[Congressional Record Volume 141, Number 198 (Wednesday, December 13, 1995)]
[Senate]
[Pages S18555-S18556]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                          THE PHOENIX PROPOSAL

  Mr. DOLE. Mr. President, the Federal Communications Commission will 
soon rule on Sprint's partnership with Deutsche Telekom and France 
Telecom, or its more common name, the Phoenix Proposal. I ask unanimous 
consent that my letter to FCC Chairman Reed Hundt regarding this issue 
be printed in the Record.
  There being no objection, the letter was ordered to be printed in the 
Record, as follows:

                                                  U.S. Senate,

                                Washington, DC, December 12, 1995.
     Hon. Reed Hundt,
     Chairman, Federal Communications Commission, Washington, DC.
       Dear Mr. Chairman: I wrote you almost one year ago 
     concerning the proposed Global 

[[Page S18556]]
     Partnership between Sprint Corporation, Deutsche Telekom and France 
     Telecom. At that time, I asked that you rule fairly and 
     promptly on this matter.
       It is my understanding the Commission may consider a 
     proposal that appears to have little to do with traditional 
     foreign ownership concerns having to do with the acquisition 
     of undue leverage over domestic companies. Specifically, the 
     FCC would artificially ``freeze'' Sprint's communications 
     capacity between the United States and Germany and France, 
     while placing no such restrictions on any of its major 
     competitors.
       Given that the Justice Department has already signed off on 
     the partnership, many believe there is no legitimate foreign 
     investment concern. Even if excessive leverage could be 
     obtained under this partnership, an arbitrary limitation on 
     communications capacity would not alleviate it. In short, it 
     appears the Commission will answer the wrong question with an 
     equally wrong solution. If this were to occur, Sprint would 
     be at a competitive disadvantage with other international 
     competitors.
       I look forward to your reply.
           Sincerely,
     Bob Dole.

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