Today, only after important last-minute concessions from AT&T ensuring that it would preserve Internet freedom (net neutrality), the FCC finally approved the mega-merger between AT&T and BellSouth. Here is a press statement from U.S. PIRG media reform attorney Amina Fazlullah:
For Immediate Release: December 29, 2006
For More information: Amina Fazlullah (202) 546-9707 x336
AT&T's Merger Concessions Send Strong Message to Congress -- Protect Internet Freedom
Statement of U.S. PIRG Consumer Advocate Amina Fazlullah
Washington-- On Friday the Federal Communications Commission (FCC) approved the $ 85 billion dollar AT&T and BellSouth merger after AT&T's last minute statement finally declaring that it would keep the Internet open and free of gatekeepers by agreeing to follow Net Neutrality as one of several additional conditions. While these concessions do not mean that the proposed merger is in the public interest, they provide a time-limited guarantee that the FCC can enforce it fairly and protect the Internet from harm.
The largest merger in telecommunications history will span 22 states and create the world's largest telecommunications company. We applaud FCC Commissioners Jonathan Adelstein and Michael Copps for their steadfast opposition to this merger without these important consumer protection conditions. The two commissioners recognize that our media landscape is changing and that traditional phone providers like AT&T now hold vast power over networks that provide much more than plain old telephone service. They own the connection that links millions of Americans to the Internet, voice and video services as well.
The 110th Congress has now been given a strong signal -- it must seriously scrutinize these mega mergers through an updated antitrust lens and work to permanently ensure that all American small business owners, entrepreneurs and citizens have fair and equal access to the Internet. As we move farther into the digital age, it is crucial that government understand the multi-faceted value of telecommunications networks and enact measures to deliver true and robust competition in the industry.
Additionally, AT&T's offer to discount unbundled DSL (broadband) service means that for a brief window consumers will have the opportunity to access high speed Internet for less but will also have the unfettered ability to switch to a new competitor if they desire. It is now up to Congress to extend the window for Internet access competition and push for the expansion of an affordable and democratic Internet for every American.
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U.S. PIRG, the federation of state Public Interest Research Groups (PIRGs), takes on powerful interests on behalf of the American public, working to win concrete results for our health and our well-being.
Here is our previous blog entry.