Monday, January 29, 2007

AT&T BellSouth Merger Complete

The merger between ATT and BellSouth was finally completed at the end of December. The deadlock at the FCC was broken when ATT&T promised to honor net neutrality. It promised net neutrality on its broadband Internet service but not in its enterprise or IPTV services. It made a number of other concessions. The full text of its concession letter can be found at http://www.fcc.gov/ATT_FINALMergerCommitments12-28.pdf.

The old Bell System is being built back up. The merger means that BellSouth will adopt ATT's FTTN VDSL broadband and IPTV architectures. This is not good news for Tellabs, in particular, which was supplying FTTC equipment to BellSouth.

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