The Sheriff of Mohave County, Arizona, was recently asked to describe some of the problems that led to the escape of 3 men from the MTC facility in Kingman, AZ last year. Essentially, he talked about a bunch of security failures that are the natural consequence of a company seeking to maximize profit by cutting corners. In other words, problems endemic to the industry (and by extrapolation, many inherently governmental services that are privatized).
Among the issues he identified as contributing factors:
Failure to follow security protocols
Alarms that never worked
Doors propped open with rocks
Failure to properly monitor the perimeter fence
Allowing prisoners outside at night, unsupervised
It also took more than an hour and a half for the prison to notify local law enforcement following the escape, at which point they couldn't identify the prisoners by name, or even tell which race they were. What's even worse is that had this information been available, the prisoners would have likely been captured almost immediately after escaping, and the men would not have had the opportunity to kill an elderly couple who was on vacation.