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What country? It would helpful to know so we can dig into the details. I can assure you they don't separate themselves (soft+hard) out of the goodness of their hearts. Telco loves a monopoly where they can get it. I am sure it was wise regulations -- which the US lacks on this matter. Also, national broadband projects in NZ + AU + SE have been fairly successful. Basically, the gov't pays to build the network, then leases parts of it to ISP who compete.

I'm from South Africa, and we have the same kind of separation here

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