Small Phone Companies Worry About SBC Hike

By: Assocated Press
By: Assocated Press

Groups representing small telephone companies and small businesses are worried telecommunications giant SBC will soon be allowed to charge more for the use of its network.

SBC wants to increase its lease price from $14 per line, per month because it costs $25 per line each month to maintain the network.

The Michigan Public Service Commission may consider the request at its meeting on Tuesday.

Groups representing small telephone companies held a news conference Thursday in Lansing to speak out against a wholesale rate hike.

They're worried the increase will hurt competition in Michigan and lead to higher rates for customers.

But SBC officials have said the increase is needed to keep up the infrastructure of its network.

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