US West, Qwest Teaming to Sell Phone Service

US West Communications Group agreed to market long-distance telephone services from upstart Qwest Communications International Inc., skirting restrictions against Baby Bells from entering the long-distance business. The 1996 Telecommunications Act of 1996 doesn’t specifically prohibit marketing other companies’ long-distance services, US West said. Starting next week, Englewood, Colo.-based US West’s 25 million customers in 14 Western and Midwestern states can choose a package that includes its local service and Qwest’s long-distance service all on one bill. The companies said they discussed the alliance with the Federal Communications Commission and the Justice Department. Long-distance giant AT&T; Corp. said the agreement “violates both the letter and spirit of the act” and said it is studying its options. Denver-based Qwest said the alliance will add about $100 million to $200 million to its 1999 revenue.