I can see how at least some MCI shareholders, their holdings having tumbled in the WorldCom conflagration, might be looking at a prospective $9.9 billion buyout by Qwest as preferable to a $7.8 billion sell to Verizon.
Over the weekend, MCI's board signalled warm feelings toward Qwest's bid. Verizon has five days to respond with a counter offer. If they don't, the path is that much clearer for a Qwest acquisition.
I don't have an equity dawg in this hunt, but I'm both a Qwest and a Verizon customer, and was an MCI customer as far back as the 1980s.
Qwest is still a regional telco, and OBTW, their indebtedness status may have been holding them back from bringing the types of varied VoIP offerings to market that Verizon has. And those companies that have the mindset, the scope, the technical and the financial resources to get advanced telephony services right have more than just a leg up. They are in pole position to compete in the world economy.
If I were in an institutional investor position, I'd have to weigh the pros and cons between a one-time cash infusion shot in the arm, and potential to grow as a shareholder in an innovative, financially solid company with worldwide reach.
I know how I'd vote.
And what if you were an MCI shareholder? Heck, maybe you are. Care to share your thoughts? Then, TalkBack to us.