The Supreme Court let stand a lower court ruling that Baby Bell telephone companies cannot resell long-distance service to local subscribers.
Last June, the U.S. Court of Appeals for the District of Columbia Circuit affirmed a Federal Communications Commission decision to block partnerships between long-distance carrier Qwest Communications Corp. and U S West and Ameritech Corp., now a part of SBC Communications Inc.
The 1996 telecom act bars Baby Bell monopolies from providing long-distance service until they open local telephone markets to competition.
A group of governors called on Congress not to permanently ban e-commerce taxes. Govs. Mike Leavitt (R-Utah) and Parris Glendening (D-Md.), after meeting with Senate members last week, said four of five members of the National Governors’ Association oppose a permanent prohibition on state sales taxes on items purchased on the Internet. The governors fear losing $150 billion in tax revenue.
Wireless devices are expected to be big drivers of e-commerce in the future.
Some governors and lawmakers in Congress, like Senate Commerce Committee Chairman John McCain (R-Ariz.), want to outlaw e-commerce taxes. Currently, there is a moratorium on Internet taxes that ends in October 2001. A committee set up to study the issue will issue recommendations to Congress in April.
President Clinton said U.S. high-tech firms will be big beneficiaries of free trade with China. The president used a visit to the high-tech corridor in Dulles, Va., to press for congressional approval of permanent Normal Trade Relations with China as the giant Asian nation of 1.3 billion people inches closer to membership in the World Trade Organization.
“China is the largest potential high tech market in the world, and the world’s fastest-growing telecommunications market,” said Jake Siewart, a White House spokesman. Siewart said the mobile phone market in China is on track to outgrow all other countries except the United States by the end of this year.
China has teamed with business lobbyists to fend off opposition to free trade with China from organized labor, human rights advocates and environmentalists.
Compiled from wire services and news reports.