The missing link

I have a hard time believing that Bernard Ebbers-a man who has spent billions acquiring best-in-class companies so that his WorldCom could claim the supercarrier pole position-could possibly be satisfied with a wireless resale strategy.

In announcing his company's bold move on MCI, Ebbers said MCI's wireless resale plan "dovetails" nicely with WorldCom's own resale scheme. But a large part of MCI's wireless strategy hinges on a plan to interconnect its wireline base with the networks of personal communication services providers-most notably NextWave-and buy billions of minutes of airtime from them. Last time I checked, NextWave was in financial peril and nowhere near the network buildout stage, and MCI hasn't announced alliances with any other airtime providers.

Beyond that, for a company with WorldCom's track record to settle for a resale strategy in an area as crucial as wireless simply doesn't follow. WorldCom has accrued a state-of-the-art network presence in the local, long-distance and data service realms, and resale has played no part in any of it. Where WorldCom saw an opportunity, WorldCom built or bought a network.

Keep in mind that wireless is not just about mobility services anymore. AT&T and Sprint-the companies that will be WorldCom's strongest foes if it gets where it wants to go-are not only well-endowed in the wireless mobility area, but they are also prepping portions of their wireless networks to serve as local loop alternatives. A combined WorldCom/MCI would be wise to do the same. However, to achieve that would require interconnecting with a PCS network operator that operates an actual network-or even buying one outright.

WorldCom has acquired such a stunning array of fiber facilities and Internet capabilities that telecom guru George Gilder, writing in The Wall Street Journal, recently referred to Ebbers as "a fiber baron and an Internet emperor." As WorldCom rounds out its strategy for taking the telecom world by force, Ebbers should not overlook the potential effectiveness of a full-fledged aerial assault.