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Article: XO Study Shows SBC And Verizon Act in Tacit Agreement Not To Compete.
- Article from:
- Business Wire
- Article date:
- October 21, 2005
CopyrightCOPYRIGHT 2005 Business Wire. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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RESTON, Va. -- Former FCC Chief Economist Simon J. Wilkie Finds SBC Will Reap $1 Billion - And Verizon $400 Million - From Tacit Collusion Following Mergers
SBC and Verizon will realize $1.4 billion by colluding not to compete with one another in the wholesale market following their respective mergers with AT&T and MCI, according to a new study by FCC former Chief Economist Simon J. Wilkie.
In an ex parte filed at the Federal Communications Commission on behalf of XO Communications, Inc. (OTCBB:XOCM.OB), Wilkie finds that SBC and Verizon deliberately pursue a strategy of tacit collusion not to compete today, and that this will continue as an "equilibrium ...
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