March 06, 2006
Congress Talks Tough About AT&T-BellSouth Merger
The National Journal’s Drew Clark has this item about congressional reaction to the AT&T-BellSouth merger. Even as antitrust experts reach a consensus that there’s not much of a scholarly or legal basis for challenging the merger, congressional leaders are nonetheless vowing to take a serious look at the deal’s potential for harming competition.
Hearings are being planned on both the House and Senate sides, with Senate Commerce Committee Co-Chairman Dan Inouye (D-HI) talking the toughest. Inouye said
Coming only 125 days after the FCC’s approval of the SBC-AT&T merger, AT&T’s proposal to purchase BellSouth would remove yet another potential competitor from the communications marketplace and calls into question whether the future of communications policy will be marked by strategies to promote vigorous competition or by further efforts to facilitate new mergers.
While these hearings will probably not result in any difficulties for the merger, they could delay the ultimate passage of any Telecom Act rewrite legislation. And, as Drew points out, the merger gives some new life to the idea of including network neutrality provisions in telecom reform legsilation.
Posted by Cynthia Brumfield at March 6, 2006 10:42 PM
Comments
The ONLY force working in the consumer's best interest is an open and free marketplace. Clamping down and burdening industry with even more onerous regulation is just plain wrong-headed. Net neutrality sounds great, but only penalizes the telecoms should they invest in their infrastructure. Guess who suffers then?
Gee, did we figure that out yet....the Consumer! Please do not allow the Aunt Bea's of Congress try to save us from ourselves once again and force net neutrality down everyone's throat!
Posted by: BudgetMan at March 9, 2006 01:56 PM
Inouye is right if I may be so free.
Posted by: work at home at March 7, 2006 05:18 AM