SAN ANTONIO, TEXAS - Leading US telco AT&T has agreed to buy smaller rival BellSouth in a deal worth $67 billion (€55.82bn; £38.3bn). The deal also allows AT&T to gain full ownership of Cingular Wireless, America's biggest cellhone operator.
The takeover will create a new giant in the US telecoms sector, with a market capitalization of $165bn.
It will also see BellSouth returning to its old stable. It and several other operators - dubbed the Baby Bells - were spun off from AT&T in the 1980s.