ation & tate February 3, 1999 Editor: Mike Sherwood j eromeinfowest.com AT&T Deal With Time Tribune Media Services To succeed in tomorrow's world of Internet access, wireless communications and data, a telephone business must start by providing the basics: being able to dial a number and talk to somebody, as Monday's deal between AT&T Corp. and cable giant Time Warner Inc. high-tec- h high-spee- d underscores. "This deal isn't so much about sending voice over cable as it is about preparing to win in tomorrow's marketplace, when voice calls may be as little as 5 percent of the business," said Jeffrey Kagan, an Atlanta-base- d telecommunications consultant. AT&T's joint venture with Time Warner, the nation's largest cable TV provider, eventually will provide voice. Internet and video over Time Warner's cable systems in 33 states, starting with a couple of cities by the end of the year. The companies expect the arrangement to generate annual sales of $4 billion after three years. More importantly, however, the deal, along with AT&T's move to buy Telecommunications Inc., the No. 2 cable company, will give the largest phone company access to about 40 percent of the nation's homes, a huge competitive advantage as cable operators, local phone and wireless companies and Internet providers begin to reach Time-Warn- er long-distan- out for customers and stake out market share for communications services of the future. AT&T intends to offer local Warner Looks To The Future and service at about 20 percent below what customers currently pay, C. Michael Armstrong, AT&T's chief executive, told industry analysts. "We will be the low-coprovider compared to any other way to deliver these services," Armstrong said. "And we will be putting together more bundles on top of what we're announcing now." Indeed, last week, AT&T long-distan- st launched a dime-a-minu- te Tribune Media Services House prosecutors spent more than three hours Monday quizzing Monica Lewinsky about their obstruction-of-justice case against President Clinton. She added little to the record, attorneys and aides said. On another front, Mr. Clinton's lawyers asked a federal judge to investigate independent counsel Kenneth Starr for what they called an illegal news leak on possible plans to indict the president. Mr. Starr, calling the New York Tunes report deeply troubling, said he would conduct his own internal investigation. Mr. Starr declined to comment on the story, which said he believes he has the constitutional authority to seek a grand jury indictment of a sitting president. Mr. Starr said in a prepared statement that the announcement of his internal investigation "should not be taken as confirmation of anything in the article." In arguing against conviction, some Democrats pointed out that Mr. Clinton can be prosecuted after he leaves office - a prospect that produced another chapter in the ongoing feud between the White . . be to give more discounts when you sign up for more services. They want you so tied into them, you won't even think of switching to a competitor." So far, attempts to put voice phone calls on a cable TV system have been disappointing. However AT&T has little choice but to push into the lead by perfecting and offering reliable cable voice service if it wants to someday become a national telecommunications system - in other words, recreate the old Ma Bell system that was split apart 15 years ago. The twist is this: "Full service" in the coming decade won't be the telecommunications Ma Bell knew. It will mean wireless, Internet and other applications that are long-distan- House and Mr. Starr's office. The New York Tunes, quoting unnamed associates, reported Sunday that Mr. Starr is considering seeking an indictment before Mr. Clinton's term ends in 2001. David Kendall, Mr. Clinton's private attorney, complained to U.S. District Judge Norma Holloway Johnson. "The Office of Independent Counsel has once again engaged in illegal and partisan leaking," Mr. Kendall said. Mr. Kendall has complained previously about leaks that are the subject of an investigation by Judge Johnson. In his statement, Mr. Starr said his office is "deeply troubled" by the report and "has no desire to inject itself into the constitutional process under way in the Senate." Mr. Starr has retained consultants who have argued that sitting presidents can be indicted, citing in part the 1997 Supreme Court decision subjecting Mr. Clinton to the Jones case. Friends of Mr. Starr, however, have questioned whether he would try to indict a sitting president, given the controversy that would ensue. calls onto the sidelines. 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Using the latest equipment & techniques, this Saturday course enables you to continue working while training for your new career. Tuition $1,795. Call Southern Utah Dental Careers 652-781- customer complaints about high costs and poor service. If AT&T is to stay in the game, much less grow into new services, the company knows its voice calling over cable must be as easy to use and reliable as Ma Bell's plain old phone service over wires. Positioning for the future carries a hefty price tag for AT&T. While the joint venture with Time Warner is much less costly than its $48 billion takeover of TCI, AT&T estimates it will spend $600 million on the venture in the first two years as well as spending $300 to $500 to equip each home that opts to get phone service via cable. AT&T will own a little more than three-fourtof the joint venture, and Time Warner will own the rest. elbowing standard wireline . To buy a classified ad, call The Dixie Sun at ial cable, the pipeline into peois capable of the new services, but carrying ple's homes that e, calling package that tied longdistance and wireless service together. "The wireless offering was just the first generation of sticky bundles we'll see from AT&T," said Kagan. "They talked about charging $5 for a second phone line with the cable service. Obviously their strategy will Starr May Seek Indictment Of President Clinton Classifieds. 5 Page , AAC829 1 Express Yourself DAYS A WEEK 24 HOURS 7 j ,! lExPlres 33199j