[comp.dcom.telecom] AOS

covert%covert.DEC@decwrl.dec.com (John R. Covert) (07/28/88)

FR: John Keator, National Public Radio  +1 202 822 2800

TOPIC: AOS

>From the Washington Post, 27 July 88
Excerpted without permission, abridged.

CURBS SOUGHT ON OPERATOR PHONE FIRMS by Deborah Mesce

Two consumer groups yesterday asked the Federal Communications
Commission to order the five largest independent telephone operator
services out of business, contending that the companies charge
excessive rates.

Telecommunications Research and Action Center, based in San
Francisco, said their survey shows these providers' rates area as
much as 3.5 times higher than those of the major long-distance
companies.

The companies, called alternative operator services or AOS
companies, provide service to guests in hotels and motels and at pay
phones, as well as at some hospitals and universities, which receive
a commission from the AOS.

The companies handle credit-card, collect and third-party billed
calls, routing "0"-plus calls over lines leased from the major long-
distance carriers.

David Wagenhauser, staff attorney for the center, said consumers
need to be protected from the high rates of these companies.

"Just because these are transient consumers doesn't mean they
should be moving targets," he said at a news conference outside the
FCC headquarters.

The FCC, prompted by a surge in complaints about AOS companies
last spring, launched an investigation into the industry, which began
developing about a year and a half ago.  The agency also issued a
consumer alert advising callers to ask operators what rates they
would be charged.

The FCC does not regulate the rates AOS companies charge for
interstate long-distance calls.  Several states, however, have begun
considering regulation of the industry for intrastate calls.

The consumer groups criticized the FCC for failing to take action
against AOS providers.

Greg Vogt, chief of the FCC's telephone enforcement unit, defended
the agency against the criticism, noting its inquiry into the industry
and its work on behalf of irate consumers seeking credit for AOS
calls.

The FCC also has been meeting with AOS companies, Vogt said.  "I've
been pleased with the response with the industry, admitting there
are problems and working out solutions."

**********************

Letter received from Gerald A. Hines
AT&T Card Services Director
AT&T, Basking Ridge, NJ

Dear -----:

Because you're a valued AT&T cardholder, I'm writing to you about an
important matter.

Recently, a number of hotels, hospitals, colleges and private pay
phone companies have chosen firms other that AT&T to provide long
distance operator and calling card services to their customers.  As a
result, from these locations, it could mean you'll pay higher prices
for what you believe are AT&T calls.

We believe it's important for our customers to be careful when
making operator assisted or AT&T card or AT&T CALL ME card calls
from any of these locations because not all of the "alternate
operator services" readily identify themselves.  Even though you
think you're using your AT&T card to place AT&T calls, you could be
using one of the alternative operator services.  If this happens, you
call will not be handled or billed by AT&T.

Here's a course of action you can follow to reach you choice of AT&T
when placing calls away from home or office:

- When checking into a hotel, ask if AT&T is used for operator and
AT&T card calls.  If not, ask how the hotel operator can connect you
to AT&T for "dial 0" calls.  When you do reach an operator verify
you're speaking with AT&T.

- When dialing long distance card calls yourself, always listen for
the "Thank you for using AT&T" message after you've entered your
AT&T card number.  If you don't hear it, chances are you've not
reached AT&T.  Immediately, hang up and redial the call -- without
entering your card number -- and wait for the operator to answer.
AT&T operators identify themselves when answering.  If you have
any doubts, ask what company the operator represents.  If it's not
and AT&T operator, ask how you can be connected to one.

- When using your AT&T card from a rotary-dial phone, follow the
same procedure.  Before giving your card number to the operator, be
user you have reached AT&T.

...If you have any questions, please call us at 800-222-0300

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