MCI WorldCom wins a big contract providing services to U.S. agencies
Article Abstract:
MCI WorldCom Inc. won a contract from the General Services Administration to provide telecommunications services. The contract is worth at least $750 million. Sprint Corp. and MCI Worldcom will now compete for contracts with government agencies, worth an estimated $5 billion through 2007, to provide services including long distance, international and toll-free phone services, high-speed data communications and Internet services. AT&T, which was the major beneficiary of the last General Services Administration contract, lost out in the bidding this time around. Since the government decided in 1988 to contract out telecommunications services instead of maintaining its own systems, it has seen the price of service drop from 27 cents a minute to 5.5 cents a minute. Under the new contract, costs will be cut even more, dropping to less than a cent a minute in 2007. MCI WorldCom's stock fell $2.50 to $72.50 on the Nasdaq Stock Market. On the New York Stock Exchange, Sprint fell $1.6875 to $77.75 and AT&T dropped $1.125 to $84.25.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1999
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AT&T plans marketing push of BT's Concert
Article Abstract:
AT&T today is expected to unveil a US marketing campaign touting British Telecommunications' (BT) Concert international voice and data-transmission services. The move suggests a continued development of the pending $11 billion joint venture between AT&T and BT, first announced in Jul 1998, in which both companies will funnel their international assets into a unnamed third company. Observers expect AT&T Business Services Unit Pres Robert Annunziata to announce the complete support of AT&T's business sales staff. AT&T will use the marketing move to compete against MCI Worldcom in the international business market. Both AT&T and BT have been working diligently to interconnect Concert and AT&T's network, which insiders describe as complementary. Concert has lacked an official US distributor since Sep 1998, when BT purchased the service from MCI for $1 billion.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
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