FCC Chairman Hopes to Quickly Pass AT&T-BellSouth Merger Deal

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FCC Chairman Hopes to Quickly Pass AT&T-BellSouth Merger Deal

11:03 am on September 25, 2006 | Category: Business, Telecom Services, Regulation

FCC Chairman, Kevin Martin, has recommended that the proposed merger of AT&T and BellSouth be given unconditional regulatory approval at the first possible opportunity, sources indicated late last week.

Martin has reportedly circulated the initial merger proposal to all five FCC commissioners, and hopes that a vote on the issue will be held at a meeting scheduled for October 12. An FCC spokeswoman declined to comment on the accuracy of these details.

When the FCC does vote on the AT&T merger deal, it is still unclear whether the majority of commissioners will vote for unconditional approval. Robert McDowell, one of the three Republican commissioners may be forced to sit out of the vote due to the fact that he previously worked for a trade group representing AT&T’s competitors.

That means that Mr. Martin, also a Republican, will need to gain support from at least one of the FCC’s two Democrat members for the merger to pass without restriction. If this doesn’t happen, the whole proposal will need to be re-worked to include certain conditions.

Antitrust authorities at the Justice Department will also need to approve the AT&T-BellSouth deal before it is able to proceed.