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I work for SBC Telecommunication which is the second largest telecommunication company in the world, and is ranked number 24 on Fortune’s Magazine top 500 businesses in the world. SBC operates in thirteen states. SBC has been trying to enter the long distance market for over 18 years but to no avail. The Federal Communication Commission (FCC) and the Public Utilities Commission (PUC) kept denying their request to provide long distance service. SBC was told on many occasions that they had an unfair advantage over the other long distance companies. That they were a monopoly that gave them an unfair advantage over other telecommunication companies. The telecommunication business is one the most competitive business’s in the world. Long distance companies such as SBC, AT&T, Verizon, MCI, and Sprint are constantly fighting to stay on top. For SBC, getting into the long distance market was fundamental for their continued success. They were losing thousands of customers because other companies could offer local and long distance telephone service while SBC could only offer local telephone service. In the beginning Long distance companies like AT&T, MCI, and Sprint controlled the long distance markets. Baby Bell companies like SBC, Verizon, and Bell South controlled the local telephone markets. Long distance companies could provide local Collier 2 telephone services to customers, but did not because it was not profitable for them.
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