The woes of the USPS as well as the advantages and disadvantages of privatizing the service have long been the source of debate and will remain so for quite some time. In my opinion, one of the most important aspects of this debate is simply that our preferred means of communication has changed so dramatically due to technology.
Taking full advantage of the Internet, paperless technologies (Adobe PDF, etc.), and encryption have enabled banks, insurance companies, corporations, and government agencies to fundamentally change forever the manner in which they conduct business. We are asked to go "paperless" at every turn. Printed books, newspapers, and magazines are disappearing at an amazing pace. Children in many schools are given laptops instead of textbooks. Millions of emails are generated daily for both personal and business purposes. Human events are captured and posted to YouTube and Facebook for the world to see. Our lives are enriched by digital media in ways that were unimaginable only a few years ago... and this trend is not slowing down.
The notion that we must spend billions of dollars to save an institution that is desperately trying to provide services that fewer people want just doesn't make sense. If the USPS can evolve to meet the digital needs of our nation then fine... if they can't then we must consider the economic implications of subsidizing a dying industry.