Wireless Suddenly Enticing To AT&T, MCI

from the change-of-heart dept

I was surprised a few years ago when AT&T announced plans to break into different groups and spin off their wireless and broadband sections into completely separate companies. I was wondering what that left Ma Bell with (other than cash from the spinoffs) – since it’s been pretty clear for some time that mobile phones and internet connections are increasingly going to take away money from regular phone service. However, they went through with it, and are suddenly realizing that they could really use a wireless offering – so they’re forced to go make a deal with their former division AT&T Wireless. Meanwhile, MCI, which ditched their own wireless offerings a while back, has realized the same thing, and is trying to make a deal of their own (possibly with T-Mobile). It makes you wonder why they bothered to ditch these plans in the first place. It was fairly obvious years ago that this was the direction things would, and offering a bundled solution was a way to protect a core business from cannibalization.

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