At&T; Takes Aim At Local Phone Markets Long-Distance Giant Notifies State Regulators Of Its Plans

Long-distance giant AT&T Thursday notified regulators across the West that it plans to enter the market for local telephone service.

Filings in the 14 states served by US West Communications are the precursors to negotiations between the two companies for access to local phone networks.

Areas served by GTE and other carriers also are affected.

AT&T’s re-entry into the local-service telephone market is permitted under historic legislation deregulating the telecommunications industry that President Clinton signed last month.

The company was forced out of the market for local service a decade ago by a court order that broke its monopoly on telephone service.

“We hope to get into the Washington market as soon as possible,” AT&T spokeswoman Susan Carpenter said Thursday. “Washington is one of our key states.”

She said the company is also asking the state’s Utilities and Transportation Commission to ease its regulatory hand.

“Right now, we are treated as a monopoly,” she said. “We are not.”

Carpenter said AT&T would not build its own local networks, but would resell service from US West, GTE or other companies.

The company’s marketing plans call for packages that could include local, long-distance and wireless telephone service, as well as on-line and television service, she said. But the company has not decided exactly what combination of services it will offer.

AT&T and Direct TV have already formed an alliance, she noted, and earlier this week AT&T announced it would provide limited, free service on the Internet.

Carpenter said the company would notify US West within days of its desire to start talks on connecting their networks.

By law, an agreement must be reached within 270 days. If there is no progress after 135 days, state regulators can be summoned to referee the process.

US West President Sol Trujillo said the company is ready for competition.

“We welcome competition in our local markets, particularly if interconnection negotiations result in a level competitive playing field,” he said. “In a competitive environment, the best deal wins.

“Just as the Telecommunications Act opened our local telephone business to competition, it provides us with the opportunity to give our customers a much broader set of services, including long distance and cable television.”

“The marketplace is definitely heating up,” added GTE spokesman Bob Wayt.

Smaller long-distance carriers have already filed in Oregon for access to the local market, he noted.

Carpenter said AT&T will complete its regulatory filings in every state today, fulfilling a pledge made by the company when Congress was weighing the telecommunications bill.

MCI, the second-largest long-distance carrier, has also notified Washington regulators of its intentions to enter the local market, an official said.

, DataTimes