Will MCI always play David?

Article Abstract:

MCI Communications Corp has been one of the more active stocks on Wall Street, but analysts are concerned that the company may have reached the limit of its growth. MCI is now about one quarter of the size of AT&T. The Federal Communications Commission (FCC) gave MCI and other long-distance carriers some help when it delayed action on 'access fees,' which carriers pay to local telephone companies for use of their lines. About half the cost of a long-distance call is accounted for by access fees. The current fee schedule was due to lapse on Sep 1, 1991. The FCC will probably spend a year studying fees, and fees may then rise gradually. MCI's stock prices have not fully recovered from the recession and a large restructuring cost in 1990, when the stock fell to $18 a share. In the last year, the company's stock rose to $37, but the stock is now down to $26.625. Earnings in 1990 rose 19 percent, to $7.7 billion. Investors are worried that higher access fees could cut profits and complain that MCI has not prepared for fee changes. MCI representatives claim that AT&T will also be hurt by higher fees. AT&T, however, has built an advanced network designed in a way that will minimize fees.

Profits, Dividends, Long distance telephone services, Market share, Growth (Physiology), Long-distance telephone service, Sales, MCI Communications Corp., MCIC, Growth, Outlook, Telecommunications Industry, Profit, Sales Analysis

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Speeding the calls of fast-talking computers

Article Abstract:

In a time when computer transmissions made up only a small part of network traffic, data communications was not so important as it is now, with the mix of voice and data now at about 50-50 and shifting toward data. Some industry observers believe that data bursts transmitted among computers will account for 80 percent of network traffic within five years. For a time, packet switching was a technology adequate to the task of managing increased, faster data communications, but packet switching is now becoming outmoded. Advances in packet-switch technology are making it possible to transmit more data at faster speeds over copper wire, but the need now really is for a better technology such as fiber optics. Frame relay, a type of packet-switch technology, has received considerable attention lately. Cell relay will be available in about three years. Advanced packet-switch technologies will help telephone companies realize the potential of the multibillion-dollar fiber-optic networks that they plan to build.

Telephone and telegraph apparatus, Analysis, Usage, Standard, Standardization, Fiber optics, Packet switches, Data communications, Telecommunications transmission technologies, Packet switching, Frame relay, Communications protocols, Networks, Telecommunications, Future Technologies, Transmission Speed, Packet Switch, Data Transfer Rate

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Keeping the electronic lifeblood flowing: New York's telephone emergency plan

Article Abstract:

Officials in New York City have unveiled a plan for telephone-system disaster recovery. The new plan, developed by Mayor David N. Dinkins' Task Force on Telecommunications and Network Reliability, is a first step in responding to the series of telephone-network outages that have occurred since 1989. The plan calls for cooperation among 13 carriers in the New York City area; if one of them experiences a problem, an emergency can be declared and one of the others will assume disrupted telephone traffic for up to seven days. Participating carriers include AT&T, Eastern Microwave, Litel, Locate, MCI, US Sprint, Metropolitan Fiber Systems, New Jersey Bell, New York Telephone, RCI, Teleport Communications, Wiltel, Western Union and the British company Cable & Wireless.

Planning, Prevention, Telecommunications systems, Design and construction, New York, New York, Reliability (Trustworthiness), Telephone systems, System failures (Engineering), Reliability, Telephone System, Disaster Recovery/Prevention Software, Disaster recovery software, Failure, New York

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