News
[PSUs]| Tuesday 10th October 2000 |
It seems AT&T is considering charging Internet retailers each time a customer buys something over its broadband network. It may also collect a fee from retailers each time a customer accesses their site through its network.
According to a report on the CNN news channel, the plan is one of various options being considered by AT&T to reduce its dependence on the consumer long-distance telephone business.
An AT&T spokesman, Ritch Blasi, defended the proposal, citing the PocketNet service that the company currently runs, under which retailers pay for their visibility each time someone logs onto the Internet with their wireless phone.
Industry analysts estimate that the major carriers will need to derive less than half of their revenue from being a long-distance carrier by 2002 if they want to remain viable. The attraction, for the telcos, of cutting a slice of the online purchasing pie is obvious. The prospect for retails and consumers, however, is far less appealing.
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