First, my source was a VZ employee who accepted their buyout offer to
reduce manpower, and left. Second, the charges he mentioned are the
ongoing application software (called a "Generic") license fees on a
5ESS. The operating companies didn't just pay WECO to buy the hardware,
they also had stiff ?monthly/yearly? license fees to use the 5ESS
Generic that made them work.
Why would the bells hate the Internet?
The Bell's were welded to their "If only we can charge local calls by
the minute, it would be great..." thinking.
They hated dialup, be it POTS or ISDN, because it shredded their
predicted call durations, utilization of switch resources and
interoffice trunkage.
People like me would make one 9c call, and leave it up. I had calls that
would stay up for 999 hours before my router would drop the call when it reached 1000.
PLUS:
Ma Bell had anticipated that CLEC-fed businesses would call LEC-served residences. Under Her insistence, the originating {C}LEC would pay the terminating {C}LEC compensation per minute.
But the ISP's, soon tired of dealing with LEC's unwilling/unable to make
large dial-in modem pools function, switched to CLEC's who would help
them. So instead of an income stream, it was a huge drain. Fred
Goldstein can likely comment on the ensuing legal fights.
Centrex:
I don't know if is less popular it is now than it was, but in the DC
region, it was a major LEC income stream. The reason is only the tiniest
USGovt agency fits into one building; most are spread out between many,
often scattered between DC, MD & VA locations. Centrex gave them 4 or 5
digit calling between all their offices. Further, ISDN Centrex gave the
boss a fancy feature phone with many buttons, vs. a POTS 2500 set.
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