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March 22, 1987

US FEDERAL COMMUNICATIONS COMMISSION TO PHASE OUT BALANCED LOADING RULES

By CBR Staff Writer

The US Federal Communications Commission has voted to phase out over a decade or so the Balanced Loading rules imposed in 1966 that require AT&T to route 50% of all international traffic via the Intelsat system rather than its own undersea cables: the rules were introduced to benefit customers when satellite was perceived as cheaper than cable but fibre optics is changing the economics; AT&T says it is anyway committed to satellite; Communications Satellite Corp owns 25% of Intelsat in partnership with 112 other countries around the world.

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