AT&T CEO Dismisses Critics of BellSouth Deal

Wed, March 22, 2006CIO

On Tuesday, AT&T’s chief executive, Ed Whitacre Jr., said critics’ claims that the company’s acquisition of BellSouth will provide AT&T with an unfair advantage regarding the management of Internet access and traffic, should be ignored, the Associated Press reports via Newsvine.

The issue at hand is “net neutrality,” or the principle that all Web traffic is handled equally. A number of Web carriers, with AT&T leading the charge, want to offer Web surfers different levels of Internet service, giving some content higher priority than others; for instance, Web-based phone calls could be ranked as a higher priority, so their quality could be improved, according to the AP.

Whitacre told the audience at the TelecomNEXT telecommunications conference in Las Vegas that different Internet service tiers would not negatively affect sites and firms that don’t pay for higher levels of service, the AP reports.

Websites and other Internet-based companies say the idea of tiered Web service is akin to extortion, because those that don’t pay the premium won’t get the same treatment as those that do, according to the AP.

“There’s been a lot of talk about this in order to scare people into thinking that access to the Internet is somehow at risk, or that the Internet as we know it is a thing of the past,” Whitacre said, according to the AP. “AT&T will not block anyone’s access to the public Internet, nor will we degrade anyone’s quality of service.”

When SBS Communications acquired AT&T Corp. last year, it pledged to maintain net neutrality until 2007 as part of the deal, the AP reports. The merged company is called AT&T Inc.

Analysts predict the company will need to pledge another two years of neutrality, to 2009, in order to complete the BellSouth deal, according to the AP. That move could postpone resolution of the issue until that time, the AP reports.

Kevin Martin, Federal Communications Commission chairman, seemed to generally support the carriers, according to the AP.

“We need to have a regulatory environment that allows companies to invest in their networks,” he said, according to the AP.

For related CIO content, check out Untangling Telecom: How to Get More and Spend Less.

For related news coverage, read AT&T to Buy BellSouth in $67B Deal and ANALYSIS: AT&T and BellSouth.

Check out our CIO News Alerts and Tech Informer pages for more updated news coverage.


Loading...
Network MarketSpace
McAfee's Network Security Platform IPS
McAfee's Network Security Platform IPS; the costs, benefits, flexibility, and risk elements. Learn more »
The Cost of SQL Sprawl
Learn how a new approach to SQL server consolidation can reduce server counts by 50%, lower maintenance costs by 70% and reduce administration time by 75%. Learn more »
A Bottleneck-free Infrastructure
Storage bottlenecks have a significant impact on performance and productivity. Learn more »
Application Delivery Despite Emerging Challenges
IT organizations need to choose appropriate application delivery solutions that can scale to support the emerging challenges. Learn more »
Eliminate the Impact of Distance
Learn how to be prepared to adapt your environment in a way that supports distributed employees, anytime anywhere collaboration and the need for business continuity during a disaster. Learn more »
Extreme Savings: Cut Costs with WAN Optimization
Learn about how Riverbed WAN optimization technologies reduce bandwith costs and optimize DR. Learn more »
Achieve Business Agility and Productivity
Learn how to evaluate ROI in hard dollars and soft dollars with three key ROI metrics. Learn more »
 
SPONSORED LINKS
 

See how AT&T can help protect your network.

Webcast: Unleashing the Power of Customer Data

White Paper: Improve Agility with Operational Responsiveness

White Paper: Legacy Tools: Not Built for the Helpdesk

Taking a Seat at the Executive Table: The Reality of Virtualization

White Paper: Next Generation Remote Infrastructure Management

Keeping Your Members Safe from Online Scams and Predators

The Total Economic Impact of Network Security Intrusion Prevention

Join us at the US-Brazil IT-BPO Summit, on November 10th in New York.

Increase UPS efficiency without sacrificing protection.

Learn how advanced forecasting tools can deliver significant business results for global corporations.

Lower IT Costs with Oracle Database 11g Release 2

White Paper: Visibility and the New Normal of Mobile Work

Taking the Service Desk to the Next Level

Learn about The Information Technology Infrastructure Library.

Top Five CIO Challenges

Streamline IT Costs. Boost Performance with WAN Optimization.

Want to know how you can maximize employee productivity?

Build your 1st app FREE with Force.com

TDWI checklist helps define data readiness for analytics. Download report.

A new fleet of PCs with a total ROI in 10 months. Find your ROI.

eZine: A Roadmap to Reducing IT Complexity

Reduce risk, gain agility. See how Progress can help your business.

Virtualization Technology as a Business Solution

eZine: A Roadmap to Reducing IT Complexity

White Paper: 4 Customer Service Myths

White Paper: Managed Security for a Not-So-Secure World

White Paper: 5 Best Practices for Smartphone Support

Global Research: CIOs Weigh In On Virtualization

5 Key Virtualization Management Challenges

Secure Email and Web-Based Communication from Evolving Attacks

WagerWorks Takes Fraudsters Out of the Game using iovation

Seven Design Requirements for Web 2.0 Threat Protection

Generation Remote Infrastructure Management - Changing the Paradigm

Cloud-Based Email Management: Opinion Shifts In Favor

eBook: How Can You Make Your People Productive Anywhere?

Achieving Business Agility with Application Grid

Ready to virtualize tier one applications? Check your virtualization maturity.

Seven Ways ITIL Can Help You in an Economic Downturn

Tips for successful virtualization management.

Unified Communications: Thoughts, Strategies and Predictions. Join the discussion

Read the RSA report: Security for Business Innovation

Webcast: Looking to the Cloud for Email and Collaboration Services

64-page prescriptive guide to security, compliance, and IT operations.

Keep your IT expertise up to date. Join the Intel Premier IT Professionals.

A Clear View Toward Virtualization

Virtualization Technology as a Business Solution

The rules of infrastructure management just changed.

A Clear View Toward Virtualization

Interactive Q&A helps you discover key ways to maximize IT assets.

 
 
RESOURCE CENTER