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Federal judge says long-distance restrictions on Bells unconstitutional

December 31, 1997: 7:02 p.m. ET

SBC Communications More related sites... WASHINGTON (Reuters) - A federal judge Wednesday threw out as unconstitutional provisions of a landmark federal law that restrict the regional Baby Bells from entering the $80 billion long-distance telephone market, SBC Communications Inc. said. [INLINE] San Antonio-based SBC said U.S. District Judge Joe Kendall sided with the carrier, which had charged that the Telecommunications Act of 1996 was unconstitutional because it discriminated against SBC and the other four Baby Bells. [INLINE] The New Year's Eve ruling is expected to send shock waves through the telecom industry and throw into further disarray the Federal Communications Commission's efforts to break open the $100 billion local phone market controlled by the Bells.

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