Baby Bells

DEFINITION of 'Baby Bells'

A common nickname given to the U.S. regional telephone companies that were formed from the breakup of AT&T ("Ma Bell") in 1984. Baby Bells were created in accordance with antitrust legislation, which is designed to create more competition within the industry.

BREAKING DOWN 'Baby Bells'

Upon the initial breakup of AT&T, the Baby Bells included Nynex in New York and New England; Bell Atlantic, BellSouth and Ameritech in the Midwest; and Southwestern Bell, U.S. West and Pacific Telesis in California and Nevada. Over time, however, these companies have gone through several more corporate changes, such as acquisitions and mergers. As a result, the industry has been consolidated into a few domestic telephone providers.

RELATED TERMS
  1. Opening Bell

    A bell that is rung to signify the start of the day's trading ...
  2. After The Bell

    A phrase used to describe news, earnings reports and other activities ...
  3. Trading Session

    A period of time consisting of one day of business in a financial ...
  4. Baby Bills

    A hypothetical nickname for the smaller companies that would ...
  5. Bell Curve

    The most common type of distribution for a variable. The term ...
  6. Baby Boomer

    A person who was born between 1946 and 1964. The baby boomer ...
Related Articles
  1. Economics

    What is a Bell Curve?

    The bell curve is the most common type of graphed data distribution.
  2. Brokers

    The Tradition Of The NYSE Bell

    Ringing the NYSE bell has become a time-honored tradition that has included many celebrities, athletes and notable personalities.
  3. Personal Finance

    On This Day In Finance: June 3 - Alexander Graham Bell Creates Photophone

    On this day in 1880, Bell transmitted the first wireless telephone message.
  4. Investing

    Use Breakup Value To Find Undervalued Companies

    Find out a company's worth if it were sold in pieces - it may be more than you think.
  5. Stock Analysis

    AT&T Is A Consolidation Winner (T)

    Telecom consolidation will pay off for AT&T.
  6. Investing News

    How AT&T Evolved into a Mobile Phone Giant

    A third of Americans use an AT&T mobile phone. How did it evolve from a state-sponsored monopoly, though antitrust and a technological revolution?
  7. Fundamental Analysis

    A Closer Look at AT&T

    AT&T has come a long way since 1885. We look at its strategic direction, challenges and recent performance.
  8. Investing

    Why Do Some Failed Mergers Result in Break-Up Fees?

    When mergers go bad, there's often a break-up fee involved of as high as 3-5% of the value of the proposed merger.
  9. Budgeting

    How to Cost Effectively Spend on Baby Clothes

    Don't let your baby's wardrobe derail your budget. These top tips help you to save money and spend wisely on baby clothes.
  10. Budgeting

    How To Budget For A New Baby

    The cost of raising a family varies. We break down the expenses involved in having your first child.
RELATED FAQS
  1. What is a baby bell?

    In 1982, AT&T agreed to settle the Justice Department's anti-trust action by breaking itself into seven Regional Bell ... Read Answer >>
  2. What does "after the bell" mean?

    "After the bell" is financial slang for activity occurring after the close of the stock market, including after-hours trading, ... Read Answer >>
  3. What companies have been targeted for anti-trust action in the 21st century?

    Several companies have been targeted for antitrust action in the past decade. These companies range from food service to ... Read Answer >>
  4. What are the most famous monopolies?

    Learn about famous monopolies from Carnegie Steel to Comcast that challenge free-market competition and encourage government ... Read Answer >>
  5. Why don't stocks begin trading at the previous day's closing price?

    Most stock exchanges work according to the forces of supply and demand, which determine the prices at which stocks are bought ... Read Answer >>
  6. Why is the Bullish abandoned baby pattern important for traders?

    Discover how to identify the bullish abandoned baby pattern in Japanese candlestick charts, and learn why traders interpret ... Read Answer >>
Hot Definitions
  1. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  2. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  3. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  4. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  5. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
  6. Unlevered Beta

    A type of metric that compares the risk of an unlevered company to the risk of the market. The unlevered beta is the beta ...
Trading Center