California plans to open local phone markets

Article Abstract:

California government officials approved a proposal to open the local telephone market to competition. The California Public Utilities Commission's proposal will let long-distance providers and cable television operators compete with Pacific Bell and GTE for the much coveted $6 billion market. Several states, including New York, Illinois and Michigan, have already opened competition, but regional Bell companies in those areas have retained key advantages over other competitors. Regional Bells can force customers to change telephone numbers if they want to switch to a different carrier. These advantages are largely eliminated under the CA plan. If the proposal is passed into law, it will be considered a setback for Pacific Bell. It would open the company's core market, but Pacific Bell could not participate in the long-distance market. Pacific Bell, GTE and other possible carriers have 30 days to respond to the legislation, which could be finalized as soon as Jun 21, 1995.

Domestic Voice Telephone Service, Laws, regulations and rules, AT&T Inc., California, GTE Corp., GTE, Domestic telephone services, Telephone systems, California. Public Utilities Commission

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AT&T is venturing cautiously into local telephone business

Article Abstract:

AT&T is entering the local telephone business, with introductory services to businesses and residences in California, but caution marks the telecommunications giant's move into the $100 billion local market. AT&T will use leased lines from the Pacific Telesis Group. Since AT&T was allowed to enter the market in 1996, industry watchers have been waiting for the company to make good its promise to dominate 30% of the local service market by the year 2000. AT&T, however, looks less ambitious than MCI Communications, which has spent $1 billion on local service infrastructure in 18 cities. AT&T's Digital Link service will provide dedicated local and long distance calls to business customers, but AT&T will only handle outgoing calls, so users will have to retain their local phone service. AT&T will offer a flat monthly rate of $10.32, as opposed to Pacific Telesis' peak and off-peak rates.

Local Telephone Service, Planning, AT&T Corp., T, Company service introduction, Service introduction, Company business planning

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Competitive spur seen; British Telecom brings local phone experience

Article Abstract:

The merger and joint venture agreement of British Telecom and MCI will establish a new player in the international long distance services market. Concert Communications Services will be launched as soon as the BT-MCI merger is approved by the FCC, and is expected to attract corporate clients from the soon-to-be-deregulated European telecommunications services market. BT and MCI plan to pursue a larger share of the $100 billion US local telephone service market as well. AT and T, the largest US telecommunications equipment and service company, challenged the deal, noting that BT holds a dominant 90% share of a British telecommunications market that was not open to competition. Industry analysts maintain that the deal is likely to be approved, partially because it is expected to be a factor in opening the European telecommunications market to international competition.

Long Distance Telephone Svc, Joint ventures, Long distance telephone services, British Telecommunications PLC, Company joint venture, Long-distance telephone service, MCI Communications Corp., MCIC, Concert Communications Co.

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