Note: Sample below may appear distorted but all corresponding word document files contain proper formattingExcerpt from Essay:
ATT & Antitrust
The history of antitrust law in the United States has been heavily affected by the AT&T Corporation. AT&T has been seemingly involved in one form of dispute or another with the U.S. Justice Department and other Government agencies regarding its business activities. Subsequent to the storied breakup of AT&T in the early 80's, there has been little discussion regarding antitrust activity involving AT&T but with their recent announcement that they intend to takeover TMobile AT&T finds itself again in the center of antitrust controversy. How AT&T has responded to these antitrust charges will be reviewed herein.
AT & T. was, for many years, the dominant company in the United States telecommunication industry. Through its various subsidiaries (Western Electric, Bell Operating Companies, Bell Laboratories, and AT & T) AT & T. enjoyed many years when they faced few, if any, challenges to their domination. Through the years when they dominated the industry, AT & T. was forced to face anti-trust challenge in the courts, regulatory agencies, and the halls of the U.S. Congress and, for the most part, successfully withstood all challenges to its position in the market (United States v. American Tel. & Tel. Co., 1983). After many years of facing such battles, AT & T, recognizing that they might be forced to split into separate corporations by court order voluntarily split into independently owned and operated corporations known commonly as the "Baby Bells."
The AT & T. split was the result of many years of negotiations. There had been considerable pressure on AT & T. As a result of complaints that the business was a monopoly and repeated concerns by the U.S. Government that the continued promotion of the AT & T. monopoly was causing artificially high telephone charges and was acting as a strain on the market place. The breakup of the massive AT & T corporation into the Baby Bells seemed to satisfy the consumer advocates and government lawyers who had argued for the breakup for many years and developments in the telecommunications' industry such as the internet and cell phones caused a reshuffling of power (King, 2002). New companies were able to compete with AT & T. For long distance customers and these companies such as MCI and Sprint being able to effectively compete with AT & T. resulted in consumers and businesses paying long distance rates that were far less than they were prior to the AT & T. breakup (Madden, 2003). Offsetting the benefits of cheaper long distance rates, however, was the fact that the Baby Bells still controlled the local telephone service market and began charging local access fees that raised the overall cost of telephone service. To make matters worse, the seven Baby Bells created after the breakup of the AT & T. monopoly gradually began to merge until only four large telecommunication companies were formed: Verizon, SBC Communications, Qwest, and Bell South. The practical effect of this merger process is that the present state of the local telephone business is essentially the same as it was prior to the breakup of AT & T. In 1982.
On the outside looking in on the local phone business scenario was the old AT & T Corporation. Barred from competing in the local telephone market, AT & T, AT & T. began to enter the broadband cable industry. Through offering telephone service through coaxial cable AT & T. was able to run around the legislation which prohibited them from competing with the Baby Bells. In the process of building its coaxial cable business AT & T. began to aggressively purchase cable television companies such as TCI and MediaOne and large interests in companies such as Time Warner. These moves allowed AT & T. To again begin competing in the local telephone business which it desperately needed as the long distance business had shrunk considerably due to the proliferation of the Internet and cell phone business. AT&T's success in the coaxial cable business became so phenomenal that within 20 years after the breakup AT & T. was again in position where critics were again clamoring for another breakup.
A recent development has brought the issue of AT & T's influence and power in the telecommunication industry to the forefront once again (MCI Telecommunications v. American Telephone & Telegraph, 1994). Over the course of the past year, two giants in the industry, AT & T. And TMobile have been engaged in active negotiations to merge their two organizations. Unfortunately, for AT & T, its old nemesis, the U.S. Justice Department has stepped forward to actively stall such merger (Grunes, 2011). The Justice Department argues that such merger or takeover by AT&T would "substantially lessen competition" in the wireless industry and that such action should be blocked (United States v. AT&T INC., 2011). Like they had years earlier in antitrust actions against the original AT&T Corporation, the Justice Department has argued that allowing AT&T to take over TMobile would result in "higher prices, poorer quality services, fewer choices and fewer innovative products." AT & T, on the other hand, and not unexpectedly, argued to the contrary (U.S. Department of Justice, 2011).
The company most affected by the AT&T takeover of TMobile was industry midget, Sprint. Sprint executives and attorneys argued vehemently that allowing such an action would undo the progress that had been made in the telecommunication industry since the breakup of AT&T in the early 1980's.
The strength of the Justice Department's argument is somewhat different than that offered during the original AT&T breakup. During the original breakup there was really no one who could compete with AT&T in the development of new technology. AT&T was the only real innovator in the industry. In today's market place, however, the situation has changed considerably. Today, part of the Justice Department's argument against AT&T's takeover is that the company that they are attempting to take over is one of the major innovators in the market. The Justice Department argues that TMobile has been highly influential in the development of competition in the wireless communication market and that allowing the merger/takeover would serve to deprive consumers of the presence of TMobile in the market place.
Joining the Department of Justice in opposing the AT&T's action is the Federal Communication Commission. The FCC's argument is related to what is perceives as a violation of the antitrust laws. FCC chairperson, Julius Genachowski in voicing his agency's opposition argues that competition is vital to innovation, investment, economic growth and job creation. The FCC views the AT&T/TMobile merger as being a bar to competition in the telecommunication industry and has vowed to actively fight against its occurring.
The AT & T. organization of the 70's that dominated the telecommunications industry would have fought vicariously the attempts by the Justice Department and the FCC to block its proposed merger with TMobile. The fact that AT & T. is presently contemplating abandoning its plans for such merger indicates how AT&T's influence has diminished over the past thirty years and how the U.S. Government has increased its efforts at enforcing antitrust law AT & T. And TMobile announced the proposed deal in March of 2011, and yet, nearly 7 months later the outcome of such proposal is still unknown and there are many indications that AT & T. is actually contemplating backing down from the pressures being applied by the Department of Justice and the FCC.
Antitrust debates have surrounded the AT&T Corporation for decades. Since its rise as a corporate giant following the end of the Second World War, AT&T has seemingly been in constant litigation and debate relative to whether or not its activities constituted a violation of antitrust laws. In this latest debate, AT & T's actions in defending its position relative to the TMobile merger are uncharacteristically reserved when…[continue]
"ATT & Antitrust The History Of Antitrust" (2011, November 30) Retrieved December 8, 2016, from http://www.paperdue.com/essay/att-amp-antitrust-the-history-of-53136
"ATT & Antitrust The History Of Antitrust" 30 November 2011. Web.8 December. 2016. <http://www.paperdue.com/essay/att-amp-antitrust-the-history-of-53136>
"ATT & Antitrust The History Of Antitrust", 30 November 2011, Accessed.8 December. 2016, http://www.paperdue.com/essay/att-amp-antitrust-the-history-of-53136
AT&T Today AT&T faces a serious dilemma in whether or not to continue a relationship with their least profitable customers. AT&T's customer base today perfectly fits the 80/20 rule first devised by Italian economist Vilfredo Paereto in the 19th century (Krotz). Currently, over 80% of AT&T's revenue is generated by the top 20% of customers. By eliminating the least profitable 80% of customers, the company would make a profit similar to
Lesson Plan Amp; Reflection I didn't know what state you are in so was unable to do state/district standards! Lesson Plan Age/Grade Range; Developmental Level(s): 7-8/2nd Grade; Below grade level Anticipated Lesson Duration: 45 Minutes Lesson Foundations Pre-assessment (including cognitive and noncognitive measures): All students are reading below grade level (5-7 months) as measured by standardized assessments and teacher observation Curricular Focus, Theme, or Subject Area: Reading: Fluency, word recognition, and comprehension State/District Standards: Learning Objectives: Students will develop
Branding in Service Markets Amp Aim And Objectives Themes for AMP Characteristics Composing Branding Concept Branding Evolution S-D Logic and Service Markets Branding Challenges in Service Markets Considerations for Effective Service Branding Categories and Themes Branding Theory Evolution S-D Logic and Service Markets Branding Challenges in Service Markets Considerations for Effective Service Branding Branding Concept Characteristics Characteristics Composing Branding Concept Sampling of Studies Reviewed Evolution of Branding Theory Evolution of Marketing Service-Brand-Relationship-Value Triangle Brand Identity, Position & Image Just as marketing increasingly influences most aspects of the consumer's lives, brands
Workplace Violence Everyday in the United States millions of Americans leave their homes and enter the places of their employment. Captain Among these millions, most report to work unaware of the prevalence of workplace violence or fully understand the gamut of actions that represent such violence. It is typical of the media to only report high profile cases including a former employee or a worker losing control - the most
Neo-Confucianism is a philosophy which was born from the need to explain the existence of man and the universe in a manner which was just as complex as the Buddhist one. The philosophers which belong to this school of thought took the core of the Confucian philosophy and enriched it with contributions from other philosophies. It can also be stated that neo-Confucianism is a reaction to various provocations of philosophical
Antitrust and Intellectual Property Antitrust Law Remedies in Intellectual Property Cases In any research paper it is important to first define the terms used prominently in order to make sure that the reader understands what is being said. In this case, the two terms that require definition are antitrust and intellectual property. According to a definition from Cornell University Law School "Trusts and monopolies are concentrations of economic power in the hands
Antitrust Laws: Apple's Case Competition is a vital element of any vibrant marketplace. Thanks to competition, both businesses and individuals get to benefit from lower prices, increased product variety, higher-quality commodities, and greater innovation. Antitrust laws are meant to ensure that consumers are protected from unfair business practices and anticompetitive mergers, and that consequently, effective levels of competition are created and sustained in the economy. Antitrust laws differ from country to country