AT&T Corners Richmond, Va.-Area Cable Television Market.

Knight Ridder/Tribune Business News

Oct. 9 -- Comcast Cablevision's system in Chesterfield County will become the property of AT&T after the long-distance telephone company completes its acquisition of MediaOne, probably next year.

When AT&T beat out Comcast in a takeover fight for MediaOne in May, AT&T and Philadelphia-based Comcast agreed to exchange cable systems in certain markets, affecting 2.7 million customers.

It's no surprise that AT&T chose to take Comcast's 72,000 Chesterfield customers. AT&T indicated that gaining an entry into the Richmond market was one of the reasons for its $56 billion acquisition of MediaOne, which serves 150,000 cable TV customers in Richmond and the counties of Henrico, Hanover, Goochland and Louisa.

"Richmond is an absolutely priority market for us," an AT&T spokeswoman said at the time.

AT&T will become the nation's largest cable television company with the acquisition of MediaOne. The company has said it plans to offer its 16 million cable TV customers an array of telephone, Internet and television services, and has held out the promise of lower rates.

It's not clear whether AT&T will combine the Comcast system with MediaOne in the Richmond area.

Although a combined system seems the most logical move, AT&T owns other cable companies that could take over operation of the Chesterfield system. John Mellor, an AT&T spokesman, said he couldn't comment on anything with regard to MediaOne.

Federal regulators and local and state governments across the country must approve the AT&T-MediaOne deal before it can be completed. The Chesterfield County supervisors will have to approve the change of ownership from Comcast to AT&T when the time comes.

Comcast has 140 employees in Chesterfield County. Its customers include roughly 3,000 customers for the company's @Home Internet access service. MediaOne has also begun offering local telephone and Internet access services in addition to its cable TV offerings.

Despite the uncertainties, Kirby Brooks, Comcast's general manager in Chesterfield, said it's business as usual. His company is wrapping up an addition and renovation of its office building off Iron Bridge Road and continues with the roll out of its Internet and digital television services, he said.

"We're operating like nothing's going to change," Brooks said.

(c) 1999, Richmond Times-Dispatch, Va. Distributed by Knight Ridder/Tribune Business News.