Ntt Com's Parent May Be Too Big

NTT has baggage that this child could do without

It's not easy being part of Nippon Telegraph & Telephone Corp., Japan's gargantuan telecom group. Not if you're an independent-minded offspring such as NTT Communications Corp., a leading long-distance carrier and Internet service provider. As part of its plans to expand overseas, NTT Com wants to buy Verio Inc., a U.S. Internet provider. But NTT Com's parent company, NTT, is in a dispute with the U.S. over telecommunication access fees--and the squabble may affect the Verio deal. Moreover, owing to its ties to an old-economy giant, says Masanobu Suzuki, NTT Com's president and CEO, "some think we're incapable of running an Internet business."

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