Babcock Issues Reports on BellSouth and SBC Communications
27 Octubre 2003 - 4:30PM
PR Newswire (US)
Babcock Issues Reports on BellSouth and SBC Communications
GREENWICH, Conn., Oct. 27 /PRNewswire/ -- The Babcock Group LLC
today issued reports on the third quarter results for BellSouth
Corporation and SBC Communications Inc. Interested parties are
encouraged to contact The Babcock Group for full copies of the
reports. The following points outline the key takeaways from The
First Mile Bulletin on each company. * The Bells were able to
deliver sequential revenue growth on a consolidated basis thanks to
aggressive sales of long distance, DSL, and wireless services that
offset the decline of each company's local services business. *
While BellSouth and SBC cumulatively lost 1.3 million retail local
access lines to the weak economy, competition, and substitution
during 3Q03, they more than offset those losses by adding 3.9
million revenue generating units (RGUs) in long distance, DSL, and
wireless. * The Bells have had success in slowing local market
share gains by competitive carriers in markets where the Bells are
able to offer long distance service on a bundled basis. BellSouth
and SBC each saw lines lost to UNE-P decline over the past two
quarters. * The rapid and successful entry of the Bells into the
long distance market highlights the ongoing need for UNE-P as a
device to maintain competitive balance and consumer choice in the
industry as the major long distance carriers enter the local
market. * The Bells are leading the industry with respect to
bundling and marketing innovation - a trend we have not witnessed
in the past. CLECs, IXCs and Cable MSOs focused on the mass market
find themselves in catch-up mode trying to compete with Bell
bundles. * 4Q03 will be a critical period for the Bells as
competitive activity from AT&T, MCI, and Sprint will escalate
as a result of expanded local rollout plans that were announced
following the FCC's Triennial Review Order. * 2004 will be
interesting to watch in order to determine whether the
much-publicized threats from Cable Telephony and Voice Over
Internet Protocol (VoIP) technologies actually materialize as
competitive forces. The Babcock Group LLC publishes The First Mile
Bulletin reports in order to provide its corporate clients in the
communications sector with timely updates on key events and issues
in the telecommunications industry. The First Mile Bulletin focuses
on competitive, regulatory, and strategic issues in its coverage of
companies in the telecommunications industry. For further
information on The First Mile Bulletin, please contact: DATASOURCE:
The Babcock Group LLC CONTACT: Rich Lukaj of The Babcock Group LLC,
+1-203-422-0932
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