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Ma Bell Comes Home

clayj

clayj

macrumors 604
Original poster
Jan 14, 2005
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1,556
visiting from downstream
http://www.msnbc.msn.com/id/16385838/

So now with AT&T (aka SBC) merging with BellSouth, we're now basically back where we were in the 70s and early 80s... one giant telecom company providing local phone service across virtually the entire US (minus Qwest's and Verizon's territories). It's even got the same name it used to have.

The more things change, hmm? ;)
 
So what happened with the whole AT&T is too big and needs to be divided idea?
 
Definitely not for the merger, but hopefully with the use of VoIP and cell phones becoming so widespread, there will be enough competition to keep Ma Bell in check.
 
I'm for the merger. The circumstances that led to the breakup of Ma Bell back in the day does not apply today. Cellular phones, VoIP, etc, has provided competition where there were none.
 
clayj said:
The more things change, hmm? ;)
Click to expand...

You think VOIP isn't a change? You think everyone having a cell phone isn't a change? You think the fact that many people have dropped home phone service entirely isn't a change?

So they merge, and who cares? The monopoly that once existed is irrelevant now. It's as if all the buggy whip manufacturers got together in collusion after everyone in America bought a car. Makes no difference.
 
tveric said:
You think VOIP isn't a change? You think everyone having a cell phone isn't a change? You think the fact that many people have dropped home phone service entirely isn't a change?
Click to expand...
Given that AT&T(i.e Cingular) and Verizon are the largest cell phone providers as well as land line providers, not really.

Verizon owns so much of the backbone of the 'net that they probably even make money on VOIP.

B
 
balamw said:
Given that AT&T(i.e Cingular) and Verizon are the largest cell phone providers as well as land line providers, not really.

Verizon owns so much of the backbone of the 'net that they probably even make money on VOIP.

B
Click to expand...

You have a good point, however, people still have alternatives.

Let's say someone's landline provider is Verizon. If they're unhappy with their service, 30 years ago, they had absolutely no options. Now, if they're unhappy with their service, they have the option of getting a cell phone. And if they're unhappy with Verizon landline, then they're probably not going to go with Verizon Wireless.

Despite VZW and ATT being the 2 biggest cell carriers, there are other alternatives, and if someone goes with VZW or ATT for cellular when they're dissatisfied with their landline service from the same company, then they need their head examined.

Vonage is obviously a VoIP alternative to landline if someone's not satisfied with their service. While VZ or ATT may be making money from Vonage for using the backbone, your average consumer won't know or won't care that thier money is still going to their former provider, but as long as Vonage's prices are right and the service is good, they're happy.
 
yg17 said:
You have a good point, however, people still have alternatives.
Click to expand...
Yeah, but as the merger indicates. These companies ain't going nowhere. They own the wires and will find a way to make money off of them.

Choice is good and I'm all for it.

For the first time I can remember I actually am in a situation where I can actually choose landline cable/telephony providers. Verizon is coming out to install FiOS voice and data service next week, and I'm seriously thinking of switching from DirecTV to FiOS TV as soon as I can. As such Verizon will be getting even more of my money. At the same time, Time Warner cable is trying to get into the voice service market as well as cable and data.

B
 
clayj said:
http://www.msnbc.msn.com/id/16385838/

So now with AT&T (aka SBC) merging with BellSouth, we're now basically back where we were in the 70s and early 80s... one giant telecom company providing local phone service across virtually the entire US (minus Qwest's and Verizon's territories). It's even got the same name it used to have.

The more things change, hmm? ;)
Click to expand...

As has been said, consumers have other choices available to them today where there were none when ATT was broken up in the 80s.

To win approval, ATT agreed...

_An offer of stand-alone, DSL Internet service to customers in its service area for $19.95 per month for 30 months. The offer lets customers in AT&T and BellSouth service areas to sign up for high-speed Internet access without being forced to buy other services.

_To cap rates for four years on "special access" customers, usually competitors and large businesses that pay to connect directly to a regional phone company's central office via a dedicated fiber optic line.

_To divest all of the 2.5 GHZ spectrum currently licensed to BellSouth within one year of the merger closing date.

_To bring back to the United States by the end of 2008 some 3,000 jobs that were sent overseas by BellSouth, with at least 200 of the jobs to be in New Orleans.

The most difficult item in the negotiators was network neutrality.

AT&T promised to not to give an advantage to any content provider's traffic over its high-speed Internet network. Consumer activists and some Web sites had feared the company could have sold better-quality transmission service to Internet companies that would pay it the highest rates.
Click to expand...
 
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