Sprint Corporation and Subsidiaries, f.k.a. United Telecommunications, Inc. - Page 7

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          be prevented.  The economy requirement refers to the need to                
          provide service at a competitive price.  To that end, it is                 
          necessary to avoid overbuilding a system despite the desire for             
          availability, reliability, and privacy.  Availability and                   
          privacy, which generally are presumed requirements, voice                   
          quality, price, and reliability are the bases by which systems              
          compete, with reliability being the key differentiating basis.              
          The reliability standards for telephone switches are far more               
          stringent than for most modern computer systems.                            
               An automated telephone switch comprises (1) the switching              
          network, (2) various interfaces, and (3) control mechanisms.  The           
          heart of the switch is the network, which consists of individual            
          devices designed to connect (and disconnect) communication paths.           
          Before integrated circuit switching, automated switching was                
          accomplished through a series of electromagnetic relays.  When a            
          call was placed, a physical connection path would be formed by              
          closing the appropriate relays.  In its most simplified form,               
          i.e., a network system consisting of only two telephone                     
          customers, the operation of the switch would involve nothing more           
          than closing and opening the relay switch on the line running               
          between the two customers.  When the relay was closed, the lines            
          of the two customers would be connected and the switch would have           
          functioned, enabling conversation.                                          
               A local telephone system may consist of hundreds of                    
          thousands of customers.  It would be cost prohibitive either to             




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