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Did the telecoms break the law?
Should Telecoms Break Up? AlterNet's David Rosen and Bruce Kushnick make a case for the break-ups of the telecommunications trust, which provides "overpriced and inferior service, and [is] systematically overcharging the hapless American consumer".
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That got Schaeffer into telecom.
"The allegations that the Conservative Party and Blue Telecoms broke electoral law during a general election campaign are extremely serious and the public need to have confidence in our electoral process.
Regulation in some industries, such as telecoms, is broken.
The worries here involve mainly "concentration risk"—the risk that banks have too many eggs in one basket, and if the telecoms basket breaks, so will the banks.
If one telecom line breaks down, others take over.
The CEO said the deal was now just "a question of price," but he said he was uncertain whether News Corp. was indeed the lone bidder: U.S. telecom SBC Communications broke off talks this week with Hughes, but some have murmured that Cablevision Systems may be interested.
This was not a hands-off policy; AT&T's nationwide telecoms monopoly was broken up, and price-fixing arrangements were vigorously prosecuted.
Once the disincentive to invest is removed, the industry seems sure to see a rash of innovation of the sort seen in telecoms after the break-up of AT&T.
Telefónica has bid $3.7 billion for the firm, topping Vivendi's earlier offer by 14%.Since Brazil's telecoms monopoly was broken up and privatised in 1998, the number of landlines has more than doubled from 17m to 41m.
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