The Public Utility Model
The term “computer utility” cannot be properly examined without first grounding the notion of “utility” itself. The history of public utilities in the United States is extensive, and a wide array of work has been conducted examining its intricacies.6 Some fundamental properties of the public utility can be established, however. In essence, an industry can be considered to be a utility when two characteristics of that industry converge.7 The first characteristic is economic, wherein a particular commodity or service can be efficiently provided by monopoly production; the second characteristic is social, wherein “the demand for such commodity or service is sufficiently general so that it has become a common necesslty.”8 Traditionally, such a convergence has occurred in industries such as water and electricity, so they serve as useful points of reference.