AT&T Offering Merger Concessions 98
TheFarmerInTheDell writes that AT&T is offering concessions to make their merger with SBC happen as fast as possible. From the article:
"AT&T filed a letter of commitment with the [Federal Communications Commission] Thursday night that adds a number of new conditions to the deal, including a promise to observe 'network neutrality' principles, an offer of affordable stand-alone digital subscriber line service and divestment of some wireless spectrum."
merger. (Score:1)
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Don't forget the fine print. (Score:5, Insightful)
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DSL Pricing... (Score:1)
We signed up for RoadRunner ~7 years ago and have been paying $45/mo the whole time. Time-Warner NEVER lowered the price until SBC/ATT got enough DSL coverage to scare them. After that, they went to the $29/mo (first few months only) pricing scheme (which they currently still have) and ever since have been running a crap-load of ads constantly telling how slow DSL is and how much faster RoadRunner is.
Well, IT AIN'T TRUE! RoadRunner would drop connection atleast twice p
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I've had both AT&T/SBC DSL and RoadRunner, First off RR here is as fast if not faster than the advertised speeds. i could upload and download at the same time without either slowing the other down.
The DSL i have currently(price of $24 month to month for the 3mbit one is why im using it)if i am downloading and start an upload the speed on my download drops atleast a 100k if i upload at max.
I live in a city of about 30k people so the "sharing" aspect of cable doesnt appear t
But (Score:5, Informative)
Yay, AT&T!
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According to this article http://www.macworld.com/news/2006/12/29/att/index. php [macworld.com], they are only agreeing to network-neutrality for two years.
To me, this means, they agree to network-neutrality until they can build out enough bandwidth and there is more of a demand for video over the internet, then it's out the window.
Maybe they should have to split apart once their concessions end?
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Divest first. Set up a binding agreement first. Then we talk.
They did a bait and switch (Score:2)
SBC != BellSouth (Score:4, Informative)
Re:SBC != BellSouth (Score:4, Funny)
One network to bring them all and in the darkness bind them
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One network to bring them all and in the darkness bind them
In the land of San Francisco, where the network hubs lie.
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One network to bring them all and in the darkness bind them
In the land of San Francisco, where the network hubs lie.
There they shall be like a hawk,
and make the peoples die.
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Would that be a Tolkien-ring network?
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While AT&T may be reviled among geeks, it is one of the most recognized, and therefore, trusted brands around.
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If standalone DSL means I can drop my home telephone service without having to switch to Suddenlink's crappy cable internet service, I'm all for it. (The standalone DSL, not necessarily the merger with BellSouth.)
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A) They track every site you and I visit and sell the information to the feds.
B) I have to pay them for telephone service for the privilege of buying their DSL.
If I lived two miles over and had Time Warner for cable service, I'd switch in a minute. But we had Cox (now Suddenlink) and the service was awful. SBC DSL is the best I can get.
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Except they pretty clearly want to be an ILEC (Incumbent Local Exchange Carrier) nationwide, like they nearly were before. I would be shocked if Qwest remained independant for long, and after that, I think they'll buy the non-wireless portions of Verizon (since the own Cingular, they probably can't buy Verizon Wireless). That will give them all of the old American Bell area back, plus the old GTE areas.
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Not so sure about this. I would expect Verizon to hang on to their landline and ILEC status in most areas. Additionally, I will be floored if anyone makes a bid for Qwest or any of their landlines. Unfortunately for those in the Qwest service area, it's looking like those rural areas are no longer profitable for the big companies. It doesn't mean some small company won't come to
Read The Fine Print (Score:2, Redundant)
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Welcome Back Ma Bell (Score:3, Insightful)
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Re:Welcome Back Ma Bell (Score:5, Insightful)
Monopolies or oligopolies aren't all bad in some industries, sometimes they are the most efficient market structure. I'm not saying that the telecom industry is one of these, but there is a reason that after several breakups that they just coming back together. The same thing has happened in the airline industry. Any industry that demands a very large infrastructure will always lean toward a non-competetive market structure because the "cost to play" is so high.
Re:Welcome Back Ma Bell (Score:5, Insightful)
It's not the "industry" that wants a monopoly, it's the management of this industry. Industry itself has no self-organized will to monopolize. Monopolies are inherently anti-competetive. The reason Ma Bell was broken up in the first place was to protect consumers. It is inherently in the best interest of these companies to raise the "cost to play" once they've formed a monopoly in order to keep small players out and thus kill off competition. Once you're the only provider, you can afford to pay whatever outrageous fees are needed because consumers have no choice but to pay you for service. Look what happened when the government recently removed the Universal Service Fund fee and the big telcos moved to fill that gap to help pay off their taxes. And they're still getting away with "tax recovery" fees, passing on their social responsibility to their customers in order to bolster their bottom line. Can I get a raise of hands here on how many people find today's cable or telco companies (land-line or cell) doing all they can to respond to market pressure and consumer demand instead of just filling their own pockets?
But hey, if you want to go back to renting phones, be my guest...
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Everything else aside, the old Bell Telephone network was the best in the world. Because the old AT&T was a monopoly, they could afford to engineer things right. They didn't have to worry about pesky things like cost-cutting or meeting next quarter's financial goals. Today's land-
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Are you suggesting that we are still using Ma Bell-era switches? Because I doubt that.
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There are lots of 1A-ESS and 5ESS switches still in operation. Lots. Additionally, AT&T continued to manufacturer switches for many years after the break-up and sold them to the baby bells. I know. I worked for AT&T at the time.
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Well, that does make sense. And the 5ESS does predate the end of the breakup of ATT by two years, so I guess that works. I sit corrected.
Re:Welcome Back Ma Bell (Score:5, Insightful)
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In wake of their recent lobbying here in Michigan to get a cheap entrance into video and cable services, your idea seems downright logical. I mean, what's good for the goose, right?
Not mentioned in the linked article is the fact that they also want the regulations removed because it will allow them to pick and choose the areas in a community that they'd like to serve, rather than having to server the entire community, rural and otherwise.
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Legalized bribery of politicians?
Selective enforcement?
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http://www.tutor2u.net/economics/content/topics/mo nopoly/natural_monopoly.htm [tutor2u.net]
http://www.progress.org/fold74.htm [progress.org]
http://en.wikipedia.org/wiki/Natural_monopoly [wikipedia.org]
I'm not saying that that stuff doesn't happen, but the very nature of the industry leads to oligopoly. And, no, I do not work for any company remotely related to telecom.
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Market players desire to amalgamate does not imply that amlgamation benefits the consumer. High barriers to entry are also beside the point: the players in question have already entered the market.
I posit that AT&T finds it their fudiciary duty to monopolize because it is profitable - for them.
Also, it's darling how you refuse to take responsibility for your own arguments. Oh, how it warms the cockles of my heart.
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Because they can?
It's not like market forces broke-up AT&T. It was the federal government. Now, it's the federal government giving them a pass, and allowing unlimited mergers.
If GM could buy-up Ford and Chrysler, you can bet they'd jump at the chance... Not because there's any good reason for a monopoly, but because getting rid of your competitors is always profitable.
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Ma Bell as everyone remembers it was put in a nursing home awhile back. It's really SBC running the show now.
http://en.wikipedia.org/wiki/AT&T [wikipedia.org]
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That ain't no concession (Score:4, Insightful)
That's not a concession - that's an attempt to head off binding legislation with a 'promise' that is easily broken once the merger is past the point of no return. They want to have their cake and eat it too.
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Two years? Hah. That's so paltry, we should all feel insulted. They probably wouldn't even be able to effect the major technology change on their network to disrupt neutrality for that long anyway. Might as well promise according to plan. That promise should be perpetual and
SBC or BellSouth? (Score:1)
I know, confusing.... but wait till AT&T merges with the Borg.
Borg? (Score:1, Offtopic)
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Wait a sec (Score:1, Informative)
Some 'consession'.... (Score:3, Informative)
Not to mention the other bs in this agreement:
$20 DSL for consumers whether they sign up for other services or not - when you are an effective monopoly in the area, does it matter if signing up for other services is required?
Repatriate 3,000 outsourced jobs - when you are dropping 10,000 jobs, 3,000 is a drop in the bucket.
And, going back to the net neutrality clause, 'AT&T said it would "maintain a neutral network and neutral routing in its wireline broadband Internet access service"' - sounds to me like they are trying to leave all sorts of wiggle room here...
Which is it? (Score:3, Insightful)
But I thought network neutrality was bad for consumers last time we asked the telcos?
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Effect on WiMAX (Score:2)
According to the article:
A bit of trivia: according to the FCC's license database [fcc.gov], BellSouth owns more than 60 channels useful for WiMAX [wimaxforum.org], 40 of them at 2.5 GHz. The article implies that BellSouth would retain the 2.3 GHz spectrum they have (about 20 licenses). (AT&T
I promise I'll pull out... (Score:5, Funny)
It sounds like the FCC needs to invoke the "no glove/no love" rule.
Net Neutrality isn't always a good thing... (Score:1)
Without QoS on your IPTV service, your 15 y/o daughter
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The idea of QoS and being able to give specific traffic special treatment is, by itself, a wonderfull idea and opens a doorway to services and te
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Unfortunately, IPTV is being used to discriminate already. There are many complaints of IPTV service being provided only to wealthy neighbourhoods, citing cost barriers to entry for the service in poorer, outlying neighbourhoods. So, now all I have to do is buy IPTV, and the side-effect is that my other 'net traffic is prioritized ahead of that guy who not only can't afford IPTV, but doesn't even have it available for him.
IPTV is clearly a loophole to avoid true 'net-neutrality.
Read the earlier discussi
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When they prioritize your IPTV traffic, thats exactly what they do, prioritize your TV traffic. Your regular 'net traffic will be treated just the same as every oth
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The problem people are worried about (read: AT&T has never implemented anything of the sort. AT&T's stance towards the internet is to be as seemless and invisible to the customer as possible) is that someone will block traffic and request a payment. This would undoubtedly cause a serious drop
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Note that AT&T said that they would only provide for net neutrality on the local loop (and only for 40 months). Net nuetrality is always a good thing on the backbone. It's a very important thing there, in fact. Forget your Britney Spears albums for a moment, OK? We're talking about whether you will have to pay AT&T when you want to send a packet to Blizzard's servers on L3's
Divesture? (Score:2)
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While a Comcast phone monkey can take a call from a customer and at the same time schedule a technician dispatch to troubleshoot the problem, AT&T cannot. When an AT&T phone monkey gets
Most of these 'concessions' sunset after 40 months (Score:3, Insightful)
Politicians always agree to these dumb time limits without thinking long term. The internet will be around for a hell of a lot longer than 40 months and they should understand that - the telcos sure as hell do.
Think about this... (Score:1)
AT&T nee SBC nee Ameritech nee Illinois Bell is - the last time I looked - paying more than one million dollars a day in fines. I guess it's just the price of doing businesses.
AT&T - service so bad they've rebranded the company three times (and counting).
Yeah... (Score:2)
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It started off saying "At AT&T, we are committed to bringing you great service.", followed by the usual corporate marketdroid head-farts telling me that "Now is the perfect time to switch to a new AT&T package that better fits your needs!".
The back of the postcard was full of rate changes. All nasty increases.
I was already pissed at SBC for getting into bed with YAHOO, requiring me to load proprietary YAHOO portal software on my machine. This resulted in my dropping Pa
Promise to observe network neutrality ... (Score:2)
"Now what they would like to do is use my pipes free, but I ain't going to let them do that because we have spent this capital and we have to have a return on it. So there's going to have to be some mechanism for these people who use these pipes to pay for the portion they're using," he said,