Once again the government may undue a wise decision made years ago by allowing another telecom merger. Back in the seventies, they broke up the Bell to prevent a monopoly and provide business competition, better rates and a choice for residential and business users.
CenturyLink Inc. and Level 3 Communications Inc. are reported to be in the late stages of merger discussions, a deal that would affect the two biggest telecom employers in Colorado. The Dow Jones news service broke news of the talks last Thursday. A deal could be reached in coming weeks, the report said.
Level 3 Communications is the largest locally based telecom company, with its headquarters in Broomfield CO. It manages business-to-business data transport, security and related technology services across an international fiber optic network it owns. They have nearly 4,000 Colorado employees, out of a total of 12,500 worldwide. During the Level 3 acquisition in 2014 when it bought TW Telecom, they laid off nearly 1,000 employees at that time. This year, they are planning on releasing another 75 per a previous report.
Louisiana-based Century Link is a landline, internet service and video provider that acquired Denver-based Qwest Communications International in 2011. They employ nearly 5,400 people in Colorado. That’s down about 28 percent from the 7,500 it employed in Colorado when the purchase of Qwest closed. I would expect even more layoffs. During the “transition period”, also expect services and support issues.
What this means for consumers!
Fewer overall provider choices
Lower rates – usually NOT!
More layoffs
Possibly additional services or areas???
HOWEVER you still have a powerful professional alternative provider, privately held telecoms like National ComTel are customer focused, not investor. We exist for our customers.
Source: Denver Business Journal
