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Yes (There is something you are missing)

Elsewhere on TMF boards other professional industry analysts and myself have discussed the ISP component of the restructuring of the Telecom business that is happening right now. The gist of it is that all the good players are trying to form bundled presentations for their customers that include everything in one "convenient monthly statement" through one pipe.

It is essential for the RBOCs to capture and hold their traditional constituencies until the technology shakes out, the M&A smoke clears and the price is set by the big players.

There ain't no free lunch or ISP. Furthermore, profits aren't necessary for a company who gets cash flow from somewhere else. Market control is the issue.

ATT has already said that they are likely to offer free long distance calling as part of a package of total communications access in the near future. Some of us have estimated that when they can make a profit at $100 a month for everything, including telephone, TV, internet, and who knows what else, that every Telco in the country will follow.

So, what you are missing is that individual issues like Free Internet or Free Long Distance (my mobile service already offers that) or free Cable TV simply don't matter by themselves. They are just hooks.

Keep watching the developments with QWEST, KPN, and even Vodaphone and Mannesmann. If BellSouth keeps playing its hand as well as it has, it will be one of the biggest and most profitable players in the global communications business.
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