Business Services Industry

FCC to Vote on Rule Adjustments on Network Sharing for Local Phone Service.

Knight Ridder/Tribune Business News, February, 2003

By Jon Van, Chicago Tribune Knight Ridder/Tribune Business News

Feb. 20--The future of competitive local phone service could change Thursday when the Federal Communications Commission votes on rule adjustments that govern how local Bell companies share their networks with rivals.

The Bells, including SBC Communications Inc., have been pushing to phase out the low wholesale rates they are required to charge competitors such as AT&T and MCI to use lines and switches to provide local service.

Earlier this year FCC Chairman Michael Powell signaled that he accepts the Bell argument that the current rules discourage investment in network upgrades. By phasing out low wholesale rates, called unbundled network element platforms in phone...

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