Teleport Communications Group Seeks Approval to Become First Local Competitor in Phoenix

Strategic Insights -

Teleport Communications Group (TCG) has filed an application with the Arizona Corporation Commission (ACC) to become the first local competitor to the established telephone company, U.S. West, in the Phoenix metropolitan area. This move follows the ACC's recent decision to adopt rules that legalize local telephone competition in Arizona. TCG has been operating in the Phoenix area for one year, and has already built a substantial network of 200 route miles of fiber optics, serving 50 commercial buildings and a growing customer base.

Key Takeaways:

  • TCG is the first local telephone competitor to seek approval from the ACC to become a full-service local exchange company in the Phoenix metropolitan area.
  • TCG has built a large network of 200 route miles of fiber optics, serving 50 commercial buildings and a growing customer base.
  • The ACC's decision to adopt rules that legalize local telephone competition has paved the way for TCG's application.
  • TCG's approval does not guarantee immediate competition, as the company still needs to secure fair interconnection and compensation arrangements with U.S. West.
  • The ACC will determine the outcome of TCG's application, which will impact the development of local competition in Arizona.
  • The ACC has begun developing interconnection rules, which will be critical to determining the success of local competition in Arizona.
  • TCG's aggressive growth plans include expanding its network and introducing new services, reflecting the company's commitment to the Phoenix business community.
  • The company's investment in infrastructure and state-of-the-art switching systems will contribute to the local economy.
  • TCG's Vice President, Michael McHale, emphasized the need for fair interconnection and compensation arrangements with U.S. West to enable competition.

Statistics:

  • TCG has built 200 route miles of fiber optics in the Phoenix area, serving 50 commercial buildings and a growing customer base.
  • The ACC's decision to legalize local telephone competition marks a significant shift in the local telecommunications market.
  • TCG operates in 37 major U.S. markets, making it the nation's largest competitive local telecommunications provider.
  • The company's network in Arizona spans the cities of Phoenix, Tempe, Mesa, Chandler, and Scottsdale.

Sources:

  • PRNewswire, "Teleport Communications Group Seeks Approval to Become First Local Competitor in Phoenix," August 21, 1995.
  • Arizona Corporation Commission, ACC develops rules for local telephone competition, (No specific date mentioned).
  • Teleport Communications Group Corporation, Tracy Corrington, 718-355-4620 (No date mentioned).
  • Teleport Communications Group, Michael McHale, Vice President/General Manager, Phoenix network (No date mentioned).