December 24, 1997
Re: Application of BellSouth Corporation et al. Pursuant to Section 271 of the Communications Act of 1934, as amended, to Provide In-Region, InterLATA Services in South Carolina (CC Docket 97-208).
It is Christmas Eve in Washington, DC. The FCC issues an Order. Lawyers, accountants, and others who battle the regulatory wars of Section 271 have Christmas stockings filled with goodies. It has been a good year for those who earn a living through the industry of telecommunications regulation. But has it been a good year for the People of South Carolina? What will Santa leave in their stockings?This Order today should not be narrowly about regulation, or even narrowly about BellSouth. It should be about the People of South Carolina and what will be good for them. The People of South Carolina, like all Americans, are not experts in federal regulation. They do want lower prices, and they do not want the federal government to get in the way of lower prices. Generally, competition leads to lower prices; too much regulation does not.
There are dozens of local telephone companies in South Carolina. Today, there is facilities-based local competition for none of them, but there are hope and promise for such competition in the BellSouth region. With this local competition, are the hope and promise of lower prices.
Today, hundreds of long-distance carriers offer service in South Carolina. All local telephone companies in South Carolina, except one, can also offer long distance services. That one exception is BellSouth, and with this Order, there are hope and promise that it too may one day offer long distance service in South Carolina.
In the Order released today, the Commission concludes that BellSouth has not yet met the statutory requirements that would enable to provide long distance service to the citizens of South carolina. We recognize, however, that BellSouth has invested millions of dollars to try to create an organizational structure that will foster competition. For nearly two years, BellSouth has worked to develop new operational service support systems consistent with regulations -- hundreds of millions of dollars annually throughout the BellSouth region. The Commission explicitly commends BellSouth for its efforts and the progress that it has made in opening its local market to competition.
It should come as no surprise that BellSouth has made and continues to make such efforts. Throughout the proceedings, many South Carolinians have repeated the theme that BellSouth is a "good corporate citizen" in South Carolina. It supports local schools. It supports civic organizations. It involves itself with the life of the community. By Statute, being a good corporate citizen is not a specific regulatory factor to consider under Section 271. It provides, however, hope and promise that competition will come to South Carolina, and that is the real Christmas present for the State.