PacBell to Invest $2 Billion in Local Network

Pacific Bell will invest $2 billion in California’s local phone network next year, including $500 million in the Los Angeles area, the company said. Part of the network upgrade in Los Angeles will include deployment of an advanced video network for the entertainment industry that can transmit audio and video at super-speeds of 270 megabits per second, enabling editors and producers in different locations to work on the same material simultaneously. The investment is in line with historical spending by Pacific Bell, a unit of San Antonio-based SBC Communications Inc. SBC shares rose $2 to close at $43.88 on the New York Stock Exchange.