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I come from the Philippines, where open networks is the default rather than the exception, and all I can say is that choice is really great for the consumers here. Yes, telcos here are still on the "evil" side (but its no match to what you have there in the US), but because consumers can easily switch to other networks, the telcos are forced to offer discounts and value added services to compete.
The scenario here is much like the the computer way of things, as what Wu was saying in his post, where your first consideration is the phone that you want, then the network/telco will come next as a preference. One of the few gripes that I have though is that here, your mobile number (the first 3 digits) is dependent on you network, and maintaining your number (all except the first 3 digits) as you transfer from one network to another is not one that is really considered.
In the end I hope Apple will indeed become a catalyst of change from closed networks where telcos rule (and hamper device innovations) to a one that is more open, more competitive and more conducive for technology innovation.
Anyhow, despite its cast, my view is in fact quite optimistic.
I didn't have a chance to say this in that Slate piece -- however, Apple's strategy is similar to iTunes. Apple would like to get its foot in the door, and then change the market from within.
I think the Tims have a great point: "The iPhone can be a catalyst for change in mobile networks." This kind of revolutionary product can make that happen and we'd all prefer this to happen through market forces rather than a ham-handed response by the FCC or Congress.
In the end, however, we do want to preserve flexibility in the business model. Personally, I like the fact that T-Mobile gave me the MDA at a subsidized rate for choosing their service plan and commiting for a couple years. I think that kind of option is great, as long is it isn't the ONLY option.