Overhaul of AT&T begins as judge dismisses suit

The process of dismantling of the American Telephone & Telegraph Company is under way - a move that will reshape the United States' communications network and telephone service.

US District Judge Harold Greene formally dismissed the government's antimonopoly suit against AT&T after changes were made in a settlement between the two sides. The decision means that the spinoff of 22 local phone companies (two-thirds of AT&T's assets) can go ahead. AT&T has six months to submit plans for the divestiture in exchange for the Justice Department's dropping the suit.

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