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From: dak@ihuxn.UUCP (Dave Krunnfusz)
Newsgroups: net.followup
Subject: Re: AT&T and the 3B*2
Message-ID: <712@ihuxn.UUCP>
Date: Wed, 6-Jun-84 10:28:51 EDT
Article-I.D.: ihuxn.712
Posted: Wed Jun  6 10:28:51 1984
Date-Received: Thu, 7-Jun-84 07:48:01 EDT
References: <425@hogpc.UUCP> <11100005@acf4.UUCP>, <1981@rlgvax.UUCP> <288@idis.UUCP> <711@ihuxn.UUCP> <66@mouton.UUCP>
Organization: AT&T Bell Labs, Naperville, IL
Lines: 33

<>

Just to give some more information so people can make up their own
mind:

>Regarding AT&T's "unfair" regulation: AT&T is now claiming, with a
>straight face, that they no longer have the power to control the long
>distance market.

>Funny, when I heard that I suddenly remembered similar remarks about
>the silver market from the Hunt brothers about five years ago.

What this person doesn't understand (and it's hard to believe since
this person works for Bell Communications) is that for the next two
years Judge Greene has required that the cost of *Equal Access*
to the system for AT&T competitors be approximately 55%!!! of the
cost to AT&T Communications (the long distance people of AT&T).
That means that for every dollar AT&T Communication must spend for
access to the system, MCI, Sprint, et al. need only spend 55 cents.
Who do you think will have cheaper rates? It is clear under the
current circumstances that AT&T cannot get into a price war with
the competitors.  It must rely on its services like long distance
operators to keep customers.  The real threat to AT&T is that the
buck is near and dear to everyone's heart and with cheaper prices
elsewhere (because there are different rules for AT&T than for
everyone else), people will (and all ready have) go to the competitors.

I would hope that people on the net would try to refrain from
getting sarcastic about things that they are obviously uninformed
about. But, alas, I know that it is too much to hope for.

Dave K.
..!ihuxn!dak