I'm not sure exactly how Comcast can afford to provide Internet service phone service and cable service for half the price of the incumbent in my neighborhood. Advance Cable Communications is charging me $209 a month for an average product. Comcast is willing to charge me half that price for the exact same service plus an amazing network bandwidth. Being naturally skeptical I find myself wondering when the shoe is going to drop.
If I had the sort of clout required to investigate I would be very interested in knowing where the different subsidies are taking place in order to justify the price difference. I have a hard time believing that it is strictly based on the economy of scale or the margins that the incumbent is operating under.