Bells sidestep local-service regulations
Article Abstract:
Several regional Bell operating companies (RBOC) are establishing new local-telephone operations in an attempt to avoid troublesome regulations. Ameritech, Bell Atlantic and Pacific Telesis Group are establishing new units to market local services through their long-distance subsidiaries as soon as they are certified by state regulators. The RBOCs claim they are merely preparing to bundle services, like their competitors, but opponents fear deregulation of the telephone markets will lead to unregulated monopolies in control. Customers may be confused by the new Bell operations. The lines between the parent companies and their offspring are being deliberately blurred. Regulatory loopholes make the new organizations less subject to the rules governing the parent companies and could result in Bell-sponsored companies operating without competition.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1996
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Telecom concerns love rivalry fostered by new law, unless it's in their market
Article Abstract:
Many telecommunications companies are actively attempting to quell competition in their particular markets after passage of the Telecommunications Act of 1996, despite having earlier proclaimed support for competition. The actions of many of these companies belie their public announcements about providing the consumer with an enhanced number of legitimate communications alternatives. Some of the marketing actions taken by several RBOCs have prompted AT&T and others to file formal complaints with various state regulators. Competitors have also levied charges of inconsistent pricing schemes and stalling tactics against the RBOCs, and the Bells in turn allege that the long-distance companies are intentionally acting to prevent their entry into the market.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1996
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Comment about this article or add new information about this topic:
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