AT&T Disputes Competitor Calls for Quick Regulation of Special-Access Contracts
AT&T opposed calls by rivals for immediate FCC regulation of special-access terms and conditions in contracts, particularly given that industry representatives are just gaining access to confidential market data collected by the agency as part of a broad review. AT&T…
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said arguments made by Sprint and CLECs in filings were "nothing new" and "mischaracterized" the terms and conditions and their impact on competition in the business market. "It is not surprising that some carriers would like the Commission to increase their profit margins by rewriting their special access contracts; it’s a nice benefit if you can get it. But there are substantive and procedural requirements that must be met before any such action could lawfully be taken, and those requirements have not been met," said an AT&T filing posted Wednesday in docket 05-25. "The complaining carriers have a good reason for trying to jump the gun on the Commission’s review of the special access data: the real-world data will show that they have many alternatives to price cap LEC offerings. The shift from legacy TDM services to Ethernet continues to accelerate. Indeed, evidence abounds that special access competition has become even more intense since the carriers last raised these arguments." Competitors say the Bells use their special-access dominance to extract volume and term agreements that "lock up" rival carriers in wholesale contracts and business customers in retail contracts in order to receive discounts, thwarting competitive responses that do emerge (see 1510080051).