From technology to politics to video games; these are the random thoughts of a geek with too much time on his hands
We've come full-circle
Published on January 15, 2007 By Zoomba In WinCustomize News

In 2004 AT&T Wireless merged with Cingular Wireless.  The two companies combined to form one of the largest wireless phone carriers in the United States, and became the first step towards reassembly of the "Ma Bell" of old.  This past week, parent company AT&T Inc announced that the wireless brand would be moved into the new AT&T brand, abandoning the previous name that had been building recognition over the past 6 years.  The "new" AT&T is a centralization of all services and brands operating beneath the AT&T Inc aegis.

Some in the US may remember "Ma Bell", AT&T, or the American Telephone & Telegraph company.  From 1907 until 1982, through government regulation and savvy business maneuvering they became one of the largest monopolies in US history and were pretty much the only game in town if you wanted to make a phone call.  Broken up into the "Baby Bell" companies in 1982, over the past decade or so through acquisitions and mergers, have come full-circle back to Ma Bell with the purchase of the remnants of AT&T by SBC Communications (the reconstitution of the Baby Bells into one company) in 2005, finally approved in late 2006 by the FCC.

So now, 25 years after AT&T broke apart, everything has come back together.  All under one name, all services sold and managed centrally.  Ma Bell is back.


Comments
on Jan 15, 2007
I'm a Cingular customer of many years and I say that stinks.
on Jan 15, 2007
Now BellSouth is also a part of AT&T, I think this was a disatrous move by the FCC and it will come back to hurt all our pocket books if something isn't done to stop them. I'm not happy about this at all.
on Jan 15, 2007
Well, I'm not surprised that they're all back together. Kind of the natural flow of the market. I'm sure we'll all end up getting screwed from it eventually. What I don't understand is why the FCC, SEC, and Commerce Dept allowed all the mergers and acquisitions. I guess they're more worried about a boob falling out of a shirt or Martha Stewart stock deals than something that actually affects the country.
on Jan 16, 2007
I cant wait for the new i-phone to come out...since cingular is going to be backing it.
on Jan 16, 2007
At least there is some competition for the phone companies now, which there wasn't in the old days. I still think it sucks mightily in every way.

Another legacy of the Bush years, folks. They leave no mega-corporate monopoly unrewarded.
on Jan 16, 2007
Whatever this new AT&T grows into, it won't be "Ma Bell." The laws were changed. The actual "breakup" of AT&T was a gift to management. They dumped off all of their unproductive services--many of which had been required as condition for their monopoly--and gave them a big bucket of cash to let them pick an area to instantly dominate.

We are, perhaps, fortunate at the general ineptness of the then-management team.

But the breakup wasn't the big deal. It was changing the laws governing telecommunications in the US that made the difference.

It's not guaranteed that the loss of one company or the creation of another will produce better products or services. In spite of the instincts of the neo-free-marketers, many factors rank way ahead of number of competitors in predicting innovation and great products.

The best advice I have run across for telecom service goes something like this:

(1) Don't believe *ANYTHING* a telecom salesperson tells you. Misinformation and outright fabrication have become routine. To a large part this is due to the relatively large commission retailers get for making a sale. Because of the contract requirements (one, two years, or even longer) the telecom providers can pretty much pay back in commissions all of the silly fees you have to pay to buy any plan.

(2) Telecommunications is still provincial: When buying telecom services, think local and act global. That is, the biggest concern should be how that particular product or service performs in the area you will be spending the lion's share of time using that product or service. Just remember, though, that you can often buy that local service from lots of different places. (One of the strange legacies of the breakup of Bell)

(3) Just because you *can* upgrade, doesn't mean you *have to* or even *should* upgrade. It's a dirty little secret that many of the features companies use to sell phones are never supported in the market. By the time a technology is ready to use (as opposed to play with) there are usually several different ways to buy the technology. About the only thing you can count on is that the new manifestations of the technology won't be backwardly compatible with anything!

If you want something that looks cool and that will amaze your friends, then do your homework and buy the latest technology as soon as it is implemented in the field. If you want a phone, think carefully about whether the new features on phones are things you will really use. Consider all the scanners, computer-based faxs and digital cameras that are sitting in closets. Combining some things together might make sense for you, but few people will really use most of the features on their phone.

Oh, and I agree about the Bush Administration. Seems they think that if they keep saying "what is good for corporations is good for you" it will become true.
on Jan 16, 2007

.

on Jan 18, 2007
I am not happy one bit that the FCT allowed this even happen even so the laws have changed since the mid 80's but this is just redicuals in so many ways! I am a cingular customer and I knew this was goign to happen adventuarly it was destin to happen.
With everything I read in the past about how SBC claimed AT&T (Which was something else) I knew they would go after Southern Bell and Cingular once again.
I am just not ready to deal with AT&T since they were once a cable company up here in Colorado...
What is going on with FTC that they would allow this to take place at all? Is everything becoming more relax in our goverment or something?
IS AT&T going to stop there or try to take over like QWEST or something?