I'm assuming that when you say the telcos pledged to "install fiber optics" you meant to the home. The telcos have installed and do fiber optics to many businesses, and in some cases as part of the normal build-out. I don't think in the current climate that a 'telco tax' will get much traction, either, even though its a good idea. I think the Paradox of the Best Network describes a good way to deal with the telco problem as it relates to the Internet. Essentially, the paradox is that the best network is the one with the fewest features. The is actually true, since with the fewest features, bits move more rapidly and efficiently. I can vouce for this as accurate as someone who works in data communications configuring routers and switches for VOIP among other things. The Paradox of the Best Network referenced above also points out why the Internet is such a threat to the telcos by reducing them to simple bit-movers, something they have begun to realize is a mere commodity, after 30 some years of doing it. Also, having just watched the Internet go whirring by over 'their' wires, they now want in on the dot-com boom of years past. The paradox of the best network is a good read. The paradox also somewhat indirectly supports the idea of 'fail fast' - never bailing out a telco, since doing so preserves investment in out-dated technology and out-dated business models. The faster they fail, the faster new investment in new technology can happen, and the faster new business models that work with new technology can take hold and spread.