AT&T: Telecom consolidation 'logical,' inevitable

[Yo_Mama_Been_Loggin]

How did the Lily Tomlin skit go? "We don't care. We don't have to."

The wireless industry is likely to shrink down to two or three players, roughly half the roster across the U.S. today, according to an AT&T executive.

John Stephens, CFO of AT&T, spoke at a Nomura investment conference on Wednesday. Stephens was asked about consolidation in light of AT&’s failure to acquire T-Mobile. Regulators panned AT&T’s T-Mobile acquisition over competitive worries.

Stephens said:


I think it is just logical that the industry is going to consolidate in some form or fashion. I think the marketplace has spoken to that with what it has done to pricing in the valuations on some of the companies. From an economic perspective and a highly CapEx-intensive business, I think it is logical to assume you’re going to have two or three and certainly not six and seven competitors in any marketplace. So I think consolidation is logical.

http://www.zdnet.com/blog/btl/at-t-telecom-consolidation-logical-inevitable/78656?tag=mncol;txt

[Xipe Totec]

1. I worry whoever thought up the term "quality control"...

"I worry whoever thought up the term "quality control" thought if we didn't control it, it would get out of hand."

--from "The Search For Signs Of Intelligent Life In the Universe"

By Lilly Tomlin

[rustydog]

2. regulate it evenmore. Anti-monopoly laws need to be strengthened...

[elleng]

3. Not strengthened, just enforced, imo.

One side of the coin:
http://www.cato.org/pubs/journal/cjv14n2-6.html

The other side:

http://www.consumersunion.org/telecom/lessondc201.htm