more on Comment on AT&T/BellSouth and the FCC

[Dave Farber <dave () farber net>]

-------- Original Message --------
Subject: Re: [IP] Comment on AT&T/BellSouth and the FCC
Date: Sun, 05 Mar 2006 10:05:14 -0800
From: Glenn Fleishman <glenn () glennf com>
To: dave () farber net

I don't want to be in a position to defend AT&T, and I'm not defending
them. But
I would like to point out how a continent-spanning 2006 AT&T differs from Ma
Bell circa 1980 or so.

* AT&T/BellSouth no longer has a monopoly on local phone service; they have,
rather, a discriminatory, quasi-regulatory monopoly on wire running from
their
central offices to homes. That wire is becoming less and less valuable every
day, despite their rearguard action for subsidies, anti-competitive
initiatives,
tariff raising, and broadband deregulation.

Competitors for local phone service: Local cable operator. Clearwire
(one day).
Cell carriers (several, plus MVNOs reselling cell service). Independent
wireless
network providers. Municipal network providers. Vonage (over existing
broadband
if not blocked!), Skype, and their ilk. (Vonage may be small and
struggling to
get their IPO out, but Skype is now part of a multi-billion-dollar firm,
eBay.)

* AT&T/Bellsouth can't restrict you from using your own phone equipment
on their
phone lines as Ma Bell once could. Remember leasing phones?

* AT&T/Bellsouth no longer has a monopoly on long-distance service, which is
dirty cheap or "free" (unlimited via flat monthly rate).

* AT&T/Bellsouth no longer has a monopoly on dedicated lines, which,
over two
decades ago, weren't very fast but were very expensive.

> From the present competitive environment, Cingular has three extremely
aggressive competitors all pursuing slightly different models. They will
also
face competition for cellular voice service from metro-scale networks
offering
VoIP and from independent broadband wireless providers.

This isn't to say that AT&T/BellSouth won't have incredible advantages
of scale
and monopoly, but despite a regulatory structure that is now stacked in
favor of
incumbent wired, wireless, and broadband operators, they have a fair
amount of
serious competition in each of the realms in which they operate from other
multi-billion-dollar firms.
--
Glenn Fleishman
seattle, washington
work and home: glennf.com
wireless data news: wifinetnews.com
email sent to me will not be quoted unless you allow me
email sent from me is intended to be private unless noted otherwise

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