As some of you probably recall, I am a telecom engineer by trade. I know the article in question is about a snag in the process, but the justice department is allowing this merger without restriction, saying there is no adverse effect on competition.
Now that is true... for now. But there is a large force pushing for the repeal of the telecommunications act of 1996 and this administration, to my chagrin and in the face of their purported philosophy is listening. I am, once again, here to tell you that doing so would be disasterous and more so, in light of this merger, than ever. Telecom '96 is the one thing that *forces* the incumbent monopolies to provide competition. According to that law, they must wholesale their last-mile access out to competing companies. A large portion of my job the last 6 years has revolved around this very thing.
Assuming this merger goes through, there will be only two major phone companies in America-- the same two from before the break up of AT&T the first time around as Verizon is merely an expanded GTE.
I am not here to denigrate those companies as phone companies... I have always had good service from Verizon/GTE and Southwestern Bell (the owner of the new AT&T ) has been one of the most professional organizations I have ever encountered. I am a current Bell South customer and their customer service and DSL tech support have been delightfully good.
BUT
If we allow the repeal of telecom '96, not only will I be out of a job ( ), but it will end competition in the local telecom Market. Yes, VoIP is the wave of the future and local cable and local power companies are growing providers of data access, but those two sources are already government-regulated and sanctioned local monopolies in the vast majority of areas.
So*, here's me, begging you to give this some thought... and not just for my own self-interest.
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posted
I'm concered too. But I think one reason why the powers that be might allow it, besides all the money changing hands, is because the cell phone is overtaking landlines. But as I think about it don't the phone companies manage the internet infrustructure? Mmmmmm... I seem to recall too that after the breakup of Ma Bell the old core was given control over the long distance lines. If that's true then the reconsolidation of Ma Bell was more probable.
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quote:Originally posted by Telperion the Silver: But as I think about it don't the phone companies manage the internet infrustructure?
sort of... the backbone is pretty well spread out, but at some point, you have to get from the backbone to customers in the real world. Right now, you can do that through the phone company and the cable company. The power company will be able to do it soon.
But until then, you basically have the choice between phone and cable... and the cable company is
1) a localized monopoly
and
2) not yet geared towards business customers.
anyhow... hope that helps. Drop me an e-mail sometime-- we should catch up, you and I.
Posts: 3846 | Registered: Apr 2004
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quote: is because the cell phone is overtaking landlines
That may be true for individual/residential users, Telp -- but not so for most companies -- and I think commercial clients are really the backbone of all major telephone companies.
and I don't think so many companies switching to VOIP really changes things either - because they still have to deal with the major company transmission lines..
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We USED to have a choice of cable company. But with the recent Time-Warner buyout, we don't anymore.
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), but it will end competition in the local telecom Market. Yes, VoIP is the wave of the future and local cable and local power companies are growing providers of data access, but those two sources are already government-regulated and sanctioned local monopolies in the vast majority of areas.
