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FCC Approves Major Telecom Mergers.
2005-11-01, HostMan.biz The Federal Communications Commission has approved the mergers of communications giants SBC (sbc.com) and AT&T (att.com), as well as that of Verizon (verizon.com) and MCI (mci.com). The news comes on the heels of last week's approval for both mergers by the US Department of Justice. The deals create two of the largest hosting companies in the world, each with a strong presence in the enterprise sector. AT&T and is home to a stable of high profile hosting customers and MCI is similarly strong, backed by its Digex enterprise hosting arm. According to reports, market safeguards have been included as a condition for FCC approval. There has been widespread concern that the mergers of these companies may alter the competitive balance of the telecommunications industry in the United States. Verizon and MCI concluded their merger in February and expect to close later this year or early in 2006. SBC acquired AT&T in January and will continue to operate independently until the deal closes later this year. The newly merged company will be renamed AT&T. |
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