Going long; the Baby Bells all have their sights set on the long-distance market; but each has it own invasion plan

Article Abstract:

The seven regional Bell operating companies (RBOC) are making plans to enter the long-distance telephone market as the result of the Telecommunications Act of 1996. Deregulation offers the the RBOCs the chance to enter this $73 billion market for the first time since the breakup of AT&T. Competition will bring drastic changes to the long-distance market. The RBOCs plan to focus on two key advantages in order to market their long-distance services. Nearly 40% of the revenues earned by long-distance companies are derived from calls that originate and terminate within a RBOC's territory. The baby Bells also have an existing infrastructure with telephone connections into almost every US business and household. Market research shows customers will want to get both their local- and long-distance services from a single provider. The RBOCs are expected to gain a 10% to 30% share of the long-distance market in their region within one to three years.

Wired Telecommunications Carriers, Long Distance Telephone Svc, Marketing, Long distance telephone services, Long-distance telephone service, Market Entry

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Ameritech enters credit card arena with card for both credit, phone calls

Article Abstract:

Ameritech, cooperating with Household International Inc, Prospects Heights, IL, a commercial finance company, will offer a new multi-purpose credit card. Ameritech's card can be used to place phone calls, and customers get a 10 percent discount when they use the card for those services. There is no annual fee for the card, which features a tiered finance charge as low as 16.8 percent. According to David Robertson, president of the Nilson Report, a newsletter about the credit card industry, other regional Bell telephone companies can be expected to do as Ameritech has done. All of them will soon be in the credit card business. Ameritech's card will probably force Visa USA to reconsider its stand against non-banking companies that want to issue Visa cards. If Visa does not reconsider, other Bell companies might opt for Visa's competitor, MasterCard.

Personal credit institutions, Innovations, Telephone companies, Commercial finance companies, Credit and debit card industry, Credit card industry, Household International Inc., HI, Competition, Telephone Company, Credit Agencies, American Information Technologies Corp., Bell Regional Holding Companies

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