▁decision ▁established ▁the ▁principle ▁that ▁customers ▁could ▁connect ▁any ▁law ful ▁device ▁to ▁the ▁tele phone ▁network , ▁even ▁to ▁offer ▁a ▁compet ing ▁service . ▁In ▁the ▁mid ▁ 1 9 7 0 s , ▁emer ging ▁long - distance ▁compet itors ▁like ▁M CI ▁and ▁S print ▁faced ▁the ▁same ▁t actic ▁of ▁den ying ▁inter connection , ▁which ▁regul ators ▁qu ashed , ▁followed ▁by ▁a ▁series ▁of ▁efforts ▁by ▁the ▁Bell ▁System ▁phone ▁companies ▁to ▁es cal ate ▁the ▁costs ▁of ▁inter connection ▁as ▁an ▁indirect ▁means ▁of ▁ex cluding ▁competition . ▁These ▁batt les ▁resulted ▁a ▁large ▁amount ▁of ▁ant it rust ▁lit ig ation ▁and ▁ultimately ▁led ▁to ▁the ▁ 1 9 8 2 ▁break up ▁of ▁the ▁Bell ▁System . ▁ ▁In ▁ 1 9 8 2 , ▁AT & T ▁and ▁the ▁Justice ▁Department ▁agreed ▁on ▁tent ative ▁terms ▁for ▁settlement ▁of ▁ant it rust ▁suit ▁file d ▁against ▁AT & T ▁in ▁ 1 9 7 4 , ▁under ▁which ▁AT & T ▁div ested ▁itself ▁of ▁its ▁local ▁tele phone ▁operations , ▁which ▁became ▁known ▁as ▁the ▁" B aby ▁B ells ." ▁In ▁return , ▁the ▁Justice ▁Department ▁agreed ▁to ▁lift ▁the ▁restrictions ▁on ▁AT & T ▁activities ▁contained ▁in ▁the ▁ 1 9 5 6 ▁Cons ent ▁Dec ree . ▁ ▁See ▁also ▁▁ ▁United ▁States ▁Independent ▁Tele phone ▁Association ▁ ▁Sh erman ▁Ant it rust ▁Act ▁ ▁Communic ations ▁Act ▁of ▁ 1 9 3 4 ▁ ▁Tele communic ations