain announced his technological platform.  On August 19, Lawrence Lessig published a very detailed and well crafted response to McCain’s platform.  After listening to Lessig’s analysis I remain puzzled with two main questions:

• First, Lessig refers to the relative drop of broadband penetration in the US as an indicator of failure of US tech policy.  I keep on hearing this argument elsewhere, but I have not seen a thorough analysis of why broadband is so beneficial from the social point of view.  I mean, intuitively, I can see why that might be the case as I am using it myself.  However, because I part of the system, I am not sure how this intuition was actually formed.  May it a result of hearing this argument over and over again?  Nevertheless, I would expect from Lessig a more thorough argument in this regard beyond just treating broadband penetration data as an obvious indicator.  I wonder what other possible indicators are out there and where does US stand in that regard.  For example, I know that many Israeli start-ups end up being registered as US companies, which suggests that there is a friendlier environment for maturing innovation into finished projects.  Can that be another indicator?  Or am I wrong? And if I am not wrong, what does it say about the US tech policy?  I would love to hear Lessig laying out a more thorough analysis.  He is making interesting points in terms of competition, but primary focus on broadband penetration is taking away from his argument in my view.
• The second point I remain puzzled with is the link Lessig makes between corporate interest and slowing down of broadband penetration.  Why would not be telecom giants interested in getting people on a broader line?  How is his main idea that it is in corporate interest to control the “pipes” leading to the corporate world slowing down the broadband penetration?  Is it the cost of connecting people vs. prospective revenue?  I am not sure i am following.

What do you think?