Overcharged and Underserved: How a Tight Oligopoly on Steroids Undermines Competition

This report shows that four firms (ATT, Verizon, Comcast and Charter) dominate all four major digital communications product markets (wireless, broadband internet access, video, and business data services).  The result is a “tight oligopoly on steroids,” that is abusing its market power to overcharge the typical household (with two cell phones, video and broadband) about $45 ($540 per year).  This represents almost one quarter of the household communications expenditures. The report shows that the total overcharges (almost $60 billion per year) result in a massive waste of resources that are spent in mergers and acquisitions accumulation of liquid assets and excessive dividends.