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Report: Deutsche Telekom, Ameritech in Talks

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(Associated Press)

Deutsche Telekom, seeking a major international partner, is reportedly in talks with Ameritech Corp. and SBC Communications, whose merger has just been cleared by U.S. authorities. German newspaper Welt am Sonntag gave no details on what linkup might be planned. Deutsche Telekom spokesman Ullrich Lissek said: “Right now, everybody is negotiating with everybody. But we don’t get involved in speculation.” The former German state telephone monopoly has struggled to branch out into a global player since being partly privatized in recent years. SBC, parent of Pacific Bell, and Ameritech are set to become the largest U.S. local phone company through a merger worth more than $70 billion, one of the largest in U.S. history. Meanwhile, a magazine said Deutsche Telekom wants to dump its loss-making Global One partnership with France Telecom and U.S. long-distance provider Sprint. Sprint will have to leave Global One once its planned $115-billion merger with MCI WorldCom--the biggest in corporate history--goes ahead, Focus magazine quoted Telekom Chairman Ron Sommer as saying.

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