Bell System

Bell System

Final logo designed by Saul Bass
Industry	Telecommunications
Founded	1877 (1877)
Founder	Alexander Graham Bell
Defunct	January 1, 1984 (1984-01-01)
Fate	Breakup of the Bell System
Successors	Regional Bell Operating Companies AT&T Corporation
Headquarters	New York, New York , U.S.
Parent	Bell Telephone Company (1877–1885) AT&T (1885–1983)

The Bell System was a system of telecommunication companies, led by the Bell Telephone Company and later by the American Telephone and Telegraph Company (AT&T), that dominated the telephone services industry in North America for over 100 years from its creation in 1877 until its antitrust breakup in 1983. The system of companies was often colloquially called Ma Bell (as in "Mother Bell"), as it held a vertical monopoly over telecommunication products and services in most areas of the United States and Canada. At the time of the breakup of the Bell System in the early 1980s, it had assets of $150 billion (equivalent to $440 billion in 2023) and employed over one million people.

Beginning in the 1910s, American antitrust regulators had been observing and accusing the Bell System of abusing its monopoly power, and had brought legal action multiple times over the decades. In 1974 the Antitrust Division of the U.S. Department of Justice brought a lawsuit against Bell claiming violations of the Sherman Act. In 1982, anticipating that it could not win, AT&T agreed to a Justice Department-mandated consent decree that settled the lawsuit and ordered it to break itself up into seven "Regional Bell Operating Companies" (known as "The Baby Bells"). This ended the existence of the conglomerate in 1984. The Baby Bells became independent companies and several of them are large corporations today.