Yesterday we reported how the FCC was getting close to rubber-stamping the Embarq and Centurytel merger, imposing conditions that were little more than window dressing. Today finds the new company (CenturyLink) announcing that the FCC has indeed approved the merger. Calling the FCC's approval a "significant and exciting milestone" in a "rigorous review process," CenturyLink insists the new carrier is "committed to investing in our communities and providing our customers high-quality, reliable communications and expanded broadband services."

The problem is, despite a supposed dedication to broadband expansion, the FCC's conditions have CenturyLink doing absolutely nothing they wouldn't have done already (and perhaps less), requiring they go from 87% to 90% DSL penetration in their phone network footprint within three years. The undermanned FCC apparently wanted to rush the approval on CenturyTel's behest, before new FCC boss Julius Genachowski was appointed as the new agency head. The FCC didn't respond to our request as to why the deal was being rushed.

As with AT&T, the FCC allows the carrier to consider resold satellite broadband to mean they've achieved "100% broadband coverage," ultra-low standards under any metric. In a statement, interim FCC head Michael Copps seems oddly aware at the agency's own failings, despite signing off on the merger. Copps actually takes time to suggest that those disappointed in this merger shouldn't take it as an example of the agency's future behavior when it comes to a national broadband plan, or even future mergers: story continues..

When the FCC allowed AT&T to acquire BellSouth in one of the largest telecom deals ever, the agency enacted a series of wimpy conditions (pdf). Not only were most of the conditions simply for show, but the FCC made it very clear they really had no intention of enforcing them. AT&T was supposed to offer naked or 768kbps $10 DSL for two years after the merger, but skirted around the condition's purpose by never advertising the services, and making it difficult to order them until people really started complaining. The FCC napped.

After getting the last of all State regulator approval earlier this week, Embarq and Centurytel have unveiled the new name and logo for the freshly fused company, According to a company press release, the two companies will now be known as CenturyLink. Once the company receives approval from the FCC (a given), the freshly fused company will have 7.5 million access lines, more than two million broadband customers and more than 400,000 video subscribers across thirty three states. The $11.6 billion deal is at the heart of an interesting new rush toward rural telephone company consolidation.

Last October, the seventh largest ILEC (Centurytel) acquired the fourth largest (Embarq) in a deal estimated to be worth $11.6 billion. Telecompetitor directs our attention to a CenturyTel press release that notes California, Oregon, and Virginia have approved the deal. That leaves just two of the thirty three States the company does business in who've yet to approve the deal. The freshly fused company would have 7.5 million access lines, more than two million broadband customers and more than 400,000 video subscribers.

DSL provider CenturyTel (see our user reviews), who last year acquired Sprint spinoff Embarq in an $5.8 billion dollar deal, says they'll be using LTE technology instead of DSL to deliver broadband service to some rural customers. The first deployments will occur sometime next year in limited areas, according to CenturyTel CEO Glen Post. "It would be 2010 before there would be any significant dollars" spent on an LTE rollout," says Post. "And even then we'll roll out a few markets and then we'll enter (other markets) on a selective basis as we prove success of the technology roll-out." CenturyTel owns enough spectrum to cover about 53% of their service area.

Centurytel recently acquired Sprint spinoff Embarq in an $5.8 billion dollar deal, though filings indicate that Embarq rejected a higher offer. CenturyTel’s offer valued Embarq at $40.42 per share, a 36% premium, while the other mystery bidder offered $40.86, a 37% premium.

This week the seventh largest ILEC (Centurytel) acquired the fourth largest (Embarq) in a deal estimated to be worth $11.6 billion. Users in our Embarq forum are busy trying to figure out what they can expect once the acquisition takes place, after which they'll be customers of a new company with a new name.

On the heels of Charter's decision last week to suspend their use of NebuAD user tracking ad technology, I'm seeing hints that CenturyTel may be doing the same thing. In addition to reworking their privacy page, the company is e-mailing customers who ask to inform them that plans to implement the gear have been "delayed." Carriers are concerned after Congress showed hints they could be investigating the technology because it potentially violates several Federal wiretap and privacy laws.

Customer backlash, fears that the technology could violate several privacy and wiretap laws, and the threat of Congressional investigation caused Charter this week to suspend their trials with behavioral advertising firm NebuAD. But what about the companies who were tinkering with the technology long before Charter? Embarq tells the Washington Times that "We are not currently using behavioral targeting tools and have not decided whether to move forward with them, either through NebuAd or with any other vendor." Their privacy policy still references such systems: story continues..

A debate is raging in the UK over ISPs' use of deep packet inspection hardware to watch consumer surfing habits and sell them targeted ads. The conversation here in the States remains muted, largely because the biggest ISPs haven't implemented such systems yet (given the ceaseless need to please investors, they will).

A new company named NebuAd provides hardware to ISPs that sits on the network, tracking user browsing habits. Using deep packet inspection, the technology tracks what sites you visit, then sends that information to NebuAd.