Comment on AT&T/BellSouth and the FCC

[Dave Farber <dave () farber net>]

-------- Original Message --------
Subject: Comment on AT&T/BellSouth and the FCC
Date: Sun, 05 Mar 2006 08:21:09 -0500
From: Frank Muto <info () ISPNETWORKS ORG>
Reply-To: Telecom Regulation & the Internet
<CYBERTELECOM-L () LISTSERV AOL COM>
To: CYBERTELECOM-L () LISTSERV AOL COM

Oh, ok, like this REALLY comes as a big surprise?

This is just what may have happened in 1997 when SBC wanted to buy AT&T and
BellSouth was in the mix then and in 2001 dropped it.

So the question is, what is different now than in 1997 and 2001, as to let
these mergers go through when back then it was not approved?

SBC/AT&T 1997
http://www.bizjournals.com/sanfrancisco/stories/1997/05/26/daily1.html

AT&T and BellSouth - 2001
http://www.businessweek.com/bwdaily/dnflash/sep2001/nf20010927_3923.htm

Do you really think AT&T's divestures of its cable and wireless units were
not a grand plan to make the future mergers easier? This was a setup in the
making for many years, in just that the 1997 attempt to merge was a "test"
to see who were friends or foes in Washington. When they found the foe, they
bought their friends in the next election.

It will be interesting to see what happens when the FCC begins reviewing the
reported and alleged merger of the AT&T/BellSouth deal. As it may be a much
different Commission body with the hopes of Robert McDowell's confirmation
by the Senate.

Mr. McDowell is a telecom lawyer who currently serves as
assistant general counsel at Comptel and opponent of the AT&T and Verizon
mergers last year. Mr. McDowell is scheduled to appear before a Senate
committee on Thursday for his confirmation and is likely to be asked about
the merger.

It will be also interesting to see how Chairman Martin handles Mr. McDowell.
Although he is a Republican, his nomination to the FCC was not welcomed by
the Bell companies. Martin may have a tougher go at it this time without
having any leverage over Commissioners Copps' job to hang over his head and
Commissioner Adelstein losing an ally. Perhaps Martin's whipping days are
numbered in making partisan rulings?

As you may remember, Commissioner Copps' reappointment was still in the air
when the FCC pushed the SBC/AT&T - Verizon/MCI mergers through, with really
no enforceable conditions. Both Copps and Adelstein where in a tough
position when they gave in the on DSL changes in hopes of getting tougher
conditions on the pending mergers.

Well that backfired, and hopefully with jobs secured for a while and a
potential ally in the making, they may be willing to push Martin's back
against the wall. It will also be interesting  to see what newly appointed
Commissioner Deborah Tate will swing on this.




Frank Muto
Co-founder -  Washington Bureau for ISP Advocacy - WBIA
Telecom Summit Ad Hoc Committee
http://gigabytemarch.blog.com/     www.wbia.us

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