Free Republic

Instead of competing by offering better service—private sector telecom giants like Comcast and AT&T have routinely turned to a cheaper alternative: easily corrupted state lawmakers. In exchange for campaign contributions, lawmakers frequently and uncritically pass on model legislation written by industry and distributed by organizations like ALEC. Community broadband isn’t a magical panacea, and like any effort it depends on the viability of the underlying business model.

LOS ANGELES (Reuters) - Gary Winnick, the founder of bankrupt telecommunications company Global Crossing Ltd., said on Monday he would step down as chairman, 11 months after the company buckled under a mountain of debt. Winnick, who has been under investigation for massive sales of the company's stock while the telecommunications industry was imploding, said his resignation as chairman would be effective on Tuesday. He added that he regretted the large financial losses incurred by others. "I deeply regret that so many good people involved with Global Crossing also suffered significant financial loss," he said in a letter to the...

Filed at 3:09 p.m. ET NEW YORK (Reuters) - AT&T Corp. (T.N) on Wednesday saw its credit ratings, affecting $25 billion of debt, cut to two notches above ``junk'' status by Moody's Investors Service, which said the company faces ``weakened revenue prospects'' and rising competition in its core business. The cut triggers a rise in interest costs for the New York-based long-distance phone company, the nation's largest. AT&T became the latest big telecom in May to suffer a credit rating downgrade. Its largest rival, WorldCom Inc. (WCOM.O), was cut to junk status by all leading U.S. rating agencies, while Qwest...