But what would happen in a regulation-free vacuum — essentially the wild west of the communications world — if the nation’s largest telecom company is allowed to operate with impunity? So far, public officials are not asking that question because they’re too busy praising AT&T’s announcements of billions of dollars of investment in new wireless broadband networks, supported with funds from President Barack Obama’s National Broadband Plan.
Because IP networks are regulated differently, they are not subject to rules that encourage universal access by making low-cost options available in under-served communities. The FCC also does not yet have rules for what reasonable exchange costs are with Internet-based communications.
Rules governing the networks that make landlines work prevent AT&T from telling smaller companies that connection exchange rates will suddenly double or triple for calls coming onto AT&T’s network. Without such regulation, AT&T could run an abusive monopoly with these exchange charges, leaving smaller carriers with no choice but to pay up and pass costs onto consumers. This means AT&T’s plan has the potential to drive up prices and drive down competition.
South Carolina passes bill against municipal broadband
May Gawd forbid that South Carolinians get access to information that they don’t have to pay for.
Tell President Obama: AT&T is Lying
AT&T’s plan to take over T-Mobile is about gouging consumers, destroying a competitor and firing an estimated 20,000 American workers.
We at Free Press have warned about this from day one. Now, in a letter that was inadvertently leaked, one of AT&T’s own lawyers has confirmed it. The letter reveals the merger has nothing to do with expanding AT&T’s coverage to 97 percent of the country – the main argument the company has made to gain Washington’s support – and everything to do with eliminating the cheaper T-Mobile option from the marketplace (and laying off half of its workforce) to pad company profits.
Every AT&T argument about the supposed benefits of this merger has now been proven wrong. As AT&T’s case unravels, President Barack Obama must speak out against this dangerous deal.
Sign this letter to the president and let him know that we can’t afford to lose tens of thousands of American jobs just to keep AT&T happy.
