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What Is Broadband? Broadband refers to various high-capacity technologies that transmit data, voice, and video across long distances and at high speeds. Phone prices dropped, quality increased, and renting phones faded away. The Baby Bells allowed consumers to choose among long-distance carriers. As competition and technology progressed, long-distance charges fell.
By , many Americans no longer paid per-minute long-distance fees for calls within the country. However, per-minute charges were still common for calling foreign countries and smartphone plans. The strongest criticism of the breakup is that it may have delayed high-speed internet for many consumers. In the early days of the internet, speeds were kept low by the need to use the local phone lines of the Baby Bells.
As monopolies within their service areas, the Baby Bells were often slow to upgrade their lines. Many of the Baby Bells delayed too long, leaving much of the data service market to cable providers and wireless services.
Another criticism of the breakup is that it was simply unnecessary. The fact that many of the Baby Bells were later reintegrated into a single company also supports the view that the breakup was unnecessary. The Baby Bells proved to be some of the most successful spinoffs in history. The government loosened telecommunications restrictions, and the Baby Bells began to merge and buy out each other to increase their service areas. Accessed May 7, Company Profiles.
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