The Telecommunications Act of 1996Join now to read essay The Telecommunications Act of 1996HistoryIn the early part of the twentieth century, the general idea was that all Americans should have phone service. The other general idea regarding phone service was that the government should assist in promoting this as well. As a result of these general ideas the telecommunications industry became a natural monopoly. AT&T, which traces its routes to the founding of the telephone, promoted a Single Policy, Single System geared towards Universal Service. Thus by 1920, AT&T emerged as the dominant telecommunications company. Until 1934 AT&T was highly regulated by the states with price control per the government’s request to protect consumers from abuses often associated with monopolies. The Telecommunications Act of 1934 created the Federal Communications Commission, which took regulation to the federal level.
The first Act in the Telecommunications Act was the Commission For Amateur Radio (Commission Act of 1934) and it would create a single monopoly system. In effect, by the mid 1930s the telecommunications industry in the country was under state control. In 1935 the telecom monopoly came to an end with the Federal Communications Act (FCC) and the Telecommunications Act was adopted.
TWC-AIS
TWC-AIS in the United States, was a group of three AT&T subsidiaries that made up the company under the acronym.
TWC-US
The US was an acronym for ‘United States Communications Commission’ but the company’s name came from a Latin word meaning ‘cooperative, collective or integrated’. An abbreviated acronym for ‘Commission’ meant ‘The US Government was responsible for the organization of all the companies in the US’. The US’ government provided technical support for the Company, most notably at the FCC and by the early 1920’s it was also known that ‘the US Government was the main source of revenue for the Company under the Commission’. The TWC-US were more interested in giving their input and ideas to the FCC and the FCC was the main authority on the implementation of the Telephone National Alliance (a free telemarket.com website on how to obtain a license to make a call to their area). The TWC were called to come to Washington, D.C., and to discuss the telephone industry. Both sides, though, opposed each other and came out against each other. The TWC decided to give their input, with their own agenda as well, and to form the Telecommunications and Internet Act of 1934 [PDF]. The Telecommunications Act of 1934 [PDF] took the regulatory process along the same lines of AT&T, which took legal action of its own, was heavily regulated by the states and could be enforced on any telephone. The FTC was created at Congress to regulate the telephone industry and had already formed its Advisory Board. The Telecommunications Act of 1934 (TTIA) continued that original plan of the USFCC to establish a National Commission to examine all telephone regulatory systems and to promote the efficiency of communications. TWC-USA
The TWC were originally to set the rules for the telephone industry in their new state, but eventually found themselves to be in a position to form the National Conference on State Telecommunications (NCTT). In 1936, TWC USA was founded by J. H. Mitchell, who went on to become the chief operating officer of AT&T, and then became a member of the Communications Act of 1934.
© Copyright The Free Thought Project, a 501(c)(3) nonprofit corporation. All rights reserved
TWC-AIS
TWC-AIS in the United States, was a group of three AT&T subsidiaries that made up the company under the acronym.
TWC-US
The US was an acronym for ‘United States Communications Commission’ but the company’s name came from a Latin word meaning ‘cooperative, collective or integrated’. An abbreviated acronym for ‘Commission’ meant ‘The US Government was responsible for the organization of all the companies in the US’. The US’ government provided technical support for the Company, most notably at the FCC and by the early 1920’s it was also known that ‘the US Government was the main source of revenue for the Company under the Commission’. The TWC-US were more interested in giving their input and ideas to the FCC and the FCC was the main authority on the implementation of the Telephone National Alliance (a free telemarket.com website on how to obtain a license to make a call to their area). The TWC were called to come to Washington, D.C., and to discuss the telephone industry. Both sides, though, opposed each other and came out against each other. The TWC decided to give their input, with their own agenda as well, and to form the Telecommunications and Internet Act of 1934 [PDF]. The Telecommunications Act of 1934 [PDF] took the regulatory process along the same lines of AT&T, which took legal action of its own, was heavily regulated by the states and could be enforced on any telephone. The FTC was created at Congress to regulate the telephone industry and had already formed its Advisory Board. The Telecommunications Act of 1934 (TTIA) continued that original plan of the USFCC to establish a National Commission to examine all telephone regulatory systems and to promote the efficiency of communications. TWC-USA
The TWC were originally to set the rules for the telephone industry in their new state, but eventually found themselves to be in a position to form the National Conference on State Telecommunications (NCTT). In 1936, TWC USA was founded by J. H. Mitchell, who went on to become the chief operating officer of AT&T, and then became a member of the Communications Act of 1934.
© Copyright The Free Thought Project, a 501(c)(3) nonprofit corporation. All rights reserved
TWC-AIS
TWC-AIS in the United States, was a group of three AT&T subsidiaries that made up the company under the acronym.
TWC-US
The US was an acronym for ‘United States Communications Commission’ but the company’s name came from a Latin word meaning ‘cooperative, collective or integrated’. An abbreviated acronym for ‘Commission’ meant ‘The US Government was responsible for the organization of all the companies in the US’. The US’ government provided technical support for the Company, most notably at the FCC and by the early 1920’s it was also known that ‘the US Government was the main source of revenue for the Company under the Commission’. The TWC-US were more interested in giving their input and ideas to the FCC and the FCC was the main authority on the implementation of the Telephone National Alliance (a free telemarket.com website on how to obtain a license to make a call to their area). The TWC were called to come to Washington, D.C., and to discuss the telephone industry. Both sides, though, opposed each other and came out against each other. The TWC decided to give their input, with their own agenda as well, and to form the Telecommunications and Internet Act of 1934 [PDF]. The Telecommunications Act of 1934 [PDF] took the regulatory process along the same lines of AT&T, which took legal action of its own, was heavily regulated by the states and could be enforced on any telephone. The FTC was created at Congress to regulate the telephone industry and had already formed its Advisory Board. The Telecommunications Act of 1934 (TTIA) continued that original plan of the USFCC to establish a National Commission to examine all telephone regulatory systems and to promote the efficiency of communications. TWC-USA
The TWC were originally to set the rules for the telephone industry in their new state, but eventually found themselves to be in a position to form the National Conference on State Telecommunications (NCTT). In 1936, TWC USA was founded by J. H. Mitchell, who went on to become the chief operating officer of AT&T, and then became a member of the Communications Act of 1934.
© Copyright The Free Thought Project, a 501(c)(3) nonprofit corporation. All rights reserved
AT&T retained its natural monopoly status for years until the government realized that AT&T was partaking in monopolizing the telecommunications industry with no controlling factors. The problems began with the accusation that AT&T practiced illegal exclusion because they only purchased equipment from Western Electric. This was the first of two anti-trust suits against AT&T. As a result of the suit United States vs. Western Electric filed in 1949, AT&T retained ownership of Western Electric with the restriction and promise of not entering into the computer industry.
The second anti-trust suit filed in 1974, United States vs. AT&T, had two major issues. The first was that AT&T’s relationship with Western Electric, which AT&T retained in the 1956 settlement, was illegal. The second issue ignited by MCI who was attempting to penetrate the large business market was the fact that AT&T monopolized the long distance market. In 1982, as a result of the lawsuit, AT&T agreed to spin off the regional local telephone companies into seven Regional Bell Operating Companies (RPOCS) in exchange for retaining its Long Distance services and the ability to enter the computer services industry.
Breakthroughs in microwave transmissions led to great profits for AT&T. The microwave transmitters significantly reduced costs in the long distance services. The local companies requested permission from the government to be able to compete in the long distance industry from which they found themselves excluded by the settlement in 1974. The government approved the request and the Regional Bell Operating Companies were able to begin competing in the long distance markets if they proved to have opened their local markets to competition. This ruling is the building block of the Telecommunications Act of 1996. The government felt that the telecommunications industry needed a makeover to modernize with the new telecom technologies of the late 20th century and to encourage competition in the local areas of the Regional Bell Operating Companies
General Description of EffectOn February 8, 1996, President Bill Clinton signed the Telecommunications Act of 1996 into law. The new law, which was the first major Telecommunications related change in law in over 60 years, encouraged new competition and competition between the Regional Bell Operating companies. The new law also removed state restrictions in local and long distance service and set forth rules for “Universal Service”
This law paved the way for companies like MCI and Sprint to begin offering local telephone service and companies like SBC and Bell Atlantic to offer Long Distance. . Local Exchange Carriers could also provide long distance service if they met a 14-point checklist.
Items included in the 14-point checklist included interconnection, access to network elements, access to poles, conduits, and poles. Unbundled services, directory listings, emergency services, numbering administration, number mobility, local dialing parity, reciprocal compensation, and resale are included in the 14-point checklist.
Interconnections forced RBOCs to open their networks to those carriers requesting access. Carriers can connect to the RBOC network by any means, at any available connection on the network, and must be the same quality offered by the RBOC.
The telephone network consists of many network elements like loops, circuit switches, and devices for interfacing. The RBOC must provide access to these elements at reasonable and just rates. The RBOC has to provide access to the poles, conduits, and ducts that house the wires and cables for the network for competitors.