AT&T Issues Scathing Response To FCC Report
An anonymous reader writes "AT&T has issued a scathing letter in response to the FCC's decision to release a staff report on its findings surrounding AT&T's planned $39 billion acquisition of T-Mobile USA. 'We expected that the AT&T-T-Mobile transaction would receive careful, considered, and fair analysis,' Jim Cicconi, AT&T Senior Executive Vice President of External & Legislative Affairs, said. 'Unfortunately, the preliminary FCC Staff Analysis offers none of that.'"
I'm pretty sure that AT&T's response is simply a toddler's temper tantrum with a midlife crisis and an expensive suit.
at this point, i wonder if AT&T has actually bought its own story, or if they have to practice keeping a straight face in the mirror every morning.
AT&T buying T-Mobile is a bad thing for consumers. The original cell phone plan was that there would be two providers, the local Ma Bell and a start-up. AT&T as SBC bought up the East Coast start-ups, Verizon bought the West Coast ones, and T-Mobile and Sprint came to the party as national big-city carriers on at the time open space adjustments.
AT&T of the 1980s was busted up as a monopoly. If AT&T is allowed to have T-Mobile, what's stopping Verizon and Sprint from joining up? Less competitors always leads to higher prices. Anybody remember what cellphones cost in the early 1990s?
For Sprint's short and sweet response, compared to ATT's long-winded vague casting of aspersions against the FCC staff.
Hell, even the UN's firmly worded letter get's them nowhere :|
http://www.dslreports.com/shownews/ATT-Top-Campaign-Contributor-Since-1990-110351
They should break that company up again, it seems the first time wasn't enough to curb their arrogance.
That's kinda what they did when they went AT&T exclusive at the start.. there's a whole big argument to be made regarding what would've happened with iOS vs. Android had Verizon not been left out of the iPhone sales fest early on and decided to retaliate with pushing and marketing the Droid the way they did.
AT&T can use that money to upgrade and expand their broadband circuits. I'm in south Texas and AT&T openly admits that our lines are over subscribed. Every Tech sent to check low signal strength has confessed to over subscription. Well use that money to improve the service they are collecting for and not providing!!
ATT: "We didn't get our request rubber stamped like we expected it to be after we spent all that money to get the current crop of legislators and executives elected. We spend money on campaign contributions for a reason people! The FCC's review of our proposed acquisition of T-Mobile totally neglects to take these facts into account, and instead harps on things like abusive monopoly paractices and leaked memos from our executives. Obviously the FCC is not doing its job as a captured regulator, and we are voicing our displeasure publicly so as not to oust our purchased politicians. We fully expect them take action against this FCC ruling, and further insist that they take the DoJ to task on the pending antitrust case, if they want any more of our money; we understand that elections are just around the corner. Just a reminder guys. We don't get what we want, you don't get what you want."
Sprint: "We applaud the FCC for finally doing what it was really supposed to do, and appreciate its dedication to fact finding and for ensuring a balanced economic foundation for the telecom industry. We strong urge everyone to read the FCC's report."
On the other hand, it's possible that Android would never have been able to make it to market without Apple first muscling their way into the game the way they did. One of the benefits they got by going exclusive was that they were allowed a lot more control over their hardware and what could be installed on it than any other phone manufacturer was. You could make an argument that the smartphone market wouldn't be as big as it was without Apple showing what was possible.
Hard to tell. It's all guesswork at this point.
'Sensible' is a curse word.
No, but I can imagine silence. Or a one-sentence 'we respectfully disagree'.
'Sensible' is a curse word.
It's good the government did not approve this merger. Here's why:
First, behind all these statements will be legalese that I describe after each one of them.
AT&T should know that public commitments are not legally binding.
How many are these? You will not be surprised that there could be a handful of them in the USA. Even then, you could find that these so called call center employees are not directly employed. Many times, companies will outsource services to the extent that there are pay disparities for employees doing the same job.
Over what period of time may I ask? AT&T could later argue that they meant returning these jobs "over a period of two or three decades!" Imagine that.
What they do not tell you is that the offered position will be at a significantly lower pay, or that these positions will not be permanent, or that they will have conditions attached to them such that employees will fire themselves.
Who does AT&T think they are fooling?
Notice that every rebuttal made by AT&T is simply a statement by AT&T that they PROMISE not to do what is in their own best interest!
For example, if there is 1 fewer wireless company, there WILL be less total job positions needed. That is an obvious truth of economics : one fewer company means more consolidation, fewer independent cell towers needed, etc. Yet AT&T PROMISES to hire more Americans as CSRs, despite the fact that it would be cheaper for them to keep outsourcing.
AT&T will find it easier to raise prices with the merger because with 1 fewer competitor, the Nash Equilibrium inches closer to monopoly prices. AT&T PROMISES to do otherwise.
AT&T has no competitor to fight for rural broadband market share, yet they PROMISE to build the wires anyway.
And so on and so forth. Every rebuttal basically says "well, maybe it doesn't make market sense, but we have plans to do X if we get our way".
Think about who made this report : some lawyers and marketing folks in AT&T's executive branch. Those people are not going to be unbiased.
Of course not.
The firmly worded letter is for appearances.
The bribed senators and congressmen are the ones that will actually move things for them.
The difference between a politician and an honest politician is that an honest politician stays bought.
Help stamp out iliturcy.
The FCC's directive is not to ensure the value of your stock. The FCC asked AT&T why the merger was good for consumers and AT&T wasn't able to provide a reasonable one.
As someone who recently came of voting age, its kind of jarring to see our government function like this. I'm used to seeing the public interest railroaded to benefit a corporate interest, a corporate interest railroaded to benefit a different corporate interest, but I've never seen the public interest held above a corporate interest like this. Hell, they didn't even decide anything and I'm excited to see this, I know they would be able to jam up the merger eventually, but right now they've just presenting findings.
Is this what democracy is supposed to look like? I fucking love it. Shit, even if government decisions continue to be against the public interest, I'd be psyched if they just had the balls to admit it with reports like this. That would be a huge step forward from the bullshit "someone is making money, therefore its good, fuck off" level of analysis I'm used to seeing.
Or just bribe the people at FCC. It worked for NBC/Comcast. At first there was resistance, then the FCC person in charge of it approves of it, retires, and 'MAGICALLY' starts working for NBC all of a sudden. You can't explain that.
God spoke to me