Monday, January 31, 2005

Is the Party Over for the RBOCs as Powell Steps Down?

We’re not sure if the party’s over for the RBOCs, but it must have felt like the last call for alcohol when word leaked that Michael Powell would be stepping down in March. Not that it matters much any longer as the market has proven to be a much stronger foe to the RBOC’s competitors than Mr. Powell, but he’s going to be missed by the Baby Bells. His departure will likely mean more regulation of the RBOC’s. With the strength of the moral values vote helping to reelect our incumbent president, look for Bush to appoint someone with a more regulatory bent. The new FCC Chief’s primary target would certainly be the broadcasters, but the telcos are part of the Chief’s tribe as well.

FCC Chairman Powell to Step Down in March