Bell companies request FCC permission to pass WorldCom debts to customers

Reuters ^ | July 21, 2002

[Silly]

"These many." -- John Sidgmore, the chief executive of WorldCom, in response to the question, "How many millions did you personally pocket before announcing the bankrupty of your company?"

[jiggyboy]

Sounds like the only people not subject to these "passed-on charges" would be MCI customers. What if everybody switched to MCI? Hmmm...

[RWG]

Right and the request that "The FCC should take affirmative steps to ensure that WorldCom's impending bankruptcy does not undermine the financial stability of other carriers that provide services to it, and that such supplying carriers have adequate assurances that they will be paid for those services" is another example of the special treatment that elite interests get in this country. When I pursued a debtor in bankruptcy court it was too bad for me, I just had to eat $20,000 of debt, I did not get any assurance that I would be re-paid for my loan. What happened to letting the free market sort out the fittest? Oh, I forgot there is no free market, sorry.

[Kaslin]

Bell companies request FCC permission to pass WorldCom debts to customers

Well if they do, they can come and cut the friggin phone line

[Bogey78O]

You do realize the whole 1996 act was designed to benefit other companies that lobbied congress. You really think any company could get into the phone business?

Not that I mind it but if they want to be fair they need to apply this toi the entire tech sector. Make cable provide access at 75%. Make CNN, FOX, MSNBC, sell their airwaves to all "competitors" at a fraction. Tax them all at an enormous rate for just possessing their equipment. Maybe they could give us our choice of power companies too?

Considering how a great deal of CLEC's just exist in paperwork. Only reselling RBOC's dialtone, it would be possible for them to restructure Time-Warner-AOL around the same idea.

After all if competition is so grand how come the only utility it seems that needs to share it's stuff is the telco's?

[Bogey78O]

Actually not to defend Hal but when you can make 100 million and only pay half that in fines it's still considered acceptable.

[Bogey78O]

Copper must still be bought. There are costs to maintain a network. The Bells usually operate on a profit but some years are lean and other fat. It's all averaged out to provide a decent profit. You can only take away so much from the fat years to make it hard to survive through a lean year.

[Bogey78O]

'Don't be absurd. I'm don't favor running the phone companies out of business, but if they don't cease their violations of the law'

Didn't the Democrats say the same thing about Reagan after arbitrarily making the laws? They make a law that they know the president can't follow then get upset when he doesn't meet their meaningless rules.

'Meanwhile, SBC is using ratepayers money to purchase and upgrade systems in Africa, Mexico, Canada and everywhere else except their local service territories in the U.S. '

In the old days Bell used money from cityfolks to wire up countryfolks. Now they're doing the same thing internationally. Why? Because Africa, South America, etc let them run the show on building infrastructure.

[Bogey78O]

Well considering it's the FCC that made them have to deal with WorldCom......

You know the Bells can't deny the sale of their lines or refuse to deal with a company. If said company wants to do business the Bells have to oblige.

I'm sure Verizon would love to drop sales to their "competitive customers".

[HAL9000]

After all if competition is so grand how come the only utility it seems that needs to share it's stuff is the telco's?

Any utility that uses eminent domain and easement to run their wires, pipes, etc. through my private property without compensation ought to be required to allow competition through their facilities. Why do the utilities think I should be required to share my property with them, but they don't have to share access with their competitors? That's the tradeoff for being a common carrier with a guaranteed fixed-rate of return.

The best solution is for the utilities to be structured as wholesale and retail units. The utility can have their wholesale monopoly, and compete at retail. That would also avoid the problems of overbuilding. I don't need any more stuff buried on my property. I can hardly dig a hole now without hitting something.

If the utilities aren't willing to make some accomodations for competition, then I should have the right to charge them rent for crossing my property or tell them to get their wires the hell out of my yard.

[Bogey78O]

'Any utility that uses eminent domain and easement to run their wires, pipes, etc. through my private property without compensation ought to be required to allow competition through their facilities.'

Yet they don't.

'The best solution is for the utilities to be structured as wholesale and retail units. The utility can have their wholesale monopoly, and compete at retail.'

That would throw so much volatility into the market almost all but the heartiest would survive.

' That would also avoid the problems of overbuilding. I don't need any more stuff buried on my property.'

Actually it really wouldn't. Wait....what overbuilding problem? The Bells are short on plant everywhere.

'then I should have the right to charge them rent for crossing my property or tell them to get their wires the hell out of my yard. '

Make sure you charge airplanes for using your airspace. Also charge the people who remove the water from the Aquifer under your house too.

[HAL9000]

Yet they don't.

The reforms have to start somewhere, and the phone company is the most obvious place because it's become a major economic issue for the country.

Frankly, if the Bells were doing a decent job, I wouldn't care that they are a monopoly. But their service stinks, and the only way they will improve is when they have competition. The other utilities in my neighborhood are doing a much better job.

[Bogey78O]

'The reforms have to start somewhere, and the phone company is the most obvious place because it's become a major economic issue for the country.'

20 years and counting. Guess the feds got full on AT&T.

'But their service stinks, and the only way they will improve is when they have competition.'

A false misnomer. Competition does not mean better service. It just means you have a choice of who you send the money to. The only true competition that would provide better service is if other companies were to have their own plant.

Think of it this way. Lets create a scenario with 3 different companies. BellPlant owns the copper network. BellPhone sells the dialtone and Bell-Tel is a competitor.

Now you have a trouble with static. You call BellPhone and they report it to BellPlant. They send a tech out and still the trouble remains. So you switch to Bell-Tel. They send a tech out there and still the problem remains. So you cancel your phone and no one is happy.

The only thing competition does is act as a threat to keep the Bells in line. But threats like a whip must be used sparingly.

'The other utilities in my neighborhood are doing a much better job. '

The other utilities in your neighborhood are straight up Monopolies. Don't use them for examples. It wouldn't help you.