Business Services Industry

Regional Phone Companies Fight to Enter Long-Distance Market. (Originated from San Jose Mercury News, Calif.)

Knight Ridder/Tribune Business News, July, 1994 by Bank, David

SAN JOSE, Calif.--July 6--The "Baby Bell" regional telephone companies are expected to launch a courtroom fight today to complement their aggressive political lobbying efforts to win the right to enter the $60 billion long- distance telephone market.

The dispute over whether to lift the decade-old restriction that has kept long-distance service off-limits to Pacific Telesis Group and the other six offspring of the old Ma Bell system is the major obstacle to the telecommunications reform package now under consideration in Congress.

The Baby Bells have promised consumers lower long-distance rates if they are allowed to compete with AT&T, MCI and Sprint. They've already spent millions on an intensive lobbying and advertising blitz to make their case....

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