Jeffery Whippo Discusses the Effect of the 1984 Modified Final Judgment on the Structure of the Telecommunications Industry

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Jeffery Whippo Discusses the Effect of the 1984
Modified Final Judgment on the Structure of the
Telecommunications Industry
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Dr. Jeffery Whippos Explains the 1984 Modified
Final Judgment on the Structure of the
Telecommunications Industry

• Dr. Jeffery Whippo, Ph.D., D.B.A., shares his
  views on how the 1984 Modified Final Judgment on
  the Structure of the Telecommunications Industry
  led to progressive deregulation.
• He explains that the ATT breakup (Modification
  of Final Judgment, "MFJ") in 1984 resulted in
  competition in manufacturing, long distance, and
  information services, while it kept the regime of
  regulated monopoly in local telephony.

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ATT Giving Up Its 22 Local Bell Companies Due To
Pressure from The Court

• Jeff Whippo describes that on January 1, 1984, a
  court forced ATT to give up its 22 local Bell
  companies and established 7 Regional Bell
  Operating Companies (RBOC).
• A few local companies that were not wholly-owned
  subsidiaries of ATT remained independent, but
  the RBOCs were very powerful and covered the US.

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The Effect of the Breakup of ATT

• Jeffery Whippo explains that the direct effect of
  the breakup of ATT was competition in long
  distance.
• Since that time, mergers have reduced the number
  of RBOCs to four Verizon (originally Bell
  Atlantic and Nynex), Qwest (Qwest Communications
  International took over US West), BellSouth and
  SBC (originally Southwestern Bell and Pacific
  Telesys).

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Heres What More the Modification of Final
Judgment Led To

• Dr. Whippo says that in parallel, the wireless
  telephony grew to great success.
• The "world wide web" emerged as a ubiquitous
  network "living" on top of the telephone network,
  and cable television achieved high penetration.
• Furthermore, that Modification of Final Judgment
  led to new (and cheaper) wireless services
  (Personal Communications Services "PCS") and
  direct satellite broadcast to the market.

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Thank YouJeffery(Jeff) D Whippo