This paper argues that the conditions that have historically supported the regulation of the telecommunications industry in the United States have been reproduced around the world and exist most formidably within the developing nations. In support of this argument, the paper examines several key periods in United States regulatory history. It then discusses various rationales for regulation in the face of market failure or monopolization and examines the market for telefilm. Focusing on the market for television programs, it argues that American telefilm exporters, primarily members of the Motion Picture Export Association, act as discriminating monopolists and, through their ability to manage demand by setting standards and prices, maintain their domination of the world market. Using published estimates of program costs, population, and television set ownership statistics for 73 nations, the paper offers an analysis showing how the relationship between costs and set ownership lends support to the monopoly view. Contrary to the expectations of scale economies, the data suggest that as the number of television sets per capita increases, the cost of programs for those sets increases as well. (Author/FL)