AT&T

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AT&T Inc. (NYSE: T) is an American multinational telecommunications corporation headquartered in Whitacre Tower, Dallas, Texas, United States. It is the largest provider of mobile telephony and fixed telephony in the United States, and is also a provider of broadband and subscription television services. As of 2010, AT&T is the 7th largest company in the United States by total revenue, as well as the 4th largest non-oil company in the US (behind Walmart, General Electric and Bank of America). It is the 3rd largest company in Texas by total revenue (behind ExxonMobil and ConocoPhillips) and the largest non-oil company in Texas. It is also the largest company headquartered in Dallas.[4] In 2011, Forbes listed AT&T as the 14th largest company in the world by market value[5] and the 9th largest non-oil company in the world by market value.[6] It is the 20th largest mobile telecom operator in the world with over 96 million mobile customers.[7]
Southwestern Bell Corporation was one of seven Regional Bell Operating Companies that were incorporated in 1983 by AT&T Corp following the break-up of the original AT&T as a result of the United States v. AT&T antitrust suit. The company changed its name in 1995 to SBC Communications Inc. and again in 2005 to AT&T Inc. after it purchased its former parent company, AT&T Corporation. The newly merged company took on the iconic AT&T logo and stock-trading symbol (NYSE: T, for "telephone").
The current AT&T reconstitutes much of the former Bell System and includes ten of the original 22 Bell Operating Companies along with one it partially owned (Southern New England Telephone), and the original long distance division.[8] The company is headquartered in downtown Dallas, Texas.[9]
Contents [hide]
1 History
1.1 1984–1994: Southwestern Bell Corporation
1.2 1995–2000: Changes in the company
1.3 2000–2005: One national brand, AT&T Corp. acquisition
1.4 BellSouth acquisition
1.5 2007–2008 restructuring
1.5.1 Transition to new media
1.5.2 Corporate headquarters move
1.5.3 Job cuts
1.6 Post-consolidation wireless acquisitions
1.6.1 Cellular One acquisition
1.6.2 Centennial acquisition
1.6.3 Wayport acquisition
1.6.4 Qualcomm spectrum
1.6.5 T-Mobile USA acquisition
2 Bell Operating Companies
2.1 Former operating companies
3 Corporate structure
4 Corporate governance
5 Criticism and controversies
5.1 Contributions to political campaigns
5.2 Wireless service
5.3 Censorship controversy
5.4 Privacy controversy
5.5 Intellectual property filtering
5.6 Discrimination against local Public-access television channels
5.7 Information security
6 Naming rights and sponsorships
6.1 Buildings
6.2 Venues
6.3 Sponsorships
6.4 Miscellaneous
7 Global presence
8 See also
9 References
10 External links
[edit]History

[edit]1984–1994: Southwestern Bell Corporation
American Telephone and Telegraph Company officially transferred full ownership of Southwestern Bell Telephone Company to Southwestern Bell Corporation on January 1, 1984. It had three other subsidiaries: Southwestern Bell Publications, Inc., a directory publisher; Southwestern Bell Mobile Systems, Inc., in the business of mobile telephone service; and Southwestern Bell Telecommunications, Inc., focusing on marketing phone equipment to business customers. The holding companies' new president was Zane Edison Barnes.


Southwestern Bell Corporation logo, 1992-1995
In 1987, SBC bought Metromedia Inc.'s cellular and paging business. This in turn boosted the company to third largest cellular-communications company in the United States; behind McCaw Cellular and Pacific Telesis. In January 1990 Edward Whitacre took over as president of Southwestern Bell. The Headquarters was moved from St. Louis to San Antonio, Texas in February 1993. It acquired 2 cable companies in Maryland and Virginia from Hauser Communications for 650 million dollars, becoming the first regional Bell telephone company to acquire a cable company outside of its service area. In 1994 they called off a $1.6 billion acquisition attempt for 40 percent of Cox Cable due to FCC rules on cable companies. SBC would later start selling its current cable company interests.
[edit]1995–2000: Changes in the company
In 1995 Southwestern Bell Corp. became SBC Communications. They then combined Southwestern Bell Telecom division (which made telephone equipment) into the company, due to new FCC rules.
In 1996 SBC announced it would acquire Pacific Telesis Group, a RBOC in California and Nevada. 1997 brought rumors of a proposed merger between AT&T Corporation (the USA's largest long distance provider) and SBC (the USA's largest local provider). The FCC disapproved of the merger, and it came to end. Later in 1997 SBC sold its last two cable companies, exiting the cable telecom field.
January 1998, SBC announced it would take over Southern New England Telecommunications Corp. (SNET) for $4.4 billion in stock (the FCC would approve in October 1998). SBC also won a court judgment that would make it easier for RBOCs to enter the long distance phone service, but it was being challenged by AT&T and the FCC. May 1998 Ameritech and SBC announced a $62 billion dollar merger, in which SBC would take over Ameritech. After making several organizational changes (such as the sale of Ameritech Wireless to GTE) to satisfy state and federal regulators, the two merged on October 8, 1999. The FCC later fined SBC Communications $6 million for failure to comply with agreements made in order to secure approval of the merger. SBC became the largest RBOC until the Bell Atlantic and GTE merger. 1998 revenues were $46 billion, placing SBC among the top 15 companies in the Fortune 500.
January 1999 SBC announced it would purchase Comcast Cellular, for $1.7 billion, plus $1.3 billion of debt. During 1999 SBC continued to prepare to be allowed to provide long distance phone service. February SBC acquired up to ten percent of Williams Companies' telecommunications division for about $500 million, who was building a fiber optic network across the country and would carry SBC's future service. On November 1, 1999, SBC became a part of the Dow Jones Industrial Average.
[edit]2000–2005: One national brand, AT&T Corp. acquisition

This section needs additional citations for verification. Please help improve this article by adding citations to reliable sources. Unsourced material may be challenged and removed. (February 2010)
In 2002, SBC ended marketing its operating companies under different names, and simply opted to give its companies different doing business as names based on the state (a practice already in use by Ameritech since 1993), and it gave the holding companies it had purchased d/b/a names based on their general region.


SBC-AT&T legacy transition logo, used 2005–2006
On January 31, 2005, SBC announced that it would purchase AT&T Corp. for more than US$16 billion. The announcement came almost eight years after SBC and AT&T (also known as American Telephone & Telegraph Corp.) called off their first merger talks and nearly a year after initial merger talks between AT&T Corp. and BellSouth fell apart. AT&T stockholders meeting in Denver, approved the merger on June 30, 2005. The U.S. Department of Justice cleared the merger on October 27, 2005, and the Federal Communications Commission approved it on October 31, 2005.
The merger was finalized on November 18, 2005.[10] Upon the completion of the merger, SBC Communications adopted the AT&T branding, and changed its corporate name to AT&T Inc. to differentiate the company from the former AT&T Corporation. On December 1, 2005, the merged company's New York Stock Exchange ticker symbol was changed from "SBC" to the traditional "T" used by AT&T.
The new AT&T updated the former AT&T's graphic logo; however the existing AT&T sound trademark (voiced by Pat Fleet) continues to be used.
[edit]BellSouth acquisition
On Friday December 29, 2006, the Federal Communications Commission (FCC) approved the new AT&T's acquisition of a regional Bell Operating Company, BellSouth, valued at approximately $86 billion (or 1.325 shares of AT&T for each share of BellSouth at the close of trading December 29, 2006).[11] The new combined company retained the name AT&T.[12] The deal consolidated ownership of both Cingular Wireless and Yellowpages.com, once joint ventures between BellSouth and AT&T. All services, including wireless, became offered under the AT&T name.[13]
[edit]2007–2008 restructuring
[edit]Transition to new media


The AT&T Switching Center in downtown Los Angeles.
In June 2007, AT&T's new chairman and CEO, Randall Stephenson, discussed how wireless services are the core of "The New AT&T".[14] With declining sales of traditional home phone lines, AT&T plans to roll out various new media such as Video Share, U-verse, and to extend its reach in high speed Internet into rural areas across the country. AT&T announced on June 29, 2007, however, that it was acquiring Dobson Communications. It was then reported on October 2, 2007 that AT&T would purchase Interwise[clarification needed] for $121 million, which it completed on November 2, 2007. On October 9, 2007, AT&T purchased 12 MHz of spectrum in the prime 700 MHz spectrum band from privately-held Aloha Partners for nearly $2.5 billion; the deal was approved by the FCC on February 4, 2008. On December 4, 2007 AT&T announced plans to acquire Edge Wireless, a regional GSM carrier in the Pacific Northwest.[15] The Edge Wireless acquisition was completed in April 2008.[16]
[edit]Corporate headquarters move
On June 27, 2008, AT&T announced that it would move its corporate headquarters from 175 East Houston Street in San Antonio to One AT&T Plaza in Downtown Dallas.[9][17] The company said that it moved to gain better access to its customers and operations throughout the world, and to the key technology partners, suppliers, innovation and human resources needed as it continues to grow, domestically and internationally[18]
AT&T Inc. previously relocated its corporate headquarters to San Antonio from St. Louis in 1992, when it was then named Southwestern Bell Corporation. The company's Telecom Operations group, which serves residential and regional business customers in 22 U.S. states, remains in San Antonio.[citation needed]
Atlanta continues to be the headquarters for AT&T Mobility, with significant offices in Redmond, Washington, the former home of AT&T Wireless. Bedminster, New Jersey is the headquarters for the company's Global Business Services group and AT&T Labs. St. Louis continues as home to the company's Directory operations, AT&T Advertising Solutions.[19]
[edit]Job cuts
On December 4, 2008, AT&T announced they would be cutting 12,000 jobs due to "economic pressures, a changing business mix and a more streamlined organizational structure".[20]
[edit]Post-consolidation wireless acquisitions
[edit]Cellular One acquisition
On June 29, 2007 AT&T announced that they had reached an agreement to purchase Dobson Cellular, which provided services in the US under the name Cellular One in primarily rural areas. The closing price was $2.8B USD, or $13 per share. AT&T also agreed to assume the outstanding debt of $2.3B USD. The sale completed on November 15, 2007, with market transition beginning December 9, 2007.[21]
[edit]Centennial acquisition
On November 11, 2008, AT&T announced a $944 million buyout of Centennial Communications Corp. The acquisition is subject to regulatory approval, the approval of Centennial’s stockholders and other customary closing conditions. Welsh, Carson, Anderson & Stowe, Centennial’s largest stockholder, has agreed to vote in support of this transaction. In an attempt to quell regulators, on May 9, 2009 AT&T entered an agreement with Verizon Wireless to sell off certain existing Centennial service areas in the states of Louisiana and Mississippi for $240 million pending the successful merger of AT&T and Centennial.[22]
[edit]Wayport acquisition
On December 12, 2008, AT&T acquired Wayport, Inc., a major provider of Internet hotspots in the United States. With the acquisition, AT&T's public Wi-Fi deployment climbed to 20,000 hotspots in the United States, the most of any U.S. provider.[23]
[edit]Qualcomm spectrum
On December 20, 2010, AT&T and Qualcomm announced that AT&T would buy $1.93 billion worth of spectrum from Qualcomm. Formerly used for FLO TV, this spectrum will be used to expand AT&T's 4G wireless services. AT&T already had spectrum for the purpose close to what it is buying.[24]
[edit]T-Mobile USA acquisition
Main article: Merger of AT&T and T-Mobile USA
On March 20, 2011, AT&T announced its intention to buy T-Mobile USA for $39 billion from Deutsche Telekom. The deal comes with 33.7 million subscribers, making AT&T the largest mobile phone company in the United States.[25][26] If the deal goes through AT&T would have a 43% market share of mobile phones in the U.S. making AT&T significantly larger than any of its competitors. Regulators question the effects such a deal will have on both competitors and consumers.[25] AT&T CEO Randall Stephenson however stated that the merger would increase network quality and would lead to large savings for the company. AT&T stated it may have to sell some asset to gain approval from regulators, but state they have done their "homework" on regulations.[27]
Reaction to the announced merger has generated both support as well as opposition among various groups and communities.
The merger has garnered support from a wide number of civil rights, environmental, and business organizations. These include the NAACP, League of United Latin American Citizens, Gay & Lesbian Alliance Against Defamation (GLAAD), League of United Latin American Citizens (LULAC), and the Sierra Club.[28] Labor organizations such as the AFL-CIO, Teamsters, and the Communications Workers of America also voiced support for the merger. These organizations point to AT&T's commitment to labor, social, and environmental standards. Many of these organizations have also cited how the merger is likely to accelerate 4G wireless deployment, thus helping underserved communities such as rural areas and disadvantaged urban communities.[28] According to the NAACP, the merger will "advance increased access to affordable and sustainable wireless broadband services and in turn stimulate job creation and civic engagement throughout our country."[28]
As of August 2 the governors of 26 states have written letters supporting the merger.[29] On July 27 the attorneys general of Utah, Alabama, Arkansas, Georgia, Kentucky, Michigan, Mississippi, North Dakota, South Dakota, West Virginia, and Wyoming sent a joint letter of support to the FCC.[29] As of August 2011 state regulatory agencies in Arizona and Louisiana have approved the acquisition.
A diverse group of industry and public-interest organizations are opposed to AT&T's merger with T-Mobile. Consumer groups including Public Knowledge, Consumers Union, Free Press and the Media Access Project are publicly opposed to AT&T merger. These groups have influence with Democrats at the Federal Communications Commission and in Congress. These organizations fear that the merger will raise prices and stifle innovation by consolidating so much of the wireless industry in one company. Free Press and Public Knowledge have started letter-writing campaigns against the deal.[30]
Internet companies are generally skeptical of the merger because it leaves them with fewer counter-parties to negotiate with for getting their content and applications to customers. The AT&T merger might leave them dependent on just two, AT&T and Verizon. The Computer & Communication Industry Association (CCIA), which counts Google, Microsoft, Yahoo and eBay among its members, is opposed to the merger. "A deal like this, if not blocked on antitrust grounds, is of deep concern to all the innovative businesses that build everything from apps to handsets. It would be hypocritical for our nation to talk about unleashing innovation on one hand and then stand by as threats to innovation like this are proposed," said Ed Black, head of CCIA.[30]
On April 11, 2011, AT&T defended its proposed acquisition of T-Mobile USA before a U.S. Senate committee, saying the combined company will deliver high-speed wireless services to 97 percent of Americans and provide consumer benefits such as fewer dropped calls.[31]
If AT&T's acquisition of T-Mobile USA is rejected by federal regulators, AT&T would need to pay $6 billion, including $3 billion in cash, to T-Mobile USA's parent company Deutsche Telekom.[32]
On August 31, 2011, the Department of Justice officially filed a lawsuit in the United States District Court for the District of Columbia seeking to block the acquisition. [33][34]
[edit]Bell Operating Companies



AT&T payphone signage.
Of the twenty-two Bell Operating Companies which AT&T Corp. owned prior to the 1984 agreement to divest, eleven (BellSouth Telecommunications combines two former BOCs) have become a part of the new AT&T Inc. with the completion of their acquisition of BellSouth Corporation on December 29, 2006:[35]
BellSouth Telecommunications (formerly known as Southern Bell; includes former South Central Bell)
Illinois Bell
Indiana Bell
Michigan Bell
Nevada Bell (formerly known as Bell Telephone Company of Nevada)
Ohio Bell
Pacific Bell (formerly Pacific Telephone & Telegraph)
Southwestern Bell
Wisconsin Bell (formerly Wisconsin Telephone)
Southern New England Telephone – Now wholly owned; the original AT&T held 16.8% interest prior to 1984.
[edit]Former operating companies
The following companies have gone to defunct status under SBC/AT&T ownership:
Southwestern Bell Texas – a separate operating company created by SBC and merged back into SWBT on December 30, 2001.
Woodbury Telephone – merged into Southern New England Telephone on June 1, 2007.
[edit]Corporate structure



AT&T office in San Antonio, Texas with new logo and orange highlight from the former Cingular
AT&T Inc. has retained the holding companies it has acquired over the years resulting in the following corporate structure:
AT&T Inc., publicly-traded holding company
Southwestern Bell Telephone Company d/b/a AT&T Arkansas, AT&T Kansas, AT&T Missouri, AT&T Oklahoma, AT&T Southwest, AT&T Texas
AT&T Teleholdings, Inc., formerly Ameritech, acquired in 1999; absorbed Pacific Telesis and SNET Corp. under AT&T ownership
Illinois Bell Telephone Company d/b/a AT&T Illinois
Indiana Bell Telephone Company d/b/a AT&T Indiana
Michigan Bell Telephone Company d/b/a AT&T Michigan
The Ohio Bell Telephone Company d/b/a AT&T Ohio
Pacific Bell Telephone Company d/b/a AT&T California
Nevada Bell Telephone Company d/b/a AT&T Nevada
The Southern New England Telephone Company d/b/a AT&T Connecticut (includes former Woodbury Telephone)
Wisconsin Bell, Inc. d/b/a AT&T Wisconsin
AT&T Corp., acquired 2005
AT&T Alascom
BellSouth Corporation d/b/a AT&T South, acquired 2006
BellSouth Telecommunications, Inc. d/b/a AT&T Southeast
AT&T Mobility
[edit]Corporate governance



Stephenson at the 2008 World Economic Forum
AT&T's current board of directors:[36]
Randall L. Stephenson – Chairman and Chief Executive Officer
James A. Henderson
Gilbert F. Amelio
Reuben V. Anderson
James H. Blanchard
Jaime Chico Pardo
James P. Kelly
Jon C. Madonna
Lynn M. Martin
John B. McCoy
Joyce M. Roché
Matthew K. Rose
Laura D'Andrea Tyson