A.T.& T. paying $12.6 billion for McCaw Cellular; giant in long distance would gain a vast wireless network

Article Abstract:

AT&T acquires McCaw Cellular Communications for $12.6 billion, subject to Justice Dept and Federal Communications Commission approval. The deal between the nation's largest long-distance and cellular-telephone carriers represents the fifth-largest corporate takeover in US history. It would give AT&T the means to bypass local telephone companies in providing long-distance services through direct links to McCaw's cellular telephone network. The regional Bell telephone companies are expected to oppose the deal in consequence, unless they are allowed to offer long-distance service in competition with their former parent company. AT&T had planned to acquire only 1/3 of McCaw for $3.8 billion, but conflicts over how the two companies would divide development of new telecommunications services markets drove them to negotiate an outright acquisition. McCaw Chmn Craig O. McCaw would gain $1 billion in AT&T stock and a seat on its board from the deal.

Electronic computers, Radiotelephone communications, Television broadcasting stations, Cellular telephone services industry, Cellular telephone services, T, American Telephone and Telegraph Co., AT&T Wireless Services Inc., Cellular Radio, Telecommunications Services Industry, MCWA

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Court lets 'Baby Bells' branch out; companies can sell information services starting right now

Article Abstract:

A Federal appeals court has overruled part of a decision by Federal District Judge Harold H. Greene, giving the seven Bell regional holding companies permission to start operating information services. Judge Greene's earlier decision would have delayed lifting the prohibition that has barred phone companies from entering the information business, giving opponents more time to argue against such a move. The American Newspaper Publishers Association has been an especially active opponent. According to Cathleen Black, the association's president, control over both transmission lines and information transmitted over them would put the phone companies in a monopoly position, stifling competition. The Alliance for Public Technology, which represents educators, the disabled, the elderly, and others who favor a faster expansion of ways to access information, is pleased with the appeals court's decision.

Information retrieval services, Laws, regulations and rules, Political activity, Science and technology policy, Information services, Deregulation, Monopolies, Telecommunications, Competition, Antitrust Laws, American Newspaper Publishers Association, Alliance for Public Technology

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Baby Bells' $2.4 billion deal gains

Article Abstract:

Judge Harold H. Greene rules to allow regional Bell companies Bell Atlantic Corp and Ameritech to retain control of international services provided by the Telecom Corporation of New Zealand. Greene's ruling removes a legal uncertainty in a proposed $2.4 million acquisition of Telecom Corporation by the Bell companies. Until now, the Bell companies had been prohibited from providing long-distance services under Judge Greene's 1984 consent decree, which dismantled the Bell System. Greene's decision was opposed by American long-distance companies MCI Communications Corp and US Sprint. Those companies had argued that a ruling that favored the Bell companies would stifle competition in service between New Zealand and the US. The Bells will not provide direct service between New Zealand and the US. They will also limit their ownership of international cable and satellite properties to 10 percent.

Telecommunications systems, Bell Atlantic Corp., BEL, Telecom Corporation of New Zealand Ltd., New Zealand, Long-distance telephone service, American Information Technologies Corp., AIT

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