I agree that a BT/MCI merger with GTE would be better for GTE's wireless unit than a merger with AT&T, for the reason you mentioned. Frankly, I think AT&T will have a hard time merging or buying any LEC, if the level of opposition to the SBC deal was any indication.
Now I'm wondering if any major IXC will be able to acquire any large LEC. Given the opposition from the FCC, Justice, consumer groups and LD competitors to the proposed ATT/SBC deal, is there any reason to believe these same groups would react differently to any other ATT/LEC deal? And, if opposed to an AT&T transaction, would it be politically wise for any one of these agencies/groups to support any other major IXC in an attempt to pick up a local provider? I, for one, don't think so.
That would mean that the only way LD players would be providing local service for some time to come would be as CLEC's. The recent editorial page article by BellSouth's CEO paints a pretty compelling picture of the game the IXC's have been playing.
Regards,
Phil |
