Skip to Main Content
The increased competition that has resulted from the divestiture of AT&T is discussed. Attention is also given to the competition that preceded the breakup of AT&T, such as that made possible by the FCCs Carterfone decision of 1968 and the waiving of the requirement in 1974 that equipment not produced by Western Electric be attached through the so-called protective arrangements. In discussing the current market, distinctions are made between telephones, key telephone systems, and private branch exchanges. The turmoil in the PBX market caused by competition from local area networks and Centrex services is also described. It is predicted that the next major market to be affected will be that for central office switches.