AT&T-BellSouth Merger Inches Forward With Appointment Of FCC Chairman - InformationWeek
IoT
IoT
Infrastructure
News
11/20/2006
01:15 PM
50%
50%

AT&T-BellSouth Merger Inches Forward With Appointment Of FCC Chairman

AT&T senior VP Chris Rooney expressed confidence over the weekend that the acquisition would be consummated without the firms having to give up additional concessions.

With the U.S. Senate's confirmation of FCC Chairman Kevin Martin to a five-year term last week, the FCC planets are nearly aligned for approval of AT&T's acquisition of BellSouth without the requirement of any onerous concessions.

The final link to be closed is represented by Republican Commissioner Robert McDowell, who had recused himself from deliberations and voting on the issue because he was formerly employed by the Competitive Telecommunications Association (CompTel), a telecom industry lobbying organization.

AT&T senior VP Chris Rooney expressed confidence over the weekend that the acquisition would be consummated without the firms having to give up additional concessions. Traveling in a business entourage with President Bush in Vietnam, Rooney expressed confidence the deal would be completed this calendar year, according to a Dow Jones Newswires report.

"We have great optimism in what we are doing with the FCC," he said.

The FCC has been divided along political lines on the merger with Martin and another Republican commissioner, Deborah Taylor Tate, favoring approval. Democratic Party appointees Michael Copps and Jonathan Adelstein have balked on approving the deal, leaving the commission split 2-2.

Speculation in Washington suggests that Martin may convince McDowell to "un-recuse" himself so he can vote to approve the deal. Or, that the Republicans will grant the Democrats some minor concessions in return for their votes. Either way, there is a push to get the deal approved before the Democrats take over Congress. Once that happens, getting the acquisition approved will be much more difficult.

AT&T's Rooney said Copps and Adelstein haven't opposed the merger. The merger, which would create the largest telecom company in the U.S. and include the largest mobile phone provider, Cingular Wireless, has been criticized by some consumer groups as anticompetitive.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
2017 State of IT Report
2017 State of IT Report
In today's technology-driven world, "innovation" has become a basic expectation. IT leaders are tasked with making technical magic, improving customer experience, and boosting the bottom line -- yet often without any increase to the IT budget. How are organizations striking the balance between new initiatives and cost control? Download our report to learn about the biggest challenges and how savvy IT executives are overcoming them.
Register for InformationWeek Newsletters
White Papers
Current Issue
Top IT Trends for 2018
As we enter a new year of technology planning, find out about the hot technologies organizations are using to advance their businesses and where the experts say IT is heading.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll