FCC approves SBC/AT&T merger, Verizon's MCI acquisition

The Federal Communications Commission completed its review process on two major telecommunications mergers, and approved SBC’s acquisition of AT&T as well as Verizon’s purchase of MCI. Both approvals follow clearance given by the US Department of Justice.

SBC chairman Ed Whitacre, who cam under fire today because of recent remarks on controlling Internet infrastructure, said that "the commission’s vote demonstrates a recognition that the merger of SBC and AT&T will enhance competition, help bring new technologies to market faster, and provide real benefits to consumers and businesses."

The merger is currently approved 33 states and the District of Columbia. Reviews are pending in Arizona, California and Ohio. SBC intends to change its name to AT&T once it has received clearance from all states and the merger is complete.

The FCC also approved the proposed acquisition of MCI by Verizon Communications. Executives of both companies anticipate that they can close the transaction, which was announced in February of this year, later this year or early in 2006.