DEFENDING GOLIATH

The day William Daley was named president of SBC Communications, he appeared on CNBC and declared the exigency of a “level playing field” between SBC and its unregulated competitors, which Daley said enjoyed “tremendous advantages” without the yoke of regulation around their necks. The host of the CNBC show could have asked, “Competitors? What competitors?” She did not. Daley is, of course, the brother of Chicago Mayor Richard Daley, and as a Chicagoan, he may be accustomed to bringing a gun to a knife fight (and in that sense, he should fit right in at SBC). But to pretend that SBC is at the mercy of a gang of CLECs is insulting. The unregulated competitors Daley referred to are paralyzed at best. Most are either bankrupt or deep in debt. SBC has problems, but an onslaught of privileged competitors is not one of them. Worst of all, everyone knows this. Take a look at the “CLECs Making News” page in the Public Affairs corner of SBC's Web site, which SBC maintains presumably as a testament to the rampant growth of CLECs. All the clips are from 1998 or 1999. Part of Daley's new job will be to persuade the public to support SBC's efforts. By demanding a level playing field against competitors who themselves have been leveled, Daley tests the public's threshold for sympathy, and SBC sends the message that it doesn't need public support when it has financial muscle and a fresh supply of political influence.