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AT&T to Leave Residential Business

Herve writes "Just got it from a press release on the AT&T website: 'AT&T will no longer be competing for residential local and standalone long distance customers. The company stressed that existing residential customers will continue to receive the quality service they expect from AT&T; however, the company will no longer be investing to acquire new customers in this segment.'"

194 comments

  1. That's funny... by Anonymous Coward · · Score: 5, Insightful

    I just got a holographic postcard that must have cost a buck each from them advertising their *residential* VoIP service. Maybe they don't want to raise the ire of the feds and their competitors by saying "Hey everybody we were given a thorough beating with a clue stick and now realize that digital delivery to the end user is the way to go."

    The end of analog phone service is here.

    1. Re:That's funny... by __aahlyu4518 · · Score: 3, Insightful

      So basically they're leaving the residential analog phone market but actively getting residential (potential) customers for their VoIP products... so they're just converting their business...

    2. Re:That's funny... by Anonymous Coward · · Score: 0

      I meant that the press release, is a diversionary tactic - we are discontinuing analog residential service but we aren't going to talk alot about the fact that we are still going to do residential VoIP service.

    3. Re:That's funny... by Cinematique · · Score: 1

      And leave it up to clueless reporters to mis-report (not report?) the whole story...

    4. Re:That's funny... by space_man51 · · Score: 1
      Maybe they don't want to raise the ire of the feds and their competitors by saying "Hey everybody we were given a thorough beating with a clue stick and now realize that digital delivery to the end user is the way to go."

      Um, they are pretty open about going for VoIP. From the article:

      The company also announced that it is shifting its focus away from traditional consumer services such as wireline residential telephone services, and concentrating its growth efforts going forward on business markets and emerging technologies, such as Voice over Internet Protocol (VoIP), that can serve businesses as well as consumers.

      It looks like they are leaving the "traditional" residential market and entering the VoIP (residential and business) markets.

      --
      Anton Markov
      *** Linux - May the source be with you! ***
  2. Markets by mfh · · Score: 4, Insightful

    This spells a desolate future for AT&T residential subscribers. When a company isn't actively going after business, they aren't actively *keeping* business, and therefore the quality of service rapidly declines until that segment is folded. I give it two years of hell and then a skillful withdrawal from the residential market.

    --
    The dangers of knowledge trigger emotional distress in human beings.
    1. Re:Markets by grocer · · Score: 2, Informative

      Well, according to the press release, AT&T will actively pursue VoIP and other emerging technologies for both residential and commerical customers...so it appears to be a switch to a data only company.

    2. Re:Markets by FuzzyShrimp · · Score: 1

      let me see... (thinking) The last time I "accidentally " made a 2 minute LD phone call from my house using ATT it cost me $7. I know because i called them and asked them what the $7 was for. Now I can go to SAM'S CLUB and buy LD credit cards by ATT for 2.96 cents a minute. (thinking again)... I think I will stop my LD service with ATT before they stop it for me.

    3. Re:Markets by Anonymous Coward · · Score: 0

      I used to work at AT&T, and that's definitely true. I was present for the systematic dismantling of the Personal Network program about four and a half years ago. The quality of service at the Residential end should be dropping remarkably over the next few months, combined with a lack of solid information for reps and customers alike. Most of the reps will be more interested in trying to save their jobs by jumping to another segment as quickly as possible.

      Customers will have to be very careful about having any calling plans changed-- or, really, just about anything on the account. If a vital component gets taken off the digital end, it can't be put back on by reps once a program has been end-of-lifed.

    4. Re:Markets by meatspray · · Score: 1

      It's really only a matter of time until they're all data companies. In most places your signal is digitized within walking distance from your origin and doesn't get decoded again until it reaches walking distance from the destination.

      I imagine the biggest change will come after they decide to quit pussy-footing around and give you digital to the jack. Let the phone to the conversion and compression.

    5. Re:Markets by actionvance · · Score: 1

      agreed. a great deal of quality of service, customer service and promotional funds are usually piped out of a marketing / retention budget. that budget will be the first to go - with the quality rapidly declining after.

    6. Re:Markets by Tassach · · Score: 1
      This spells a desolate future for AT&T residential subscribers
      Well, maybe not for CURRENT subscribers, but it's great news for FORMER subscribers. Now maybe the bastards will stop calling me at dinner using that convient "existing business relationship" loophole in the do-not-call law.
      --
      Why is it that the proponents of "one nation under God" are so eager to get rid of "liberty and justice for all"?
    7. Re:Markets by tech_guru5182 · · Score: 1

      AT&T uses third parties for the customer service. I used to answer the phones for AT&T Broadband (once AT&T @home) before they decided to sell the division to Comcast Cable. Then, about a year later, the company I actually worked for (Convergys) closed the call center.

      --
      BAN BPL! Keep the radio spectrum free fro
    8. Re:Markets by EnnTeeDee · · Score: 1

      Yes, AT&T might be in a spiral. Today's news reports that AT&T debt has been downgraded to junk status, suggesting that analysts are worried the company will go out of business. Bad news for any remaining AT&T customers at that point!

    9. Re:Markets by per+unit+analyzer · · Score: 1
      The quality of service at the Residential end should be dropping remarkably over the next few months, combined with a lack of solid information for reps and customers alike.

      Good gosh, their customer service can get worse?!?! I jumped ship from AT&T about 6 months ago after a horrible experience with changing plans. The customer service folks I worked with were either completely incompetent or just couldn't care less about my business. Every phone call to them (which dragged over two months time) was a time-wasting ordeal. There was no continuity and I had to start from scratch every time I called. I had been a customer of theirs for 15 years and they did everything they could do to drive me away.

      --zawada

      --
      In Soviet Russia, the Beowulf cluster imagines you!
    10. Re:Markets by fhic · · Score: 1

      Amen. If they want to abandon that market, it's not worth the regulatory and market hassles of pulling out of it. Instead, they'll just let it die as their customers leave them, one by one. Anybody that's left after a year or two either never uses long-distance, or still believes that AT&T is "The Phone Company" and will never willingly switch services.

    11. Re:Markets by monsieur+Penguin · · Score: 1

      mods take note: This is a DIRECT result of the FCC deciding not to renew discount reseller rates, and the Supreme Court not supporting AT&T's contention that they should be continued. Local exchange carriers can build their own LD interconnects, and have their own contracts, LD carriers cant get access to the local networks (which AT&T used to own fyi) and can no longer offer these services. This is not a management, technology, or marketing issue - its a legal one.

    12. Re:Markets by Chacham · · Score: 1

      When a company isn't actively going after business, they aren't actively *keeping* business, and therefore the quality of service rapidly declines until that segment is folded. I give it two years of hell and then a skillful withdrawal from the residential market.

      I'm not so sure about that. Sprint Broadband seems ot be doing a fine service of retaining current customers.

  3. Comment removed by account_deleted · · Score: 3, Interesting

    Comment removed based on user account deletion

  4. Good by HBI · · Score: 4, Interesting

    Their phone calls were annoying, and after an experience with three consecutive rude customer service people back in 2000 I swore I would never do business with their consumer arm again.

    My grandfather and uncle were both Western Electric engineers, so it's kind of in the family working for AT&T (their part went to Lucent). After the breakup it was all over for that company, they couldn't do anything right. PC marketing, Unix marketing, selling leased lines, every time I dealt with AT&T it was a hassle and they were inferior to their competition.

    --
    HBI's Law: Frequency of calling others Nazis is directly correlated with the likelihood of the accuser being Communist.
    1. Re:Good by twbecker · · Score: 1

      I'm with you. My grandfather was also a Western Electric engineer, my grandmother for NY Telephone and my dad worked for AT&T, but now is retired and gets his benefits from Lucent. I kind of always thought about trying to find a job with them, it's the closest thing we have to a family business. My father always claimed that they "really eat that shit up", but I'm guessing those days are over. Personally, I still get decent service from AT&T long distance, at least it's plenty good enough for what little LD calling I do.

      --
      "The problem with internet quotations is that many are not genuine" -Abraham Lincoln
  5. Re:So Long Cell division, so long residential... by adrianoc · · Score: 2, Insightful

    Competition is just doing its job. :)

  6. Admission by Anonymous Coward · · Score: 0

    So this is now an admission of, basically, "Yes, we've been pestering people on the phone when they're at home to join AT&T, but it isn't working, so we give up"?

    1. Re:Admission by packrat0x · · Score: 1

      All that work for nothing...
      Oh well, I still got paid.

      --
      227-3517
  7. Re:So Long Cell division, so long residential... by mrscorpio · · Score: 3, Informative

    Not exactly. Twenty years ago, ATT was THE phone company, encompassing what Verizon, SBC, Qwest, etc., are today. When they were split up, all those companies could only do local phone service, and ATT was the long distance company.

    Now everything's been all jumbled up, and everybody can do everything. So this incarnation of ATT is more like MCI or Sprint than it is Qwest or Verizon.

  8. Well.. by Aggrazel · · Score: 3, Funny

    Could this be the end of Carrot Top's carreer?

    1. Re:Well.. by avdp · · Score: 1

      You can only hope. All commercials are annoying, but those are especially so.

    2. Re:Well.. by Anonymous Coward · · Score: 0

      Impossible, his career never started!

    3. Re:Well.. by bpowell423 · · Score: 1

      We can only hope! I've never understood why some companies use annoyance in their ads. Everytime I see Carrot Top on TV, it reminds me to use 1-800-COLLECT instead. There are plenty of other annoying ads out there, like people screaming at you to buy their cars. Do advertisers really think people can be annoyed into buying their products? Or, worse, does it actually work with some people? I know this is all OT, but you're mention of Carrot Top brought it to mind.

    4. Re:Well.. by tarunthegreat2 · · Score: 1

      It actually does work with some people. Some people actually cut pushy sales people some slack and say "Aw the poor kid must be desperate for his/her job. Let me make his/her day and buy something from them". I've seen this happen many times. And some people are just weak-willed, and eventually their resistance breaks down. A sad but true empirical observation... :-(

    5. Re:Well.. by denlin · · Score: 1

      I heard on NP radio 2 days ago, that residential advertising in a handful of states has already ceased. It's just a matter of time before you won't see a single commercial, in any of the states. Definitely his end with AT&T, & as another poster stated, we can only hope otherwise. :)

      --
      Yes, I have RTFA. Yes, I have a girlfriend. Yes, I'm new here. And no, I don't want a free iPod.
    6. Re:Well.. by Servo · · Score: 1

      I hope so. then again, it could be argued that his commercials marked the end of his career. lol

      --
      A slip of the foot you may soon recover, but a slip of the tongue you may never get over. -Benjamin Franklin
    7. Re:Well.. by Idarubicin · · Score: 1
      Could this be the end of Carrot Top's carreer?

      The 1990s called. They want their observation back.

      --
      ~Idarubicin
    8. Re:Well.. by codemachine · · Score: 1

      I always thought this was a stupid tactic too. I swore I'd never buy from the companies with the most annoying advertisements. But the sad thing about this ads is that they are memorable. So next time you're looking for a new mattress, the annoying mattress store is the first one that comes to mind. I didn't realize how much advertising actually worked until I came across this sort of thing a few times. I have a good memory, and unfortunately the ads stay in there with everything else.

      I still haven't bought from the annoying ads people, but I can see how they could work for a company. Especially if they're an obscure company (only sell mattresses, only a brand of water softener salts), or they want you to remember a stupid phone number (AT&T). If you know of an alternative, tricks like yours (think 1-800-COLLECT every time you see Carrot Top) can work. If you don't know of alternatives, the minute you're looking for the product, the annoying people are the first ones that will come to mind. If the advertisers are lucky, you might even forget why.

      Personally, I now try to mute the advertisements while I'm watching TV so that they don't annoy me and don't stick in my mind. Unfortunately I find I could sing along without the sound for most of the one's I've seen before. But without the sound, it is also a lot easier to break my mindless stare into the box, and look away from the TV for a couple minutes.

      Now I try cutting out TV as much as possible. Watching series from downloaded copies instead of whenever they air also helps cut down on TV and ad time as well. That way you watch only what you want to, and don't get your butt glued to the couch for shows you didn't plan to watch. It is just a much better viewing experience than getting shouted at to buy stuff every few minutes.

    9. Re:Well.. by sulli · · Score: 1
      The 1990s called. They want their observation back.

      Can a comment eat itself? Because this one surely applies recursively.

      --

      sulli
      RTFJ.
  9. Desolate? by w.p.richardson · · Score: 3, Insightful
    Not really.

    If you are still using AT&T for home phone service, you deserve what you get. This should give these folks the impetus to go out and shop around. Using AT&T for phone service is like using AOL or MSN for internet access (at least from a price perspective). There are soooo many better deals available, why would you even want to use AT&T?

    The execs are just reading the tea leaves here, and they have decided that they can't compete. Good riddance to bad rubbish, I say!

    --

    Curb CO2 emissions: Kill yourself today!

    1. Re:Desolate? by Anonymous Coward · · Score: 3, Informative

      AT&T offers perfectly reasonable long distance plans, as long as you actually pick one instead of getting the default. I use AT&T. I'm still on a plan for several years ago, and I get 5 cent weekend minutes, 9 cent weekday, no monthly fee. I haven't seen any other of the major brands that match that. (10-10-etc and calling cards certainly might.)

    2. Re:Desolate? by Slashdot+Junky · · Score: 3, Interesting

      Unless I am wrong about what you are referring to as "home phone service", you are wrong here at least regarding the long distance plan level I have. I pay $2.95 per month and get 5 cents per minutes 24/7. This monthly fee/per minute combo is the lowest I have seen. I was paying $3.95 per month for the same per-minute charge through IDT America until AT&T called. AT&T may have even given me a check for $X when I switched.

      -Slashdot Junky

      --
      .
      Landfill Mining Co.
      Managing the (Un)natural Resources of Tomorrow
    3. Re:Desolate? by Skadet · · Score: 1

      Not really.
      If you are still using AT&T for home phone service, you deserve what you get.


      I don't think the parent meant to address what the subscribers deserve, just what's likely to happen. I think the difference between what a customer deserves and what they actually get -- in ANY circumstance -- isn't always 0.

    4. Re:Desolate? by Jeremy+Erwin · · Score: 1

      Their local service plans undercut verizon's, or at least they did until Verizon started upping their line charge fees.

    5. Re:Desolate? by cswiii · · Score: 2, Insightful

      I'd have to disagree, at least from my perspective.

      I was sick of Verizon continually giving me the run--around concerning DSL in this area, changing their story on me all the time, so I sent them the letter you'll see there in the first link. I told them that if they couldn't get their story straight, they weren't going to retain my local phone business, either.

      I never heard back from them.

      Meanwhile, looking for new carriers... I don't need anything on my land line except for unlimited local calling. No LD, no VM, no CID, etc... none of that stuff. This said, ATT had the least expensive flat rate I could find out there, next to Verizon; others that were otherwise inexpensive only offered packages with the aforementioned nickel and dime services that couldn't be removed.

      If you want an absolutely bare bones phone service for cheap, go with ATT; they're one of the few that will do that for you, and do it pretty inexpensively. If you need anything else, though, I would look somewhere else.

    6. Re:Desolate? by Cereal+Box · · Score: 2, Informative

      A monthly charge AND you pay five cents per minute? That sounds crazy compared to calling cards. You can walk into just about any store and pick up AT&T calling cards that are ridiculously cheap, like under two cents per minute. No monthly charge either. Considering all that, it baffles me as to why people still get long distance service considering how mind-bogglingly cheap calling cards are. Is there something I'm missing? Is there a reason people continue to get long distance service? Is there some major advantage over calling cards (besides having to enter a number every time you make a call)?

    7. Re:Desolate? by gcaseye6677 · · Score: 1

      It's hard to beat free nights and weekends on a cell phone. I don't even need any other long distance plan.

    8. Re:Desolate? by DAldredge · · Score: 1

      When does your calling card expire? In the US a lot of the calling cards sold expire in a few months and all the time left on them is wasted.

    9. Re:Desolate? by DAldredge · · Score: 1

      Yes, but a Plain POTS line only costs 10.00 - 15.00 per month, what does your cell plan cost your per month?

    10. Re:Desolate? by svallarian · · Score: 1

      Bah. Why pay a monthly fee?

      I used www.pioneertelephone.com .03/min and no monthly service charge.

      Steven V>

      --
      I patented screwing your mom. But it got revoked for "prior art."
    11. Re:Desolate? by Cereal+Box · · Score: 1

      Not sure. My card doesn't say and I've been carrying it around for over a year and it still works...

    12. Re:Desolate? by trentblase · · Score: 1

      Where can I get me one of them cheap Plain Old POTS Telephone System lines?

    13. Re:Desolate? by DAldredge · · Score: 1

      I don't know. Let me run down to the ATM machine and type in my PIN number so I can get some money to research the issue. ;->

    14. Re:Desolate? by Anonymous Coward · · Score: 0
      The company stressed that existing residential customers will continue to receive the quality service they expect from AT

      AT&T has been ripping off it's customers for years. $3/month for 5 cents/minute is a total rip. I get 5 cents/minute without any monthly charge and I didn't even shop around (why bother when it's free on my cell).

      AT&T has many customers who love and trust the company (my inlaws). These people will never leave. AT&T's plan is to overcharge these people as long as they can.

    15. Re:Desolate? by Aidtopia · · Score: 1
      If you are still using AT&T for home phone service, you deserve what you get. ... There are soooo many better deals available, why would you even want to use AT&T?

      Nearly all of my long-distance calls are in state, which means $0.10 per minute. Period. I got the same quote from several providers. When I asked if they had calling plans for cheaper rates, they all said "not in state." Due to regulations, there simply isn't a better rate available for in-state long distance on a land line. Allegedly there are some 10-10 numbers that can do better, but I didn't want to mess with them. Since I have always received excellent service from AT&T, I stuck with them.

    16. Re:Desolate? by Rick+the+Red · · Score: 1
      I agree with the parent post. If you're stupid enough to use AT&T, you deserve what you get. Let me re-phrase. If you're stupid enough that you're still with AT&T all these years after you were given a choice (and I'd say 80% of AT&T's customers were AT&T customers pre-breakup and just never switched), you deserve what you get.

      Remember the old bumper stickers that said "We don't care. We don't have to"? Now AT&T has to, but they still don't care, thus their dismal performace leading to this next step toward total failure. I worked at AT&T, and let me tell you, they don't have a clue what business they're in. Now we're a Cell Phone company! Wait, no, we aren't anymore. But we will be again, after the Cingular merger! And we're a Cable company, too! Wait, no, we're not anymore. But we're still a long distance company! Wait, no, we're now getting out of that business, too.

      --
      If all this should have a reason, we would be the last to know.
    17. Re:Desolate? by Proc6 · · Score: 1
      Qwest Choice(TM) Long Distance
      5 cents/minute, no monthly fee $25/mo max in long-distance charges

      ($25 max means, after you've spent $25 worth of long distance that month the rest is free. And yes, that is in and out of state, 24/7/365)

      --

      I'm Rick James with mod points biatch!

    18. Re:Desolate? by SpammersAreScum · · Score: 2, Informative

      Actually, I switched to AT&T for local and LD a few months ago. Their prices were competitve (better than the gouging I was getting from MCI). And -- I've seen no-one mention this -- there are the frequent-flier miles. Maybe I'll feel differently when I need to deal with their customer service, but it's been smooth sailing so far...

    19. Re:Desolate? by Anonymous Coward · · Score: 0

      Huh?

    20. Re:Desolate? by Big+Diluth · · Score: 2, Funny

      There are better deals. If you are paying a monthly fee, you negate any "low" per cent charges.

      I got a deal with Verizon thru their web site (an internet only offering) for 7 cents a minute, no service fee.

      They send you a seperate bill, but how diffucult is it to write a check?

      I've had statements where the check amount was less than the postage since I barely make any calls from home.

      I could use my cell phone which give free long distance but the calls cut in and out, especially if the other person talks over you. POTS gives you a cleaner call.

      It's not polite to tell you Grandmother to "Shut the ---- up" just to save a buck.

    21. Re:Desolate? by AuMatar · · Score: 1

      When you consider I don't have a huge monthly bill or need to buy a cell phone, I pay roughly half of what a cel plan would cost for my long distance.

      --
      I still have more fans than freaks. WTF is wrong with you people?
    22. Re:Desolate? by IsaacW · · Score: 1

      I used to have a company called Unitel for my long distance (before I went the cell route). 3.9 cents a minute with a $2.00 monthly fee if I spent less than $15. Pretty much impossible to beat.

    23. Re:Desolate? by monsieur+Penguin · · Score: 1

      Update - all of the people we used to work for at AT&T have been canned. They expect 15-20k in layoffs from this. Again - this is in direct response to the FCC.

    24. Re:Desolate? by Dekortage · · Score: 1
      There are soooo many better deals available, why would you even want to use AT&T?

      Uh... in my neck of the woods (upstate NY), there aren't many deals at all... AT&T is among the cheapest if you factor in total packages (local, regional, long distance). Maybe your area has better deals, but don't speak for us all.

      --
      $nice = $webHosting + $domainNames + $sslCerts
    25. Re:Desolate? by Anonymous Coward · · Score: 0

      Do you by chance work for the department of redundancy department?

    26. Re:Desolate? by parliboy · · Score: 1

      Well, for one thing, a lot of the cheap phone cards have a high first minute access fee. So, while that card is two cents per minutes, you pay 50 cents up front for a call, and whoops, there's 25 minutes worth of charge right off the bat.

      --
      "You're never ready, just less unprepared."
    27. Re:Desolate? by riffer · · Score: 1

      Or you can signup with Grapevine and get a flat monthly service rate with all local and long distance included. They even throw in voicemail, three-way calling and Caller-ID. For those who make enough routine LD calls, it's a good deal.

      --
      In the darkness of future past, The magician longs to see. One chants between two worlds, "Fire, walk with me!"
    28. Re:Desolate? by oldstrat · · Score: 1

      ... why would you even want to use AT&T?

      $25 a month unlimited domestic long distance, no restrictions on calling within network, no watching the clock for weekend or after 9pm.

      I dunno, it's cheaper than voip and in the state I am in I can't have DSL without being subscribed to Smell South for residential wireline.

      Cable is provided by a very unreliable unaccountable monopoly municipality.

      That's why.

      No doubt Davie Dorfman is the -most clueless- CEO AT&T has ever had, but the guy really calling the shots is Hossain Eslambolchi and his failure record is legendary, only exceeded by his boundless Iranian Refugee ego.

  10. hihi by softwave · · Score: 1, Funny

    The company stressed that existing residential customers will continue to receive the quality service they expect from AT&T
    <wisenose-mode>that a good thing or a bad thing? :) </wisenose-mode>

    1. Re:hihi by Anonymous Coward · · Score: 0

      FYI "wisenose" is not an English word.

      It's a literal translation of "wijsneus" (Dutch). Word you are looking for is "wiseguy".

    2. Re:hihi by Anonymous Coward · · Score: 0

      indeed, being a native dutch speaker, that's what i meant.. :) thanks for pointing that out ;)

  11. Do not call... by Etherwalk · · Score: 1

    So, let me get this straight... with AT&T being one of the most frequent to violate the do-not-call list, they are no longer seeking to provide residential service? Isn't that sort of like biting the hand that you annoy the hell out of? I assume it was just no longer profitable, but the interesting thing is that not only will it save AT&T money, it will save everbody else money and time, until they figure out something new to call and bother us about.

    1. Re:Do not call... by Azrael+Newtype · · Score: 1

      To give you an idea of the profit issues here, residential brought in well under half of the total revenue, while eating 70% of the expenses. Clearly, this was a sinking ship that needed to be killed. Almost half of the company's expenses (approximately $1B) were just advertising and paying for telemarketers and the like. And it wouldn't be like biting the hand that you annoy the hell out of, because all they're doing is not annoying you. If you have AT&T, service will continue. If for some reason you actually want AT&T you can sign up (my mother works there, so we get more long distance costs written off than we make, which is clearly a good reason to keep them, but your milage WILL vary). If you want to be left alone, you win too, because they're cutting most of the consumer arm off (more than half of the consumer employees are about to get two weeks notice to find a new job) so they don't even have the staff to harass you if they wanted to. It's win win for consumers really, but a losing battle for the thousands of employees getting the pink-slip.

      --
      I'm always right and I can prove it, because to the best of my knowledge, I've never been wrong.
  12. trend?? by pvt_medic · · Score: 0, Redundant

    will this become a trend, is residential phone service diminishing in value to such phone companies. we all know about how cell phones are becoming a our primary way of communicating (not that this is a good thing), will these companies give up on us and just focus in on business solutions?

    --
    30% Troll, 50% Underrated, 10% Interesting
    Score:5, Troll
    1. Re:trend?? by tarunthegreat2 · · Score: 1

      I don't see what is so wrong with Cell Phones becoming the primary way of communicating? In my neck of the woods, the cell phone service has only gone down maybe twice in 8 years (it went down on New Years Eve at 11.56 pm...I wonder why...). But the landline service in my country (I'm outside the American Continent) sucks ass. As it is, in a few yrs Cellphones themselves will be redundant once the WiMax and/or 3G/4G technology actually becomes viable and possibly cheap.

  13. HooRay by Anonymous Coward · · Score: 0, Funny

    I can finally answer my phone again without fear that an AT&T telemarketer will be haranging me.

  14. Not a surprise by macemoneta · · Score: 5, Interesting

    After working there 21 years, it was easy to see that the company had become just a shadow of its former self. There's not much left other than the name. People still associate the name with the 1.1 million employee behemoth that it used to be. Back in the day, doing things right was the way things got done. Now, at less than 60k employees, saying its done is job one, and making it work (or not) is an afterthought. It's really sad.

    --

    Can You Say Linux? I Knew That You Could.

    1. Re:Not a surprise by Alien+Being · · Score: 1

      "the 1.1 million employee behemoth"

      Wow, if the company had given them each a typewriter they could have outdone Shakespeare. Ma Bell did things right, but the price was all wrong. Monopolies suck.

    2. Re:Not a surprise by macemoneta · · Score: 1

      "Monopolies suck."

      Yes, and no. AT&T used to be called a "natural monopoly", because only one company could own the set of phone wires that you were using. Even now that's true, it's just a mini-monopoly.

      The owning company (the regional Bell operating company, RBOC) is required to lease access to the wires, but regulation in the area has been poor. As a result, the RBOC can charge other companies (like AT&T) such a high rate that offering competing service isn't cost effective.

      The end result is that we still have monopolies controlling the phone lines, we just don't have any "central intelligence" overseeing the service.

      The only way out now is VoIP, but you and I know that VoIP doesn't require a "phone company". As long as you have even dial-up Internet access, you can already call any (similarly knowledgeable) individual in the world, free. That make the long-term prospects for any business or residential voice telephone company bleak.

      Cellular service still has life, because of the additional value -- no wired connection. Wired Internet still has value, because of the high bandwidth. When AT&T sold off cellular and cable, it cut off its legs and stabbed itself in the heart.

      --

      Can You Say Linux? I Knew That You Could.

    3. Re:Not a surprise by Alien+Being · · Score: 1

      "Yes, and no. AT&T used to be called a "natural monopoly", because only one company could own the set of phone wires that you were using. Even now that's true, it's just a mini-monopoly."

      But there was no reason that ATT had be the sole provider of LD. MCI eventually proved that point, but it was quite a battle.

  15. This probably means more profit for AT&T by suso · · Score: 1

    Most phone carriers make more money off of businesses to help subsidise lower costs for residential users.

    1. Re:This probably means more profit for AT&T by Detritus · · Score: 0, Troll

      Local residential service is subsidized by local business service and long distance access charges. That hasn't been AT&T's business since the breakup. They are selling long distance services to residences and businesses. The RBOCs are the ones who kept the local loops.

      --
      Mea navis aericumbens anguillis abundat
    2. Re:This probably means more profit for AT&T by Stevyn · · Score: 1

      Obviously!

  16. AT&T Broadband? by Delirium+21 · · Score: 2, Insightful

    In the press release, ATT seems to justify this decision by saying that:

    According to industry estimates, more than 40% of American households have now migrated to some combination of bundled communications services. Recent regulatory decisions make it financially infeasible for AT&T to offer a competitive bundle of services to consumers. AT&T has determined that it cannot effectively compete against bundled competition by selling only standalone LD.

    Well, maybe they shouldn't have sold AT&T Broadband.

    --

    Friends come and go, but enemies accumulate.
    1. Re:AT&T Broadband? by Anonymous Coward · · Score: 0

      I really dont think AT&T wanted to sell anything. AT&T was so debt loaded it had to sell the most profitable sector first, BroadBand. The second thing to go was Wireless. Now residential. Whats left?

      I wonder who AT&T pissed off in the government - someone has systematicly destroyed the company and for what. In one regards - is the state of our communications better? Remember that the phone bill was 8 bucks before the split and 20 right after. This company is the father of the Linux you all love to use today. What govermnet forces a company to give away it's most valuable assests? I have no love for AT&T but anti corporate behavoir to destory a company will only destroy the .

    2. Re:AT&T Broadband? by scottgfx · · Score: 1

      Daryl? Is that you?

      Calling AT&T the "Father" of Linux is quite a stretch. And I don't believe that the government forced anyone to give away Unix. If AT&T gave it away, Novel and SCO wouldn't be arguing about it today.

      --
      It's mandatory to wash your hands before returning to the land of Dairy Queen.
  17. Re:So Long Cell division, so long residential... by presearch · · Score: 4, Insightful

    Since divestiture in the 80's, technical expertise took a second seat to
    climbing the managerial org chart. PHB MBAs rose to the level of their
    incompetency, and investment in the future was traded for the next quarter's
    profit numbers. Real talent, the people that actually invented things and
    did the creative work, either retired or left for greener pastures.

    AT&T had deep enough pockets, so they could stumble around and
    sell off assets for almost twenty years. It's finally reached the point that
    that business model can no longer sustain itself. Shame really.

    One Bell System. It Worked.

  18. AT&T Sucks Horses by Anonymous Coward · · Score: 1, Interesting

    For years, in the UK, I thought that AT&T was the
    height that all companies should try to strive to.

    In 1996 I moved to the US. I started out with NYNEX who weren't much of a problem, however,
    when they became Verizon, I decided to try AT&T.

    What a fucking disaster. They blocked my 3rd party
    DSL installation for months without providing any
    reasons to the 3rd party provider. They refused
    to let me carry my phone # even though I was
    moving from one apartment to another, in the same
    building. They started to heavily spam my snail
    mailbox even though I was now a customer of
    theirs. After months of this crap I dropped them in favor of Verizon - that was 3.5 years ago. In March, this year, they started sending me phone bills (containing no calls) even though I told
    them to fuck off years ago.

    My god what a hassle it was to get them to stop...
    when I finaly got through to one of their drones
    the excuse was that verizon had not told them, 3.5 years back, that they do not have my business
    any more. The _really_ sad thing is that when I terminated service, verizon, myself and AT&T were
    on a party line where verizon confirmed that they
    would be dealing with me and AT&T was out of the picture - I believe that is required by law.

    They stopped for a month and started again. After serveral months of this they have now started to
    send me bills with a balance of zero(0). Man!
    what an inept and fucking wasteful company. I
    shudder to think what it is like to work there ...

    I hope they burn in hell. Its no wonder no one wants to deal with them.

    - Moomin

    1. Re:AT&T Sucks Horses by Anonymous Coward · · Score: 0

      Just send them a cheque for $0.00 and they'll stop invoicing you for that amount.

    2. Re:AT&T Sucks Horses by unixcub · · Score: 2, Interesting

      They sent me a bunch of bills for zero as well. So I sent them a check for zero dollars. The bills stopped. Maybe it'll work for you too.

      --
      "Life is such a sweet insanity, the more you learn, the less you know"
    3. Re:AT&T Sucks Horses by PhoenixFlare · · Score: 1

      Same thing happened to me - luckily I had gotten a cellphone with a better long distance plan about that time, but it still took the cancellation of my service, along with 5 seperate phone calls to their Indian customer service drones complaining about the $0 bills and that, yes, I really DID want to have my service discontinued.

      And if anyone from AT&T is reading this, trying to sell somebody long-distance phone service while they're trying to *cancel* long-distance service is one of the more insulting things i've ever had to sit through. I don't care if it's company policy or not - you've lost me as a customer in that aspect for life.

    4. Re:AT&T Sucks Horses by TheHawke · · Score: 1

      EH, Wasted check, should have just sent it bill itself back to them.

      --
      First rule of holes; When in one, stop digging.
  19. Re:So Long Cell division, so long residential... by Lumpy · · Score: 5, Interesting

    Can paraphrase exactally what has changed in the last 20 years and how it happend?

    in a nutshell? Poor Management.

    They made really bone-headed decisions. They bought TCI an dother cable companies in an attempt to get into the cable biz but lacked the management that understood cable (and let go all the top management from those cable companies.) They acquired MediaOne cable in 2000 and that caused a HUGE amount of infighting because the mediaOne people were not made to conform and join the team which created a huge us/them inside the company further ripping it apart until Comcast acquired the cable arm and started to fix what was wrong.

    Their advertising wing switched form giving the company a good image to the annoy everyone to hell with telemarketing. They refuse to keep tight reigns on their telemarketing companies so slamming by AT&T is a common occourance.

    Overall the management of AT&T is watching the company spiral the drain and have no idea how to fix it.

    It's the same cause at every failed company.

    --
    Do not look at laser with remaining good eye.
  20. Competition by gregarican · · Score: 1
    I guess this just points out the Darwinism that comes with healthy competition. I know that there are still some regulatory matters which can affect regional availability, tariffs, etc. but competition is rarely a bad thing.

    Think back about 10-15 years ago. If someone would have told me that AT&T would be getting out of this segment I wouldn't laughed for awhile...

    1. Re:Competition by why-is-it · · Score: 1
      I guess this just points out the Darwinism that comes with healthy competition.

      And what healthy competition would that be exactly?

      Instead of one monopoly, you have 4 regional monopolies for local service and a couple of companies competing for the long distance market.

      I do not get the impression that any of the RBOCs are interested in healthy competition unless they alone get to define "healthy" in terms of their own best interests.

      If anything, it shows that AT&T failed in not lobbying enough and throwing enough money around. The RBOCs spend vast amounts of time and money on lobbying the FCC and various politicians and they got exactly what they wanted - less competition.

      I guess this points out the golden rule (he who has the gold makes the rules) still applies.

      --
      *** Where are we going? And what's with this handbasket?
  21. Losing FTS hurt bad by Evil+Schmoo · · Score: 4, Informative

    A very, VERY big part of it was losing the biggest single phone contract in the world, the United States Government FTS (Federal Telephone Service), to MCI a few years ago.

    It is the maintenance of this contract that has kept MCI afloat despite its woes and which, coupled with AT&T's rapid expansion (TCI, etc.), has led to AT&T's dramatic fall in the residential marketplace.

    I would also guess that the extreme growth in cellphone and DSL use has hurt AT&T, since more and more people are using those technologies instead of POTS (Plain Old Telephone Service) for home use.

    1. Re:Losing FTS hurt bad by Retric · · Score: 1

      Not realy up to the second on this but MCI faield to deliver and is NTFS back with AT&T. Though I think they lost the contract again.

      Man (National Federal Telephone service) is one huge FUBAR if there ever was one.

  22. Oh thank God by Anonymous Coward · · Score: 0

    Maybe now they'll finally stop calling me at dinner time.

  23. Ummmm What Is Left? by Anonymous Coward · · Score: 1, Interesting

    What the hell business do they have left if not for residential and stand alone customers? Its like McDonalds deciding not to sell hamburgers anymore.

    1. Re:Ummmm What Is Left? by Kevin+Stevens · · Score: 1

      Business lines- Installation, service, etc- very lucrative, much more profitable than residential ever was.
      VOIP will still be sold to residential customers- the article is not that clear on this, but essentially only residential POTS service (yes, its redundant. get over it.) is going to be removed. They still own and operate major trunks and data lines. I don't really know much about how they make money off of those, but they will continue to operate (and make money off of?) those.

  24. What's left for them? by evronm · · Score: 1

    They're selling their cellular business to Cingular, they're not doing land lines any more, what's left? Do they have any other revenue producing businesses?

    I imagine they're not betting the farm on Plan 9...

    1. Re:What's left for them? by HBI · · Score: 1

      Plan 9 was part of the Lucent spinoff back in 1996.

      They don't even have that anymore.

      --
      HBI's Law: Frequency of calling others Nazis is directly correlated with the likelihood of the accuser being Communist.
    2. Re:What's left for them? by Anonymous Coward · · Score: 0

      You misunderstand -- they are NOT "selling their cellular business to Cingular". The company called AT&T has nothing to do with the company called AT&T Wireless. AT&T sold their cellular business years ago to investors, and now that independent company has decided to sell itself to Cingular. AT&T doesn't get anything off the deal.

    3. Re:What's left for them? by Azrael+Newtype · · Score: 1

      AT&T has no cellular service. AT&T Wireless has not been affiliated with AT&T for several years. Sadly AT&T Wireless (AWE) is doing better stockwise than the company that spawned it (T), despite Wireless looking so bad they decided to go for sale. What does that tell you about the possible future of AT&T themselves?

      --
      I'm always right and I can prove it, because to the best of my knowledge, I've never been wrong.
    4. Re:What's left for them? by Anonymous Coward · · Score: 0

      AWE is loosing customer hand over fist. The only reason the stock is doing alright is some stoopid company decided to buy them at 300% over the stock price. AWE was being thretend from being delisted from the NASDAQ and few remember that a Cell Phone company can loose customers yet AWE did and so did the company that bought them. Cingular is competing in a the 2000s using 1980 technology. Once Cingular acuires AWE, if the unity cant get off of the TDMA to some GSM platform then they are done too. The costs are to high and uses too much specturm to maintain TDMA. The phone quality is lower vs CDMA2000 too. Go to any market and use a verizon and yes a sprint cell phone using CDMA and you will cancle your POTS line. Goto any market that still has TDMA and older CDMA you will not be able to cancle your POTS line. Small markets stink and AMPS will dominate the rural area...

    5. Re:What's left for them? by EvilStein · · Score: 1

      Kind of - in recent days, AT&T has been selling wireless services - but it's just re-sold AT&T Wireless service.

      A few years ago, we heard "Customers don't want bundling"
      Now suddenly they want it again? Geez.

    6. Re:What's left for them? by halo1982 · · Score: 1
      They're selling their cellular business to Cingular, they're not doing land lines any more, what's left? Do they have any other revenue producing businesses?

      While AT&T Wireless has nothing to do with AT&T, after AWS is sold to Cingular and AT&T gets the name back, AT^T is starting their own wireless service as a reseller of another companies wireless service, possibly Sprint PCS (who also resells wireless under the Virgin Mobile and Qwest names). Although I can't imagine they will make much money off that.

  25. Telemarketing by jeffkjo1 · · Score: 1, Funny

    This makes me rather glad that I didn't sign up for their "local and long distance" plan that 'my friend' Jeanine at AT&T offered me last night.

    1. Re:Telemarketing by Anonymous Coward · · Score: 0

      Never EVER trust outbound telemarketing for AT&T. They're contracted out, and they're not held responsible for any lies they tell. I worked the inbound sales and service lines for awhile, and outbound telemarketing was always a big pain in the ass for us-- we'd be the ones cleaning up all their messes.

    2. Re:Telemarketing by reboot246 · · Score: 1

      And never trust the door-to-door people selling AT&T. They will lie through their teeth to get you to sign up. Last year one of them talked me into signing up for their service, promising that all local calls were unlimited and that I could still call everybody I currently called as a local call. Yeah, sure. I called them the next day to find out if it were true. Unlimited local calls inside a VERY small area and the calls outside that would be long distance. I cancelled the service immediately and told them that if I ever saw another one of their salesmen in my yard, I'd shoot him.

      AT&T can die a long, slow, painful death.

  26. Key Thing is Baby Bells by Anonymous Coward · · Score: 2, Informative

    AT&T felt that current regulations for the Baby Bells favored the Baby Bells in areas which they held monopolies. At the same time Baby Bells are being allowed to offer long distance, AT&T feels the rates Baby Bells charge them put them at a competitive disadvantage.

    If what AT&T says is true, I would get out of the business too.

    1. Re:Key Thing is Baby Bells by base3 · · Score: 1

      I switched to my local Baby Bell when AT&T decided they were going to charge me $5/mo. or so for the privilege of doing business with them. I had been an AT&T customer for 20 years.

      --
      One CPU cycle wasted on digital restrictions management is ONE TOO MANY.
  27. competing technology by 00zero · · Score: 2, Informative
    The shift toward exclusive cellphone use has been eroding the landline market for several years now.

    The number of US landline phones declined by 5 million since 2000, while 7.5 million people overall have made the switch to exclusive cellphone use in the US.
    Some Stats

    good political satire

  28. Re:So Long Cell division, so long residential... by twbecker · · Score: 3, Interesting

    A big part of the reason for that is that the Bell Labs division went to Lucent when it split off. I think it's terrible that Lucent is on it's last legs, most people have no idea how many innovations came out of that group of people.

    --
    "The problem with internet quotations is that many are not genuine" -Abraham Lincoln
  29. in The Future® by ch-chuck · · Score: 2, Interesting

    The phone company generated a lot of ill will amongst their customers-with-no-choice in the 60's and 70's (see Lily Tomlin's character, Ernestine) altho their stock was always considered a good stable investment that you could pass on to your children. If history is any guide, and it often is NOT, we just might see this same pattern of crumbling happen to Msft in 20/30 years, if not sooner - a great investment, but lots of PO'd customers. Once the customers wise up to what's going on and seek better alternatives those vast monopoly profits won't be guarenteed.

    --
    try { do() || do_not(); } catch (JediException err) { yoda(err); }
    1. Re:in The Future® by Anonymous Coward · · Score: 1, Informative
      If history is any guide, and it often is NOT, we just might see this same pattern of crumbling happen to Msft in 20/30 years, if not sooner

      Interesting that you should say that. This article is from yesterday.

  30. All their means of advertising went away! by i+love+pineapples · · Score: 1

    Well, they can't cold call as many people at dinner time anymore because of the Do Not Call list, and I really doubt Carrot Top would actually attract new customers...

  31. Hopefully, now they'll stop calling me by krygny · · Score: 2, Interesting

    Since I dumped AT&T's long distance, they have been mercelessly and relentlessly calling and begging me to come back. Since I had a prior business relationship, it doesn't matter that I'm on every do-not-call list I know of. They can still legally annoy me for 18 months. It also doesn't matter that I tell them to take me off their list and stop calling. They're still trying to endear themselves to me. Might work.

    As for VoIP, I'll keep my POTS a while longer. A year or so ago, 40% of all public IP traffic was spam sent by wide open brodaband zombie PCs. Now, it's at least 70%. See a trend here?

    --
    Research shows that 67% of those who use the term "research shows", are just making shit up.
    1. Re:Hopefully, now they'll stop calling me by Anonymous Coward · · Score: 2
      Since I dumped AT&T's long distance, they have been mercelessly and relentlessly calling and begging me to come back. Since I had a prior business relationship, it doesn't matter that I'm on every do-not-call list I know of. They can still legally annoy me for 18 months. It also doesn't matter that I tell them to take me off their list and stop calling. They're still trying to endear themselves to me. Might work.

      That's garbage. If you declare not to be called, further calls are harrassment and you can (and should) turn the party violating your demand in to FCC or Public Utilities Commission (or whatever it's called in your state).

    2. Re:Hopefully, now they'll stop calling me by Anonymous Coward · · Score: 0

      previous business relationship or not, you can tell them to not call you.

      and they will have to comply,

    3. Re:Hopefully, now they'll stop calling me by burns210 · · Score: 1

      Yes, I see a growing trend for an Open Source Software possibility... Write a program/patch that locks down any windows machine that has an open relay/spam on them. Give it away for free, and have every local tech fall in love with it as they clean computers..

  32. Re:So Long Cell division, so long residential... by KC7GR · · Score: 4, Interesting

    Thoolie asks...

    "Just wondering, 20 years ago all you could get was ATT, now they are selling off their arms and legs left and right. Can paraphrase exactally what has changed in the last 20 years and how it happend? (I think we all know about the anti monoploy suit and the baby bells, but there must be more?)"

    There's a couple of pretty good books available that will give you some excellent ideas as to What Went Wrong with the Bell System, and much of it can be blamed on the U.S. legal system.

    For starters, I recommend 'The Rape of Ma Bell: The Criminal Wrecking of the Best Telephone System in the World' by Alfred Duerig and Constantine Kraus. It will give you divestiture and breakup from an engineer's perspective. You can find an excerpt from the book here.

    Another good one is 'A Voice in the Wilderness' by Alfred Duerig. That one's more of a dedication and autobiography for Constantine Kraus, but it will also give you some more insights into divestiture and What Really Happened.

    Both books are out of print, BTW, but you should be able to find them either through Abebooks online, or from Ebay. I got my pair through finding used booksellers with copies on Abebooks.

    While I'm thinking about it, the Bell System Memorial site is a wonderful resource for both historical and technical info on the once-great Ma Bell.

    From my perspective: The divestiture and breakup of the Bell System was utterly unnecessary, along the lines of using an antiaircraft gun to kill mosquitoes. There had to have been other (and better) ways to go about allowing consumers to connect their own goodies to the lines, encourage development of alternative services, etc.

    Happy hunting.

    --

    Bruce Lane, KC7GR,

    Blue Feather Technologies

  33. I just dropped their long distance service by Anonymous Coward · · Score: 0
    It was pretty clear that they were/are just milking their customers and don't really care if they keep them.

    They are also doing strange things like direct withdrawal from your checking account w/o permission even though you pay them by check.

  34. Not for international calls by denjin · · Score: 2, Informative

    I have a $40/month plan that allows me unlimited calls to the UK (24/7). I've not yet found anyone else that has such a plan...

    1. Re:Not for international calls by hexhacker · · Score: 1

      Who's it with?

      --
      ----- Serious people have few ideas. People with ideas are never serious. - Paul Valery
    2. Re:Not for international calls by lcsjk · · Score: 1

      I don't know anybody in the UK to call.

  35. Re:So Long Cell division, so long residential... by Anonymous Coward · · Score: 0
    One Bell System. It Worked.

    Sure it worked from a technology and management perspective, but with no competition do you think we would have seen the levels of innovation and competition we've seen.

    The facts of interoperability and opening standards have done much to push the state of the art and create new products.

    What would ATT have given us as a monolith? The Intelligent Network, ISDN (maybe), and not much more.

  36. What was their ad campaign again a while back? by Zorilla · · Score: 2, Funny

    When AT&T will no longer be competing for residential local and standalone long distance customers...

    ...that's mLife

    (Does this make me a troll?)

    --

    It would be cool if it didn't suck.
  37. Progress by Anonymous Coward · · Score: 0

    This is a big step forward for AT&T in their conversion from the bedrock of American technology to a two-bit credit card and cable TV operation.

  38. About damned time... by tarsi210 · · Score: 2, Interesting

    Thank heavens for this, maybe more people will be spared the hell I had to go through with that bastard of a company.

    I had AT&T when I moved to my first apartment out of college. I had had them for college long-distance and thought it was ok, not knowing better. After a year of struggling whenever I wanted to switch plans or adjust information on my bill, and constantly getting phone calls from them for different services, I decided when I moved to my current house, AT&T would be taken out with the garbage.

    So, I cancelled 2 weeks before I left the apartment (with a long and arduous phone call with a really nasty, nasty woman) and signed up with Sprint (who were and continue to be just as friendly and helpful as heck). For 4 months after I moved and my long distance had switched, I still got bills from AT&T...mostly just the minimum, but it started building up. I got nasty letters telling me about collection, lawyers, etc. So I sent back a nasty letter, detailing that I had cancelled, if they'd check their damned records, and there was no way in hell I would pay anything.

    An apologetic letter arrived that stated that they'd be glad to terminate my account and my balance would be erased. Well, good.

    6 months later, I receive a bill from AT&T. $0.00 owed. I throw it in the trash. Six months from that, the same thing...zero dollars owed, thanks for being a great customer. More head scratching followed, paper wafts towards circular file.

    I haven't lived at the apartment for 4 years now -- the phone number changed when I moved to my new house and it hasn't been reused for anyone. About every 6 months I still receive a bill from them for $0 that I look at, giggle, and then throw in the trash, amused at the sheer stupidity of it all.

  39. Re:So Long Cell division, so long residential... by swv3752 · · Score: 1

    If there were other methods, then please list them. Bell was a complete monopoly, and you either did it thier way or the highway. And I mean that literally. You either used the Bell phone, or sent your messages via the postal system (or walked them yourself).

    Do you like having a cordless phone? Or perhaps you would rather go back to renting your single phone.

    --
    Just a Tuna in the Sea of Life
  40. Re:So Long Cell division, so long residential... by plague3106 · · Score: 1

    From my perspective: The divestiture and breakup of the Bell System was utterly unnecessary, along the lines of using an antiaircraft gun to kill mosquitoes.

    Yup, poor mabell. Nevermind that there has been alot of innovation since the split, and prices keep going up!

    People that tell me that say 'I used to pay just $35 /month for everything.' Never do they adjust for inflation: $35 in '75 would be $124.78 in '03. See for yourself http://www.westegg.com/inflation/

  41. Re:So Long Cell division, so long residential... by Anonymous Coward · · Score: 0

    Michael Armstrong is what happened to AT&T. Big bonuses at the top, worse working conditions at the bottom, confusion and frustration over calling plans and services, and AT&T systematically dismantled its research division over time. Lucent used to be one of the biggest innovators on the planet, but it was left to rot from within. The cellphone division was doing well, but they decided to spin it off.. and then they decide to get rid of the cell segment (which was making money) and keep the LD segment (which was losing money rapidly). AT&T put a lot of money into absolutely stupid schemes like trying to get control of the local market again through HFC, fixed wireless, and normal local services.

    Then you've got the price war that erupted through the 90s. Five cents a minute for domestic interstate LD is cutting the margin so close that AT&T actually claims to be losing money.

    Put all this together and it begins to form into an unpleasant picture. I worked there a few years ago. They laid a few hundred of us off in the summertime, then gave the very top huge bonuses for christmas.

  42. Re:So Long Cell division, so long residential... by plague3106 · · Score: 1

    That should be prices keep going down, not up..

  43. They must've reviewed my last year's bills by mwood · · Score: 1

    ...and seen that spending $1000 on my $20 of long-distance business wasn't worth it.

    Of course they wish to reassure their existing customers, but we all know what that means. So who else provides reliable long-distance without amazing trick T&C, for the inevitable day when AT&T's residential long-distance customer base has dwindled to the point that either their service suffers or they decide to hang it up and sell us, yard-sale style, to a passing former competitor?

  44. Good riddance to bad rubbish by dpbsmith · · Score: 4, Interesting

    When the phone companies were split up, I retained my AT&T long distance account out of habit and inertia. One day my bank offered free trials of their online bill-paying service, so I tried it out, with no problems with any company--except AT&T.

    The service says to allow one week for payment. I authorize payment THREE weeks before the bill is due. Online screen shows bill as "paid" TWO weeks before it is due. AT&T claimed the payment was two days late. After a lot of phone calls the bank got me an image of the cancelled check showing it was, in fact, cashed ONE week before the bill was due. Got that?

    Now get this. Remember, this is the first month I'm using the online bill-paying service, and have never paid a bill late before (in something like twenty years), didn't pay this one late, and even at the beginning AT&T acknowledged having received payment.

    I start getting obnoxious calls every evening from a collection agency.

    Even after AT&T acknowledges that the bill was paid, the collection agency keeps calling.

    Even after AT&T says the collection service has been told to stop, it keeps calling. (The collection agency, or at any rate the people who are calling me, say they have no record that AT&T has told them to stop).

    Even after I mail the collection service full documentation of everything, including screen shots of the bank's online bill-paying records and the image of the cancelled check, they keep calling and people at the collection agency tell me they have received the records and everything is OK, the collection agency keeps calling. (The people who are calling claim not to have been told to stop by the people at the agency who acknowledged receiving the records).

    EVENTUALLY they do stop.

    At this point I'm a tiny little bit furious so I fire off an angry letter to the office of the president of AT&T telling the story, opining that a refund of the month's bill would be fair recompense for my bad treatment and that if they'll do that we'll call it even and I'll stay with AT&T.

    I get a phone call on my answering machine from the president's office saying they completely understand and agree are sorry it all happened and they will send me a check for $65 and want to keep me as a customer.

    The check doesn't arrive.

    Here is a company that could have easily kept me as a customer. The only, single, solitary thing they needed to do was not to actively drive me away.

  45. Re:Slashdot is so SLOW by XMyth · · Score: 1

    But does Google News have the insightful commentary that comes with each and every Slashdot story?

    Hah, I didn't think so.

  46. the long goodbye by Wansu · · Score: 1



    AT&T has been in a downward spiral for a long time. This is just more retrenching. They are being marginalized away.

    I heard one old engineer say he'd had tried to get a job with AT&T but they found out his parents were married when he was born and wouldn't hire him.

    --
    Wansu, th' chinese sailor
  47. Re:So Long Cell division, so long residential... by danknight · · Score: 2, Interesting

    One word, 'transistor'. AT&T when they were a monopoly arguably the best R&D, Bell Labs. The thing with R&D is you're basically paying a bunch of smart people to go play and use their imagination. So you have these people who probably come up with a few thousand ideas that amount to crap and occasionally come up with something like the transistor. Thats really hard for a bean counter to reconcile. They traded that for several years of profits but nothing really new, Who knows what Bell Labs may have come up with that AT&T would have had the rights to.

    --
    wanted: one clever sig,apply within
  48. Re:So Long Cell division, so long residential... by ZoneGray · · Score: 1

    Those problems weren't so much a quirk of AT&T so much as the result of regulation. I mean, I'm sure AT&T lobbied for those rules, but Congress and regulators bit on it, the blame deserves to be shared.

    The irony of that whole situation was that AT&T was a monopoly by law, but that it was broken up while leaving the enabling laws in place... so instead of one big monopoly, we had a handful of smaller ones. Worse, the distinction between "local" and "long-distance" calling was always an arbitrary one... government tried to structure the industry to fit their regulatory tariff scheme. Should anybody be surprised that it didn't work?

    AT&T's problems seems to be that it was built for the regulatory age. When it tried to compete in the newer, less-regulated markets, it was just another player, not as hungry as the newcomers, and burdened with old business that it had to protect.

  49. Re:So Long Cell division, so long residential... by gcaseye6677 · · Score: 3, Interesting

    If AT&T had never been split up, I think we would still be making calls using a big rotory dial phone. Or you could pay $5 a month extra for tone dialing. Long distance would be $1 a minute. DSL would be unheard of. Sure this would all be federally regulated, but it's not hard to convince the regulators to let you raise rates as long as you put together a business case for it. Despite some of the headaches, deregulation is the best thing to ever happen to telecom. It worked out well for many companies, and would even have benefitted AT&T if they hadn't enormously screwed up.

  50. Re:Slashdot is so SLOW by PhxBlue · · Score: 0

    This is 2 days old... Google News already has 402 Stories about this. Yawn...

    I don't think Slashdot will dupe this story 402 times, but you never know. . .

    --
    !#@%*)anks for hanging up the phone, dear.
  51. There is an Allen Sherman song about this... by Anonymous Coward · · Score: 0
    The "Let's all call up AT and T and protest to the president March"

    The big hoot at the end is when they say "Tell Him We'll just get another Phone Company!".

    30 years ago this idea was a joke.

    -- ac at work

  52. In other news by cubicledrone · · Score: 1

    Disney announces that 2D animation is no longer viable, despite the fact there are over 400 animation studios in Japan. So, Disney doesn't make animated movies any more, and AT&T doesn't sell phones any more.

    Remember when business was about building products and selling them? I think most of us still had jobs then.

    --
    Business isn't willing to pay for products, innovation and careers, so we get brands, mortgage commercials and layoffs.
  53. Its about time to quit, they weren't trying by Almost-Retired · · Score: 2, Informative

    I just canceled a long term agreement to use AT&T for my long distance carrier, and went to the Freedom plan from Verizon.

    Why?

    1. The about 30 minutes a month we were using cost as much or more in the average month.

    2. I pay my bills online. 3 months ago I scheduled their payment to go out 7 days ahead of the due date, a standard practice.

    The check got there a couple of days past the due date and some asshole turned it over to a collection agency, who was of course out of state. They called me at 8:55 pm 3 different days to rag and otherwise irritate me into paying a measely $47 bill that I already had a bank statement showing it had been paid, and AT&T themselves told me that it had been paid when I called them. The collectors people were the most obnoxious people I've tangled with on the phone in a decade or more, and I used up most of a 15 minute monolog's worth of swear words discussing their geneology with them. It took over 2 months to get that collector off my back and that forever turned any inclination I had for AT&T's service off forever.

    AT&T was a fine, long term business, till some jerks managed to get themselves jobs in accounts receivable. AT&T should either prepare to sink in the long term view, or do some weeding in accounts receivable. Either way, they are going to do it without me, who has been a customer of theirs for 69 years.

    Cheers, Gene

    1. Re:Its about time to quit, they weren't trying by ptbarnett · · Score: 1
      I know this is finally behind you, but I have a suggestion for anyone that finds themselves being harassed by a collection agency:

      Federal law requires the collection agency to cease attempting to communicate with you except for a limited number of circumstances, if you request them to do so.

      Fair Debt Collection Practices Act.

      See 805 (c).

      Get the address of the debt collection agency (they are required to tell you, if asked). Send a certified, return-receipt-requested letter to the agency stating the facts of the case (that you paid the debt, that it is still under dispute, etc.) and demand they no longer attempt to contact you except under the provisions of the applicable federal law.

      I had the same name as the (ex-?)husband of a deadbeat in my area and got persistent calls from an out-of-state collection agency. When I tried to set the record straight during one of those calls, they copped the same kind of obnoxious attitude.

      Since I wasn't the creditor, I don't think I had the protection of the the Fair Debt Collection Practices Act. But, I sent a letter informing them that I would consider any further calls concerning the matter to be harassment and cited the applicable state law. And, I copied the Attorney General in their state and my state.

      I haven't heard from them since then.

    2. Re:Its about time to quit, they weren't trying by Almost-Retired · · Score: 1

      That seems like the right way, but very labor intensive. I took the easy way out and called AT&T and told them in no uncertain terms to call off the dogs else I would make a lot of noise they might not like in court.

      I'm not a lawyer by any means, but I do have a sense of whats right and whats wrong. Giving them that particular piece of my mind didn't bother me a bit, and I felt better for having done it. Such mind polution should NOT be treated as valuable property because it just multiplies if you try to contain it.

      Thanks for the advice though, I'll try to recall it the next time, if there is one. I don't normally tempt fate by letting bills go unpaid IF I owe them. Those I don't usually get charged to the dust and I'll let the rain settle them.

      Cheers, Gene

  54. Re:So Long Cell division, so long residential... by ebh · · Score: 2, Insightful

    Not to mention the $150/month it cost to rent an answering machine in the mid 70's.

    OTOH, those extortionate prices the government allowed them to charge came with a catch: universal phone service. AT&T had to wire every home and business that wanted phone service, anywhere in the country, no matter how much it cost. If the phone system was always the anarchic mosh pit it is today, large amounts of the country would never have been wired.

    (Think of the places that still don't have cable, both remote areas too far from anything, and inner cities where the cable company isn't willing to dig up the streets to wire up the last few buildings.)

  55. Re:So Long Cell division, so long residential... by SABME · · Score: 1
    Simple answer: After divestiture (the 1984 breakup of the Bell System), the monopoly culture at AT&T was unable to adapt to a competitive marketplace. The fact that it's taken 20 years to get to this point illustrates just how large and wealthy AT&T was in its heyday.

    My main observation as a former AT&T employee (I worked first in Bell Labs, then in AT&T Labs (after the split with Lucent)) is as follows:

    In a regulated monopoly, you negotiate your profits, deadlines, and budget with the government. In this situation, it's to your advantage to give yourself *a lot of slack,* and do what you know is well within your capacity.

    There's no pressure to compete with other companies, so, if you set your quotas right, you don't have to work so hard. Everyone rides along on the system. Projects don't have to profitable to be continued, and profitable projects can be killed for political reasons without affecting the bottom line.

    AT&T continued to operate this way, even though they were no longer a regulated monopoly. It really isn't surprising: Imagine you're a manager who's spent your entire 20+ year career in this environment, without ever encountering business conditions elsewhere. How could you know anything otherwise?

    I'm not saying that there aren't plenty of sharp, hardworking people at AT&T with decades of hard-core experience in every aspect of communications (there are). What I am saying is that, for the most part, they don't seem to be in strategic decision-making positions. Hence the current mess.

  56. But ANDY GRIFFITH.... by callipygian-showsyst · · Score: 1
    Long before most of y'all were born, ANDY GRIFFITH came on TV after the "breakup" and told me to stick with "Ol' Reliable." And I believed him! He's so trustworthy .

    And now I feel ORPHANED! Will Aunt Bea come over to take care of me?

  57. AT&T's prophecy has come true! by callipygian-showsyst · · Score: 1
  58. AT&T Wireless [Cell division? LoL :-) ] by Anonymous Coward · · Score: 0

    AT&T Wireless has never actually been part of the main AT&T parent company. It's always been a completely distinct and separate entity, only licensing the rights to use the "AT&T" moniker in order to get brand name recognition. Now AT&T Wireless is in the process of being assimilated into the SBC (Southwestern Bell) borg collective's wireless Cingular division.

  59. Missing the reasons... by changa · · Score: 3, Informative

    Everybody seems to be missing the reason for this.

    While their service sucked AND they were annoying us with switch calls the real culprit was Bush and the FCC.

    http://gcn.com/vol1_no1/daily-updates/26319-1.html

    http://news.google.com/news?hl=en&lr=&ie=UTF-8&tab =wn&q=fcc+bush+telecom+act+1996&btnG=Search+Ne ws

    They got rid of the regulations about unbundling the local copper so the local carrier can charge AT&T whatever they want.

    Expect others to leave that market soon as well.

  60. Wired - You heard it here first by ndverdo · · Score: 2, Informative

    "You heard it here first: the voice business is dead. Repeat: it's not even a commodity; it's doomed. The telcos know it, too." [Wired 3.07]

    It panned out to this - just 10 years later.

  61. AT&T Residential service never did make any se by Brian+Stretch · · Score: 2, Insightful

    because all they're doing is substituting SBC/etc's marketing and accounting weasles for their own. It's the same network, they just give you an additional point of failure for no significant benefit.

    Cell phone companies have their own networks. Cable companies doing telephone service have their own network. Reselling a regulated monopoly's service and calling it "choice" is a joke.

    Hey AT&T: take your $billions and build us fiber-to-the-home (or close as you can) high-speed Internet access. THAT I'd pay for. But you've probably pissed away too much cash to do that at this point and were never smart enough to begin with.

  62. Deregulation of 96 is what caused this. by Anonymous Coward · · Score: 0

    AT&T didn't just randomly decide to get out of the residential business over night. Due to the courts over turning the FCC UNE-P laws that allow CLEC's to compete AT&T is looking at a rather large increase in costs(as are all other CLEC's) because the baby bells have thus far gotten there ways and are raising CLEC rates by enough that it isn't possible to make enough money to make it worth while.

    It will be interesting to see what actually happens once the FCC's interm rules come out to give some guidence to the bells/clec's to play fair as thus far most of the bells/clec's havn't, clec's want rates to stay the same, Bells want the rates to go up enough that they can get customers back without having to lower there rates anymore.

    While this is fairly new news AT&T announced a week or 2 ago that it would no longer offer residential service in 5 to 10 states so the writing was on the wall then.

  63. Monthly fee? by Xebikr · · Score: 1

    With Qwest, I get .05 a minute, in state and out of state, with no monthly fee, no monthly minimum, no per call minimum and a $20 cap. Once I reach $20 then it's free after that.

  64. Death to the AT&T Death Star.... by Wizzy+Wig · · Score: 3, Informative
    Five or six years ago, my wife had to visit a sick friend a thousand miles away from home. Having experienced the ripoff LD rates in hotels while on business travel, I told her to use the "1-800-CALL-ATT" number so heavily advertised on TV. BAD MOVE! As it turns out, the fine print that flashes on the bottom of the TV screen for 500 milliseconds at the end of the commercial informs us that the low fixed rates are available only to users of the AT&T Phone Card. For anyone else, the sky is the limit.


    As it happened, my wife's friend took a turn for the worse and we spent 4 to six hours on the phone over the course of a few days talking over whatever it is she needed to "express" (women...). My wife used the 1-800-CALL-ATT number, telling them to bill the LD to our home phone. Imagine my shock and horror when the AT&T bill arrived singing a tune of almost $700. The heartless bastards had no mercy... any and all pleading for mercy ended "Well... that's what you owe us... pay up or else." It took me 3 months to get them to knock a couple hundred off just to close the matter out, but it was their deceptive advertising that caused the problem in the forst place.


    May AT&T's corporate soul, if it still has one, rot in corporate hell.

  65. Isn't that an oxymoron? by Anonymous Coward · · Score: 1, Insightful

    Quality of service and AT&T in the same sentence? AT&T historically has awful customer service and it is no mistake that they are leaving the residential market. How pathetic.

  66. Connection fee by tepples · · Score: 1

    Is there a reason people continue to get long distance service?

    Other than that some local telephone monopolies (in geographic areas where any existing CLECs refuse to market to residences) require all residential customers to carry long distance service?

    Is there some major advantage over calling cards (besides having to enter a number every time you make a call)?

    Many of the cheap "2 cent per minute" calling cards one finds at a gas station have a 50 cent per call connection fee, even when the call isn't made from a pay phone.

    1. Re:Connection fee by Cereal+Box · · Score: 1

      Other than that some local telephone monopolies (in geographic areas where any existing CLECs refuse to market to residences) require all residential customers to carry long distance service?

      Okay, but that's not how my telephone company (Bellsouth) does it. Guess I must be lucky.

      Many of the cheap "2 cent per minute" calling cards one finds at a gas station have a 50 cent per call connection fee, even when the call isn't made from a pay phone.

      Not mine. I bought it at Sam's Club and it's an AT&T card, with no connection fees unless I'm calling from a payphone.

    2. Re:Connection fee by Anonymous Coward · · Score: 0

      Not mine. I bought it at Sam's Club and it's an AT&T card, with no connection fees unless I'm calling from a payphone.

      I second this. I got one for prolly 7 years. Never expires, it's 15 units for payphones and it's $0.0347 per minute. And you just read all the rates it has.

  67. Other related AT&T news... by TheHawke · · Score: 2, Interesting

    One investment firm derated their stock to "junk bond" status, joining the ranks of once-mighty firms like Charter Cable. Another firm's report has labeled the company as a "prospect for a takeover, or buyout".

    IMHO, if they don't do something mighty desparate here shortly, they will be permantenly mired in the red with no way out of it except for selling out, or bankruptcy.

    --
    First rule of holes; When in one, stop digging.
  68. Re:So Long Cell division, so long residential... by KC7GR · · Score: 1

    swv3752 writes...

    "If there were other methods, then please list them. Bell was a complete monopoly, and you either did it thier way or the highway. And I mean that literally. You either used the Bell phone, or sent your messages via the postal system (or walked them yourself).

    Do you like having a cordless phone? Or perhaps you would rather go back to renting your single phone."

    Other methods? Let's start with a regulatory mandate that Bell HAD to allow competing devices to be connected IF they met Bell System technical specs. Even during the 'monopoly' years, the Bell System contracted with companies other than WE to make their hardware. One good example would be Elgin Electronics, who made several types of voice couplers for the express purpose of -- guess what? -- safely connecting third-party devices to the phone lines.

    Another example would be Precision Components. They made (and, as far as I know, continue to make) speakerphone equipment. Their model PC-4A was a near-exact clone of the Western Electric Type 4A, and I have reason to believe that Precision was a WE subcontractor for a while.

    It's ironic that, in the years following divestiture, the FCC established EXACTLY the kind of third-party equipment registration program I mentioned above. All I'm saying is that I think it could have been done WITHOUT breaking up a system that, while it had plenty of faults, actually WORKED, and had nationwide standards where equipment and protocols were concerned.

    What makes you think that cordless phones, or any of the other modern goodies we've got today, would never have come along without the breakup?

    --

    Bruce Lane, KC7GR,

    Blue Feather Technologies

  69. Good. by Anonymous Coward · · Score: 0

    At least it gets rid of more scum resellers. Like the one that came to every door in this neighborhood with the intent of switching people over to AT&T Local Service. The reseller pitched it as "a phone upgrade from Verizon that'll get everything on one telephone bill".

  70. The Phone Police by PongStroid · · Score: 1

    Back in '74 I was nine years old. My dad had just recently finished adding a new bedroom to our house in Fremont, CA. It was to be my mom's sewing room. My grandfather, a guy who knew his way around building electronic things, put together a Heathkit speaker phone. (Pretty neat piece of hardware actually). Figured my mom could use it while sewing.

    A few weeks after the room was finished, I was in there checking things out. The phone range. Picked up. A very threatening guy was on the phone asking me questions like: "Is there an unauthorized phone connected to your house? It appears that there is..." I answered "no there isn't" - since, even at 9 years old, I knew your weren't supposed to install non-sanctioned phones. More questions followed, including threats of discontinued service. I let my parents know. They said not to worry. But I do know there were more calls from the phone company, and a visit. The cool Heathkit phone vanished from the house and I never saw it again. It was preplaced with a Princess phone...

    Deregulation certainly stopped this sort of activity! Interesting story at least...

  71. Re:So Long Cell division, so long residential... by Anonymous Coward · · Score: 0

    Last I checked, I still payed extra for tone dialing ($1/month), but I haven't looked in a while. Still, I agree with you. If AT&T was still together, I'm pretty sure the internet wouldn't be as good today. They'd have found some way to "tax" it.

  72. Why is this modded so low by Moschaef · · Score: 0

    This isn't off topic, I atleast left a link 400 other sources on this topic!!! I can maybe understand moding to zero, but to -1. You Moderators a bunch of Slash Dot Fascists!!!

  73. re: ATT leaving the Long Distance Market by dmf415 · · Score: 1

    Looks like the long distance companies are taking a hit! No more ATT telemarketers!
    The long distance included with the cell phones are hitting the big LAN line corps.

  74. Damn, No More Checks by jhunsake · · Score: 1

    AT&T has been sending me checks for years to switch over. One of those where you cash the check, and your long distance provider changes. Some of them have been $20 and some of them have been as high as $100. I always cash them, wait for the change, then call MCI and get frequent flyer miles for switching back to them. It's an easy scam, and takes no more than 5 minutes every month. But I guess it's dead now.

  75. AT&T local service - my experience by monkeySauce · · Score: 4, Interesting

    Am I the ONLY one here that has actually used AT&T local service? (as in they were my carrier for local-only calls) Everyone is spouting about their long distance service, which I have never used, but I have been an AT&T local service customer for the past two years.

    Over the years I had become so disgusted from my dealings with Ameritech/SBC that when I heard AT&T was providing local service in my area, I signed up right away. I figured ANYTHING had to be better than SBC. I had always found SBC/Ameritech's customer service reps to be rude, incompetant and just plain lazy. It was commonplace to have to call back multiple times to have a change made because the reps simply didn't do their jobs. And before you could hang up they would hound you like vultures trying to get you to buy their stupid add-on services.

    Being an AT&T customer was an enlightening experience. Every single time I called them for any reason the representative was very polite and efficient. They were so good I even went out of my way to report one of their reps for being so helpful and nice. The price was the same as SBC +/- $1. I had my bill automatically charged to my credit card each month and never had a problem in two years. (trying cc billing with Ameritech resulting in getting overbilled and I had to discontinue it).

    In short, AT&T local service was like the opposite of Ameritech/SBC. AT&T represented everything I wanted from a phone company. After two years with them I cancelled my service last month only because I'm moving and I'm going to be without a phone for a while, but I was sorry I had to leave them, and I'll be bummed if I wont be able to sign up for their local services at my new place.

    1. Re:AT&T local service - my experience by Anonymous Coward · · Score: 0

      You are not alone. I had AT&T long distance for a long time now and recently switched local service to AT&T too. It's like heaven compared to QWest. In my experience AT&T customer support is reachable, courteous, knowledgeble, listens to you and fixes your problems promtly. It would be really sad if they terminate their local service :(

  76. Re:So Long Cell division, so long residential... by Anonymous Coward · · Score: 0
    You forgot the fact that they've also been trying to over exploit there customer base. For example when they included a notice in people's cell phone bill saying that even people with contracts would see a rate increase and that by the time it shows up on the actually bill, you've missed your chance to cancel your contract.

    They've been pulling those kinds of moves for years. Too me it's like eating your children during a famine. It's better to die with dignity sooner than to die in shame a few days later.

    It seems to be a common trend in the country to turn on your customers before you go bankrupt.

  77. Yes, there would be linux without unix by tepples · · Score: 2, Insightful

    This company is the father of the Linux you all love to use today.

    Not necessarily. Had MIT installed a different proprietary OS in 1984, Stallman would have become fed up with its publisher's policies and would have based GNU on that rather than on UNIX, giving it a different acronym. The Christmas tree guy who wrote the Minix book would probably have cloned some other kernel as well.

  78. Re:So Long Cell division, so long residential... by Anonymous Coward · · Score: 0

    wireless was a giant bastard. many AT&T employees lost their asses in the IPO.. the company generated instant HATE by most of it's employees towards the company. Then AT&T wireless became knows and the worst service in america to most population centers. unlike verison where you can bring your broken phone to any center for replacement you had to mail your AT&T phone somewhere and then recieve and activate your replacement 3-4 days later. outages were comon and centurytel in minnesota refused to allow AT&T costomers to roam. so no service in an area that showed up as roam.

    again, failures at management.

  79. Read what Cringely has to say on the subject by Anonymous Coward · · Score: 0

    Cringely has an article on this a couple of weeks ago.

    http://www.pbs.org/cringely/pulpit/pulpit2004062 4. html

    This seems like another bonehead move by bad management. AT&T already has a proven and PAID FOR infrastructure. Yet they cannot seem to figure out how to make any money off of it. Instead they want to spend loads of money building out a new VOIP instructure to create what is arguably an inferior service.

  80. Wrong by donutello · · Score: 1

    You are uninformed.

    This announcement refers to AT&Ts residential long distance service. AT&T's service is at very competitive rates and provides very good fidelity compared to their competitors. I've tried several phone cards, Sprint & MCI and AT&T by far provides me with the clearest international long distance calls - all this for a price that's cheaper than what Sprint or MCI offer in their best plan.

    --
    Mmmm.. Donuts
  81. Re:So Long Cell division, so long residential... by AuMatar · · Score: 1

    Lets see- our telephone service si still just as good (I haven't had a failed call in... ever), we have greater innovation (caller id, 3 way calling, voice mail, etc are now standard, Ma Bell resisted any of them), we have the ability to own our own phones (and better quality phones, cordless phones, etc), and we now have real competiton resulting in far lower prices (we would never have seen flat rate local calls or 5 cents a minute under a monopoly). Calling long distance was a major evern under Ma Bell due to cost, calling my parents across the country is now an almost daily occurence.

    So we have cheaper prices, more competition, and greater innovation now than then. How exactly was the breakup bad?

    --
    I still have more fans than freaks. WTF is wrong with you people?
  82. A better offer from http://rnktel.com by donsaklad · · Score: 1

    For people around New England the best offers appear to be from http://rnktel.com
    10 percent off verizon calling plans.

    Also a 1/2 or 1/3 cent per minute USA long distance offer... Talk 1000
    Wait a bit longer for illustrative images of the products to appear
    where you click on
    ...Purchase
    but first click in the left sidebar on
    ...Talk 1000
    at
    http://rnktel.com

  83. Re:So Long Cell division, so long residential... by Secrity · · Score: 1

    AT&T used to own the former Bell LECs along with Bell Laboratories and Western Electric. AT&T and the kids called themselves "The Bell System", everybody else called them "Ma Bell" or "the phone company". The former Bell LECs and half of Bell Labs was divested from AT&T on 1/1/1984. You can thank the DOJ and Judge Greene for it. On January 1st, 1984, nobody knew exactly what had happened and everybody's mom and dad was asking what long distance company they should go to. This was also the beginning of the $4.77 telephones era, these really cheap phones were just a handset with a cord attached to them and they had a lifespan was measured in weeks.

  84. Re:So Long Cell division, so long residential... by javaxman · · Score: 1
    While I have to agree that breaking up the AT&T monopoly was not really the *only* way to deal with the problems the state-sponsored monopoly was causing, I do have to say that the breakup was fueled to a large extent by the management's own stupid, money-grubbing policies.

    Seriously, even with the political momentum behind the privitization of public utilities, would such a move have been popular had AT&T not been requiring that we buy our phones from them? Think about how stupid that sounds today. MS is bad, but at least you have the *option* to install other software on your computer, even if it's hard to buy one without their OS!

    Some day there will be a monopoly which will understand that it can continue to make money and have a monopoly just as long as it's willing to give it's users *exactly* what they want.

    The alternative to breaking up AT&T would have been more regulation of AT&T... which neither the management nor political leadership wanted. A smart management would have caved on the areas that might have required regulation, or would have *asked* for more regulation "just so we know what is OK to do". But the execs hadn't learned the difference between running a state-sanctioned utility and running a strictly-for-profit corporation in biz school, which is really too bad, because they managed to loose their government-sponsored monopoly as a result of their actions.

    Then again, having a free-market-type system working in the space of telecom has helped *some* consumers, though mostly large corporations, as usual.

  85. Re:So Long Cell division, so long residential... by oldstrat · · Score: 1

    Got to correct you.
    Qwest was never part of AT&T, U.S. West was and Qwest merged with US West and the new company is called QWEST.

    This whole debacle goes back to 1982 and the setlement AT&T offered.

    All the govermnment was looking for was the removal of AT&T's exclusive manufacture or control of equipment and allowing resale.

    What AT&T offered instead was a breakup, spinning off the Local Exchange Loops (percieved as more expensive to operate and less lucerative in profits).

    So far it looks like everything has gone according to plan with the exception of the 1996 Telecommunications act which allowed Local Exchange Carriers into the Long Distance game and didn't provide proper provisions for allowing access to the local Exchange by the LD carriers.

    In the end it really doesn't matter because if you look at the boards of all these companies you will see that all the players are interchangable and are really playing the same game.

    I read someone earlier that said that all the innovation we have had would not have happened without the breakup. False.

    These changes were coming with or without a breakup.
    It was all a matter of regulation, Tymnet, CompuServe, Delphi, Fidonet, and The Source were fledgeling precursors indicating a commercial evolution of something approximating an internet.
    FCC regulation was opening bandwidth to mobile phone technology.
    And hardware innovation only required the removal of WECO exclusivity, which the government was going to impliment with or without a breakup.

    The innovation could have actually been greater if the network itself had remained intact.

  86. This explains it! by /dev/trash · · Score: 1

    This explains why the number 4 telemarketer, Reese Brothers, closed their Altoona office. How can you sell ATT Long distance when ATT isn't even in the business. Oddly they blame the DoNotCall list, when in fact it was all ATT.

  87. Re:Slashdot is so SLOW by Anonymous Coward · · Score: 0

    Damn, I'm sick of people who keep complaining that someone else broke the news with every new Slashdot story.

    SLASHDOT ISN'T A #&@! NEWS WIRE! It's a discussion forum!

    There's a lag in new stories for a reason. We come to Slashdot to TALK ABOUT THE STORIES, ideally after we've read the news, thought about it for a bit. The posts modded "insightful" aren't knee-jerk reactions, they're thoughtful and come from knowledge and consideration. If you want the get the day's news and make uninformed wisecracks, go to Fark.

  88. Enter their iPod contest before they go under! by Anonymous Coward · · Score: 0

    They're giving away a 40Gig iPod -- better enter the contest before they go under:
    http://www.consumer.att.com/callatt/

  89. Re:So Long Cell division, so long residential... by Anonymous Coward · · Score: 0

    Okay, fact check time.

    1. The old Bell phones were extremely reliable. They were designed with a 20-year lifespan, because if they broke, The Phone Company would have to fix or replace them at no additonal charge. The result was a series of (physically) heavy-duty electromechanical units which could survive six-foot drops, high-voltage electrical transients, and any amount of interference you could dish out.

    2. The Bell system overcharged on long distance (which few people, mostly the wealthy) used, so it could subsidize local calls (which everyone uses.) This was not a secret; it was spelled out in all sorts of regulatory paperwork. The result was called "universal service," meaning you could afford local telephone service no matter how poor you were, or how remote your residence was.

    3. Bell Labs was very innovative. Possibly the most innovative research organization ever managed by a for-profit corporation. Physics, Computer Science, and Mathematics all owe a huge debt to the Labs. Unix. The transistor. Satellite communications. More patents and Nobel prizes than any other company. All gone, thanks to deregulation and downsizing.

  90. That is a VERY familiar story. by dpbsmith · · Score: 1

    Boy, does that ever sound familiar. See my story ("good riddance to bad rubbish") above. The only difference is that in my case they said the payment had arrive a couple of days late, but the bank's cancelled check image showed that it had been cashed a week before the bill was due.

    I wonder why they were so aggressive about turning over accounts paid through online bill paying services to collection agencies?

    1. Re:That is a VERY familiar story. by Almost-Retired · · Score: 1

      I suppose that they are broke, which leads accounts receivable to do strange things at times.

      Or, maybe that was the pretext, drive people away from a non-profitable service. But, from the size of the bills I was paying, I see no reason that it couldn't have been profitable. They must have been charging us at least a quarter/min during the day, and if that doesn't make ungodly amounts of money, then obviously they are very very top heavy.

      In any event, they are out of my picture frame forever.

      Cheers, Gene

  91. Re:suck a cock by Anonymous Coward · · Score: 0

    no u

    lolz