Local Telephone Competition Heats Up

Fortnightly Magazine - July 1 1995
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The Michigan Public Service Commission (PSC) will allow MFS Intelenet of Michigan to compete with Ameritech Michigan in the Detroit and Ann Arbor area exchanges. The PSC said state telecommunications law supports competition and that the applicant was qualified to enter the business. It rejected claims that the certificate should be denied due to concerns over possible cross-subsidization between the applicant and its holding company, MFS Communications Co. According to the PSC, consumers were well protected from such abuses under existing regulations. Also, the PSC had already granted a competitive certificate for local telephone service in Grand Rapids. Re MFS Intelenet of Mich., Case No. U-10721, May 9, 1995 (Mi.P.S.C.).

The Kentucky Public Service Commission (PSC) is investigating the costs and benefits of further opening the telecommunications market in the state by authorizing switched local-access competition. In addition to a study of the unbundling of network services, number portability, and local dialing parity, the PSC has requested comments on preserving and expanding universal service as well as the potential need for changing nontraffic-sensitive access charges. Re Local Competition, Universal Serv., & Non-traffic Sensitive Access Rate, Admin. Case No. 355, Apr. 21, 1995 (Ky.P.S.C.). t

Phillip S. Cross is an associate legal editor of PUBLIC UTILITIES FORTNIGHTLY.

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