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story category AT&T Shifts Focus...Again
Won't take on new long distance customers
(old news - 05:31PM Thursday Jul 22 2004)
tags: business
Ma Bell isn't what she once was. AT&T has announced they will no longer be providing long distance service to new residential customers, citing regulatory changes as their primary reason. The residential landline business isn't where the money is anyway; the company will instead spend time focusing on business services, and the battle with Verizon and company on the suddenly very crowded VoIP battlefield. AT&T has lived a very schizophrenic existence since its glory days, spinning off wireless units and leaving a failed Northpoint Experiment and an attempt at cable broadband in their wake.

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Forums » AT&T Shifts Focus...Again
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Doctor Olds
I Need A Remedy For What's Ailing Me.
Premium,VIP
join:2001-04-19
1970 442 W30
clubs:

Typical AT&T mindset - Dinosaurs

Running headstrong into extinction.

Mospaw
Head Ache
Hawaiian Jellyfish
join:2001-01-08
The Pacific
·Cox HSI

Host:
Road Warriors, Not..
All Things Macintosh
Automotive

Re: Typical AT&T mindset - Dinosaurs

said by Doctor Olds See Profile:
Running headstrong into extinction.

I hope so.

Once they eliminated customer service after the sale as part of the equation, they lost me as a customer for ANY AT&T-branded product or service.
bmn
? ? ?
Premium,ExMod 2003-06
join:2001-03-15
hiatus

said by Doctor Olds See Profile:
Running headstrong into extinction.
I was thinking the same thing... ATT is systematically digging their own grave by taking on failed venture after failed venture while cutting its real revenue sources.

Before you know it, they'll be teaching kids in business "schools" how not to run a busines using the following examples:

1. Enron
2. Tyco
3. Global Crossing
4. ATT
--
If there's one thing that I've learned, its that people don't want the real truth, only THEIR truth...

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:

Re: Typical AT&T mindset - Dinosaurs

said by bmn See Profile:
I was thinking the same thing... ATT is systematically digging their own grave by taking on failed venture after failed venture while cutting its real revenue sources.
AT&T's problem isn't so much failed forays into new business (although I do agree AT&T has been rather schizophrenic lately with getting into and out of cable -- which could have saved them in the residential space, spinning off AT&T Wireless, etc.) nearly as much as corporate bloat. That bloat has resulted in AT&T being very uncompetitive on price thus losing residential and small business customers to the innumerable Qwest/Global Crossing/WilTel resellers, VoIP, wireless, and the Bell teens' LD plans (at least one of which partly resells AT&T) left and right; about all AT&T has left are somewhat captive customers -- large corporate customers that have needs that only the Big Three carriers (AT&T, MCI, and Sprint) can possibly handle, and its share of the FTS2000 Federal telecom contracts.

I think that AT&T may have been better served by licensing the brand name for consumer services to someone else (like AT&T did with telephone equipment -- "AT&T" phones are actually Vtech phones nowadays) instead of just getting out of the market entirely except for CallVantage (which is IMO a joke.)

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

No-Bull SE US Wireless Info: »www.sewireless.info/
Atlanta Apt/Condo Cable & Broadband Info: »www.atlaptcable.info/
hedyd4u
Premium
join:2003-12-16
Schenectady, NY

Re: Typical AT&T mindset - Dinosaurs

You mention the big three Forbes super rankings for 2003 Verizon #8 and the first Telecom company SBC was #13 Bellsouth #37 AT&T #47 Sprint #83 quest #202. So much for the so called big three. MCI Worldcom or who ever they will be when they commit their next big fraud ??

Logan 5
Silver and Black and blue in 2009
Premium,MVM
join:2001-05-25
The WasteLAN
·Pacific Bell - SBC

What makes them think

That anything they attempt to do will not end up another casualty like northpoint et. al. Their track record of multiple failures speaks for itself.

Remember this gem from last week?
»AT&T Eyeing BPL? LOL

copperdoctor
Premium
join:2003-12-08
Palatine, IL

Smoke and mirrors

Anyone think this might just be a smoke signal to get regulators attention?
BizFinancing
Premium
join:2003-01-10
Port Orchard, WA


2 edits

Re: Smoke and mirrors

Doubt it since the company made it's biggest mistake by making Armstrong their former CEO.

Since then, they have made nothing but bad business decisions which they are now trying to correct.

With out a good management team to realize their mistakes and start making the right decisions they will end up like many other telecoms .... a part of history.

Besides, they have spent so much time and energy on other areas of business such as cable, wireless and residential LD .... they have allowed their competitors to undermine their core business.

Plus with VoIP gaining in popularity, traditional LD services will be on the path to extinction over the next few years.

micl
Visit Lovely Downtown Port Starboard
Premium
join:2001-10-25
Silver Spring, MD

said by copperdoctor See Profile:
Anyone think this might just be a smoke signal to get regulators attention?

I think it is obvious that the regulators (i.e. the FCC) aren't listening.
--
If I don't see you in the future, I'll see you in the pasture
IanR

join:2001-03-22
Madison, NJ

AT&T name recognition

I know so many people who still rely upon the brand AT&T. For them to exit this market, more or less, is a huge waste of a brandname. They should sell the name to another company which can manage a real consumer business on a lower cost basis.

goover

join:2001-10-03
Skokie, IL

Re: AT&T name recognition

I agree that AT&T brand is highly recognizable... as the name you should avoid at any cost

Transmaster
Don't Blame Me I Voted For Bill and Opus

join:2001-06-20
Cheyenne, WY

If you are wondering

I h have mentioned Qwest dumped all of the old Bell System
exec's well guess where they all went....you quessed it, AT&T:)
--
»www.gobpl.com

micl
Visit Lovely Downtown Port Starboard
Premium
join:2001-10-25
Silver Spring, MD

Re: If you are wondering

said by Transmaster See Profile:
I h have mentioned Qwest dumped all of the old Bell System
exec's well guess where they all went....you quessed it, AT&T:)

Except for Dick Notebart of course.
--
If I don't see you in the future, I'll see you in the pasture

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:

said by Transmaster See Profile:
I h have mentioned Qwest dumped all of the old Bell System
exec's well guess where they all went....you quessed it, AT&T:)

And what's even funnier is the fact that most of the competitors who have destroyed AT&T's residential LD business by undercutting them on price use the same underlying carrier -- you guessed it, Qwest. (Three of the past four "cheap" LD carriers I've used use Qwest as their underlying carrier; the fourth uses Global Crossing here, but Qwest in other states.)

I believe in five years or less AT&T will be no more -- probably eaten by BellSouth, if they don't eat Sprint first.

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

No-Bull SE US Wireless Info: »www.sewireless.info/
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Voyager2K2

join:2001-10-04
Wayne, PA

1 edit

Just Like the US Government

Everything ATT touches has turned to poop.

As the aging old giant lumbers off into the sunset we wave goodbye.
BosstonesOwn

join:2002-12-15
Everett, MA
clubs:
·Comcast
·Comcast Formerly ..

Re: Just Like the US Government

They still own a huge chunk of backbone here in the us. If I was them I would offer dsl via the purchased assets and off voip. They have a decent backbone and with some key advances there they could really take the company into the future.

However with ftth looming. I think the smartest move would be to wait a bit and offer a true voip only service using their large backbone. Give voip qos and then go after corporate America checks. Offer Voice and net for one low cost Or at least that is how I would try and build the company back up. Since they are known for long distance and telephone service why not use it to your advantage
When they control the ip's going to customers voip boxes they could also make the pops redirect ip's voip calls to 911 or emergency services to a local emergency location and supply the Companies information in the call. But that would be my approach
--
This package does not contain a winner...

Voyager2K2

join:2001-10-04
Wayne, PA
·Verizon FIOS

Re: Just Like the US Government

said by BosstonesOwn See Profile:
But that would be my approach

Way too logical.
You're not ATT material BosstonesOwn.

deadmeat
Premium
join:2003-03-21
Sonoma, CA

said by BosstonesOwn See Profile:
They still own a huge chunk of backbone here in the us. If I was them I would offer dsl via the purchased assets and off voip.

I believe as part of selling ATT broadband they aren't allowed to supply dsl.

KoolMoe
Aw Man
Premium
join:2001-02-14
Annapolis, MD
clubs:
·Verizon FIOS
·Speakeasy

Re: Just Like the US Government

Oh, hmmm, I do remember hearing something about that...I wonder how long it's in effect?
Cause if turning to broadband is T's strategy, then my guess is Covad will be getting a fat offer sometime soon. If that works out, all the little DSL players (DSLN, NE, etc) will get snapped up if their coverage and customer base is big enough (good luck, LB!;))
That's my guess anyway.
KM
--
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BosstonesOwn

join:2002-12-15
Everett, MA
clubs:
·Comcast
·Comcast Formerly ..

I believe it was to not be able to supply broadband via cable. And not via dsl. But I would find a way around it if it was me
--
This package does not contain a winner...

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:

said by deadmeat See Profile:
I believe as part of selling ATT broadband they aren't allowed to supply dsl.
I believe that proviso only applies in markets where they or Comcast had cable operations -- I don't think AT&T has ever been barred from areas like NYC, New Orleans, etc. where AT&T BB and Comcast have no presence.

That said, the recent changes in the UNE-P rules wouldn't make doing DSL feasible. What's surprising is AT&T deciding to quit selling not only residential local (which *is* taking a hit because of the UNE-P mess), but residential LD as well, which UNE-P rules don't even touch -- I guess AT&T finally realized they will never be able to compete on price with the many Qwest/Global Crossing/WilTel resellers because of their corporate bloat, and just threw in the towel. I personally believe AT&T's fatal mistake with respect to residential services was getting out of the cable business -- yeah, AT&T Broadband had severe problems in some markets, like Atlanta, but owning your own network is almost always a Good Thing.

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

No-Bull SE US Wireless Info: »www.sewireless.info/
Atlanta Apt/Condo Cable & Broadband Info: »www.atlaptcable.info/

Dad0

@attbi.co

A Duplictous ploy- a little too transparent though

It looks to me like they are trying to elicit regulatory sympathy. Don't forget this is not the same company it once was, new leadership. Leadership from Worldcom, Quest, IBM, and Concert. All failed companies......

Running it to the ground seems to be the other goal. Todays announcement will further depreciate the stock price, thus accomplishing David Dormans goal: selling the company.

L

Rhobite
Premium
join:2002-02-24
Cambridge, MA
clubs:

What do they do now?

What does AT&T do nowadays? They exit so many market segments, it seems to be what they're best at. Perhaps they could contract their services out to other dinosaurs such as HP and SCO.
--
Jimmysquid.com - I take pictures.
mishaq
Premium
join:2004-01-24
Richardson, TX
clubs:

Re: What do they do now?

It was nice knowing you, Ma Bell
--
Damn you FCC!

viperpa33s
Why Me?
Premium
join:2002-12-20
Bradenton, FL

They deserved what's coming

Due to AT&T's blunders my brother just found out today he is out of a job. Thanks to Michael Armstrong, he took a great company down to a blundering mess. Though the current CEO got his pay raise while most of everyone else is losing there job.
Gilitar

join:2000-11-20
Mobile, AL

Re: They deserved what's coming

No more cable. No more wireless. No more long distance. What exactly does AT&T offer?

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:

Re: They deserved what's coming

said by Gilitar See Profile:
No more cable. No more wireless. No more long distance. What exactly does AT&T offer?
Corporate services...and CallVantage.

-SC
stridr69

join:2003-05-19
San Luis Obispo, CA


3 edits

Old vs New

Dear American Telephone and Telegraph.
I'm so sorry that you've decided to abandon the residential market for your telephone service. For the past 150 years, you've set the benchmark for what phone service was all about.
You were the World's benchmark for local and long distance service in reliability.
In fact, AT&T is what brought down the "Pony Express", what made the U.S. Rail system run on time, what made the "United" in the Unites States.
And now...you're bail'in because you didn't see the future, didn't see the internet revolution, but decided to live in the past-hoping your reputation will carry you on...
well..looks like you f@#$-up.
...and I will always wonder why..for a company that USED to be in the forefront, could end up being SO far behind..
Damn..you were SO good...
WTF happened?
Signed:
Former AT&T Customer.
now a Verizon Wireless customer

odnc
Premium
join:2002-02-04
Richmond, VA

The Bell System reborn?

Is anything preventing the Baby Bells from collectively purchasing AT&T's network?
--
This country needs an enema.

jasshultz

join:2000-06-10
Modesto, CA

Re: The Bell System reborn?

They had looked into merging with BellSouth many years ago after the first Telecom Act of 1996 was passed but the FCC/FTC quickly gave them a heads up and so it didn't happen. Now, though, it's possible. Since BellSouth is the only RBOC left that didn't merge with another company it might be a good fit.

jas
www.openskymedia.com
www.blastednews.com
Forums » AT&T Shifts Focus...Again


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