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To: Frank A. Coluccio who wrote (1487)10/8/1998 10:24:00 PM
From: Stephen B. Temple  Read Replies (3) | Respond to of 3178
 
State-by-State Research by Data Communications Exposes Failure of Telecommunications Reform Act.

I think I figured out why RBOC stock price's are doing so well in this crapy market. Its all outlined here, 99% control, higher prices, wait for higher bandwidth lines from RBOCs, T1 service is way up.

RBOCs have got ya by the proverbial Kahonies <spelled wrong-<g> I'm not from Brooklyn! <g>

Hell, why give up a monopoly when you can still shaft your monopolized-customers, there's not a dam thing they can do about it.

Telecommunications Reform Act

October 8, 1998 MANHASSET, N.Y.--(BUSINESS WIRE) via
NewsEdge Corporation -- Original
state-by-state research conducted by CMP
Media's Data Communications magazine
reveals that the Telecommunications Reform
Act of 1996 has failed. A major investigative
article, "Brave New World Betrayed,"
appearing in the current (October 1998)
issue examines the degree of competition
within each jurisdiction. Its findings identify
each state's dominant incumbent
local-exchange carriers (ILECs), the number
of new competitive carriers and statistics on
the shift in access lines away from the
entrenched carriers. A similar study currently
is being conducted by Congress for release
next year.

The article reports that the act has not met
its goals of opening local monopolies to
competitors--long-distance carriers, cable
companies and startups--and allowing ILECs
to offer long distance in their regions.
Instead, chronicles Data Communications
Associate News Editor Robin Gareiss:

-- ILECs--the regional Bell operating
companies (RBOCs) and dominant

local providers like GTE Corp.--still control
more than 99

percent of local lines.

-- No incumbent has won approval to offer
long-distance services in

its region.

-- The wait to obtain high-bandwidth lines
can be as long as three

months.

-- Prices for many services are higher, not
lower.

Among the price increases cited are a
monthly cost for T1 Internet access to
$2,700 from $2,300 in 1996. Additionally, an
AT&T T1 line between New York and Chicago
costs $7,435 today, up from $5,945 in 1996.

In addition, the article points out the
market-consolidation trend. Before the act,
there were eight incumbents--the seven
RBOCs and GTE. If pending mergers are
approved only four will remain, meaning fewer
choices and the fear of Ma Bell's return.

The expose cites multiple reasons for the
act's failure. These include the incumbents'
lack of cooperation and diversion of billions of
dollars to fight the act instead of rolling out
new services; faults in the law; the Federal
Communications Commission's inability to
manage reform; the newcomers' failure to
seek residential business; and resolution of
technology issues. The magazine reports
that Congress now is considering overhauling
the act.

"Brave New World Betrayed" is part of a
special report about the new public network.
A companion piece, "Building the Brave New
World," is an examination of technologies
behind the new public network. "Brave New
World, Brave New Vendors" examines how
the scramble to build a new
telecommunications network is driving
mergers and acquisitions.

In addition to being published in the October
issue of Data Communications, the special
report about the new public network will be
posted to the magazine's Web site,
data.com.

Data Communications is the only global
networking-technology magazine written for
network managers and architects who
design, build and operate multisite,
mission-critical networks. It provides
in-depth, comparative information on the
products and technologies needed for vital
communications infrastructures.

CMP Media Inc. (Nasdaq: CMPX) is a leading
high-tech media company providing essential
information and marketing services to the
broad technology spectrum--the builders,
sellers and users of technology worldwide.
With its portfolio of newspapers, magazines,
custom publishing, Internet products and
conferences, CMP is uniquely positioned to
offer marketers comprehensive, integrated
solutions tailored to meet their individual
needs. Online editions of the company's print
publications, along with products and
services created exclusively for the Internet,
can be found on CMPnet at
cmpnet.com. NSTL, the
company's independent testing lab, serves
government, corporate and
technology-vendor clients around the world.