AT&T, Verizon Wireless, and other big cellular carriers are dragging their feet on approving services that could compete with their ownEven as the wireless industry chants a new gospel about opening mobile-phone networks to outside devices and applications, some of the biggest U.S. carriers are quietly blocking new services that would compete with their own.
Would-be mobile-service providers, ranging from startups to major banks to eBay's (EBAY) PayPal have encountered these roadblocks, erected by the likes of AT&T (T) and Verizon Wireless. In some cases, cellular carriers have backed down, but only after inflicting costly delays on the new services.
At issue is a type of mobile text message known as a short code, essentially a shortcut that lets cell-phone users access an array of services—say, getting sports scores or voting for a contestant on American Idol—by punching in five or six digits instead of the usual seven plus area code.
Read More
