WASHINGTON, March 2 (UPI) -- A U.S. appeals court Tuesday overturned an FCC order letting states determine what parts of the phone network the regional Bells must lease to rivals.
The U.S. Court of Appeals for the District of Columbia Circuit also said it was unlawful for the FCC to make a national finding of "impairment," Xchangemag.com reported Tuesday.
In a nearly 600-page order issued by the FCC last year, the regulator said local phone companies were hurt by not being able to lease Bell switches to route phone calls from homes and small businesses.
The Bells have lost most of their core phone business in recent years due partly to local phone companies leasing their networks, wireless substitution and the predominance of e-mails.
The ruling signaled a victory for BellSouth Corp., SBC Communications Inc., Qwest Communications International Inc., and Verizon Communications Inc.
Some trade groups representing phone companies competing with the Bells called on the FCC to appeal the decision before the U.S. Supreme Court.
