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The telecommunications industry has long struggled with a myriad of economic issues, from determining appropriate prices for customers and stakeholders, to the competitive implications of business decisions made by Regional Bell Operating Companies ("RBOCs"). Not only does AEP have comprehensive knowledge of economics of telecommunications markets and government regulation, we also have extensive experience in the technical and institutional aspects of telecommunications.

AEP personnel have performed economic analyses on behalf of RBOCs and long distance carriers as well as smaller corporations and businesses that compete with such carriers. While working at Illinois Bell Telephone Company, AEP's Victoria Lazear was responsible for determining the impact on stakeholders of different rate designs. Most recently, AEP has been involved with the issue of competition in the telephone industry. For example, a critical problem is determining the effect on competition of certain actions taken by RBOCs, especially in light of recent legislation such as the Telecommunications Act of 1996. AEP has also carefully considered the effect of mergers and acquisitions in the industry, and has studied competition in both the local and long distance telephone markets.

 
    Representative Assignments:
   

CTC Communications v. Bell Atlantic Corp.

 

CTC Communications, a large reseller of local business telecommunications services in the Northeast, alleged that Bell Atlantic had continued to maintain its monopoly of local communications despite the mandates of the Telecommunications Act of 1996. AEP prepared a liability and damages analysis on behalf of CTC, and also offered testimony in regulatory commissions in a number of states. As part of its damages analysis, AEP directed a survey of local business customers in the Northeast. The case settled at the conclusion of the direct trial testimony of one of our experts.

 

Studies on behalf of MCI
  MCI asked AEP to perform a series of studies of antitrust and other economic issues relating to the proposed entry into the long-distance market of a number of RBOCs. AEP also provided analysis of the appropriate pricing of access charges.
   
Testimony in Rate Hearings on Behalf of Illinois Bell Telephone
  AEP personnel have testified numerous times on behalf of Illinois Bell Telephone Company before state regulatory boards and commissions. These hearings required detailed economic analyses of existing and proposed rates for local telephone service.