Communications: Mother Bell Gets a Message

After holding American Telephone & Telegraph on the line for 20 months, during which 66 witnesses filled 10,000 pages with testimony, the Federal Communications Commission last week had a message for the company: Mother Bell was making too much money. The FCC held that A.T. & T. should put less of its profit back into the business, instead use the money to reduce its customers' telephone bills. Specifically, the FCC wanted reduction of charges on long-distance and international telephone service by $120 million a year, an average of 3 %.

According to FCC calculations, the company was enjoying more than...

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