Since AT&T and BellSouth are not actual competitors in the local, long distance and video markets, and because BellSouth is not a significant competitor with AT&T in the enterprise market, the merger will not reduce competition in any of those markets.

I think you’re confusing two very different actions. Buying a profit making company is very different from making capital investment.

“I bet rates will go up regardless, to help finance these acquisitions…”

Once again, two different functions. They don’t need to increase rates to finance acquisition. The income the acquiition provides will finance it alone.

“…which will allow them to eliminate competition, thereby eliminating any pressure or incentive not to raise rates.”

The government will never allow things to go back to the way it was with only one phone company. BellSouth and SBC (which bought AT&T) weren’t actually competitors. They had specific territories. Their competitors are companies like Comcast. AT&T can now provide broadband, but it is competing against other broadband providers, of which Comcast is one.

It’s been my experience that when acquisitions like this happen, it leads to the creation of new competitors that provide cut-rate services. I predict that’s what you will see next. The big will get big, and the public will seek someone who can provide cheaper and better service.

“The doesn’t have to happen, but it will if we just lie back and watch the binge.”

The Justice Department is run by career civil servants who aren’t subject to political pressure. They’re also not subject to lobbying groups. The law is blind. If this merger doesn’t break any laws, it will be approved, no matter what you do.