Comcast is partnering with First Mariner Bank, Md. community bank, to provide residential Internet service package. Companies began offering combined high-speed access and online account access for special offer Feb. 1. Package includes free online bank account access and one free month of Comcast@Home high-speed service and special price of $19.95 a month for next 2 months, free installation, free online bill pay service from First Mariner for 3 months, free accounting software. Companies kicked off program with 6-month marketing campaign in Howard County.
Citing “current difficult market conditions,” France Telecom (FT) lowered price range for its international offering of 15% of shares of its wireless subsidiary Orange. In Jan., FT said it planned price range of $11.50-$13.50 per share. On Wed., it dropped range to $8.84-$10.23. Listing of Orange reportedly also was pushed back to Feb. 16 from Feb. 12. IPO planned for Paris and London exchanges already has been delayed from initial late Jan. time. FT has said it plans to use part or all of proceeds of share offer to repurchase shares issued to Vodafone AirTouch when it finalized purchase of Orange in Aug.
As Telecom Act hits 5th anniversary, “the glass is half full,” CompTel Pres. Russell Frisby said Wed. at press briefing. Frisby said if they were graded, Bells would earn “F” for not complying with law and opening their markets to competition. Bells opened their markets enough to merit Sec. 271 approval in only 4 states, he said. “That is shameful.” CompTel said this is critical year as Bells seek legislation to ease Sec. 271 rules for data services. Group urged FCC and Congress to focus on 4 areas: (1) Enhance enforcement and antitrust remedies to stop Bell companies from “leveraging” their local exchange strength in new Internet access and broadband services. (2) Strengthen local market access rules to assure competitive entry. (3) Stop Bell efforts to gain interLATA data relief. “There is no difference between voice and data and such legislation is a ploy to sidestep obligations,” CompTel said. (4) Support “strong FCC” to protect market-opening provisions of Act. Frisby complained that “Bell lawsuits” and creation of “behemoths” through Bell mergers have prevented Telecom Act from reaching its full potential. Group of CompTel members, representing companies breaking into telecom service in SBC territory in Southwest, said they still faced variety of bottlenecks in offering competitive DSL service, gaining access to unbundled network elements and other areas. “There is a reason why the local network was last to be opened to competition,” said Jerry James, pres. of facilities-based Grande Communications. “It was the hardest to open. It takes a lot of money, a lot of effort, going down every street” to lay cable. In answer to question, Frisby said he strongly disagreed with new FCC Chmn. Powell’s statement (CD Feb 7 p1) that one could deregulate before markets were competitive. That’s “absolutely wrong,” Frisby said. “It’s a license to loot.” In general, Powell is “very thoughtful person who is generally supportive of competition,” he said. CompTel members were in town to lobby on Capitol Hill Wed. and today (Thurs.) in opposition to Bell data relief and other issues. Competitors may be in for “long siege” as Bells redouble their efforts to gain data relief, Ernest Kelly, pres. of Assn. of Communications Enterprises, predicted in statement issued for Telecom Act anniversary. He said Bells undoubtedly would have “allies in this effort” on Hill, but “we are confident that in the end the Congress will not undo what took 17 years to achieve… a mechanism to open up the last phone monopoly.”
Japanese broadcaster NHK joined Digital Radio Mondiale (DRM) consortium developed digital audio broadcasting standard, DRM said. NHK said its main interest was researching digital short wave broadcasts.
AT&T Wireless affiliate Triton PCS doubled revenue in quarter ended Dec. 31 to $109.9 million. Driven by subscriber growth, revenue in year grew to $357.3 million from $133.2 million in 1999. Recurring operating loss before noncash items was reduced to $5.4 million in quarter from $24.9 million year ago. Triton PCS added 84,811 customers in quarter, ending year with 446,401.
Bill in Ariz. House (HB-2447) would take away from competitive telecom services an exemption from state antitrust statutes that state law provides for public utilities regulated by Ariz. Corp. Commission or federal agencies. Current state law denies state antitrust immunity to competitive electric generation services; bill would expand denial of immunity to include competitive telecom services. Bill simultaneously is pending in House Utilities Committee, Commerce Committee and Rules Committee.
XM Satellite Radio reported net 4th-quarter loss of $14 million and operating loss of $20.5 million. In 1999, net loss was $11.1 million and operating loss $12.9 million. Company also announced agreement Wed. with Sanyo Electric to produce XM radios for factory installation into new cars.
Newly elected to NAB boards: Radio -- JoAnn Fisher, WKIT/WZON, Bangor, Me.; Jerry Lee, WBEB, Philadelphia; Gunther Meisse WVNO/WRGM, Mansfield, O.; George DeVault, Holston Valley Bcstg., Kingsport, Tenn. TV -- Madalyn Bonnot, Emmis Communications; Alan Frank, Post-Newsweek Stations… Alicin Reidy named vp-public responsibility, MTV Networks… Robert Chrostowski, Iwatsu America, named to FCC Consumer/Disability Telecom Advisory Committee… James Gallagher, ex-KYW-TV, Philadelphia, named vp-gen. mgr., Comcast MarketLink Philadelphia… John Theodorakis, ex-Avaya, named vp-gen. counsel, HearMe… William Bolster promoted to chmn.-CEO, CNBC; Pamela Thomas-Graham, CNBC.com, moves to pres.-COO… Elected to Alliance for Telecom Industry Solutions-sponsored Network & Services Integration Forum: Kenneth Stephens, BellSouth, re-elected as chmn. and team member for industry relations; Ronald Roman, Telcordia, reelected vice chmn. and team member for bandwidth. Team members elected: Connie Hunt, SBC, security, and Andrew Walsh, Telcordia, protection/architecture.
Debating success or failure of Telecom Act (see separate story, this issue) is no academic matter in Congress, where several proposals would make significant changes. Most prominent include 2 heavily pushed by House Commerce Committee Chmn. Tauzin (R-La.): Loosening restrictions on Bell companies’ offering data services across long distance LATA lines and adding restrictions on FCC’s handling of merger reviews. While both have received great deal of support in theory, we're told both still face considerable difficulty winning passage this year.
Motorola will install GSM infrastructure solutions for Morocco’s Maroc Telecom, terms not disclosed. Under network replacement contract, Motorola will install solutions for Maroc in cities of Marrakech and Agadir.