William G. McGowan
Encyclopedia
William G. McGowan was an American
entrepreneur
, and founder
and chairman
of MCI Communications
. His role as leader of MCI also caused him to play an important role in the breakup of AT&T
while growing the startup company into a company that in 1991 had US$9.5 billion in revenues and controlled 16% of the American domestic and international long distance market.
as the third of five children. After graduation from high school he joined the US Army and served as a medic for two and a half years. After discharge from the military he attended King's College, Pennsylvania
and received a degree in chemical engineering. He then attended Harvard Business School
, graduating in 1954. After graduation from business school, McGowan began operating a consulting firm that specialized in rescuing troubled companies in the garment district
of New York City
. After a year of operation, his consulting agency branched out into raising venture capital
. In the role of venture capitalist, McGowan dealt with firms developing ultrasonic cleaning
technology and electro-mechanical devices.
In his role at MCI, McGowan established a reputation as a hard worker by routinely working fifteen-hour days. He was also a three-pack-a-day smoker
and drank over twenty cups of coffee
each day until his first heart attack. As leader of MCI, he labored for several years to gain the financing and regulator approvals required to begin full operations. Following the filing of MCI's 1974 lawsuit
against AT&T
, McGowan began cooperation with the U.S. Department of Justice that eventually led to a 1982 agreement leading to the divestiture of AT&T and the opening of the long distance telephony market within the United States
.
. His medical problems resulted in his receiving a heart transplant on April 25, 1987. McGowan returned to his duties as MCI chairman after a six month recovery, where he remained until his death on June 8, 1992 from another heart attack.
continues on in many forms. He established what is now the McGowan Institute for Regenerative Medicine at the University of Pittsburgh Medical Center
due to his heart condition. Just before his death, he also established the William G. McGowan School of Business at King's College. Shortly after his death, the William G. McGowan Charitable Fund was founded in his name. DePaul University
in Chicago has two science and research buildings named for the McGowan family including Mr. McGowan and his late brother, a Catholic priest. His charitable fund provides tuition assistance and financial aid grants for selected students. The Rochester Institute of Technology
created the Center for Telecommunications and the McGowan Student Commons located in the new College Applied Science and Technology building.
Mr. McGowan was inducted into the Junior Achievement U.S. Business Hall of Fame in 1992.
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
entrepreneur
Entrepreneur
An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative.The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to...
, and founder
Entrepreneur
An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative.The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to...
and chairman
Chairman of the Board
The Chairman of the Board is a seat of office in an organization, especially of corporations.Chairman of the Board may also refer to:*Chairman of the Board , a 1998 film*Chairmen of the Board , a 1970s American soul music group...
of MCI Communications
MCI Communications
MCI Communications Corp. was an American telecommunications company that was instrumental in legal and regulatory changes that led to the breakup of the AT&T monopoly of American telephony and ushered in the competitive long-distance telephone industry. It was headquartered in Washington,...
. His role as leader of MCI also caused him to play an important role in the breakup of AT&T
Bell System divestiture
The Bell System divestiture, or the breakup of AT&T, was initiated by the filing in 1974 by the U.S. Department of Justice of an antitrust lawsuit against AT&T. The case, United States v...
while growing the startup company into a company that in 1991 had US$9.5 billion in revenues and controlled 16% of the American domestic and international long distance market.
Early life
McGowan was born in Ashley, PennsylvaniaAshley, Pennsylvania
Ashley is a borough in Luzerne County, Pennsylvania, one mile from Wilkes Barre. It was a productive coal-mining area at the start of the twentieth century. Population in 1900, 4,046; in 1910, 5,601; and in 1940, 6,371...
as the third of five children. After graduation from high school he joined the US Army and served as a medic for two and a half years. After discharge from the military he attended King's College, Pennsylvania
King's College, Pennsylvania
King's College is a liberal arts college located in Wilkes-Barre, Luzerne County, Pennsylvania, United States. Accredited by the Middle States Association of Colleges and Schools, King's has been ranked among the best colleges in the nation by U.S. News and World Report for 16 straight years...
and received a degree in chemical engineering. He then attended Harvard Business School
Harvard Business School
Harvard Business School is the graduate business school of Harvard University in Boston, Massachusetts, United States and is widely recognized as one of the top business schools in the world. The school offers the world's largest full-time MBA program, doctoral programs, and many executive...
, graduating in 1954. After graduation from business school, McGowan began operating a consulting firm that specialized in rescuing troubled companies in the garment district
Garment District, Manhattan
The Garment District, also known as the Garment Center, the Fashion District, or the Fashion Center, is a neighborhood located in the Manhattan borough of New York City. The dense concentration of fashion-related uses give the neighborhood, which is generally considered to span between Fifth Avenue...
of New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
. After a year of operation, his consulting agency branched out into raising venture capital
Venture capital
Venture capital is financial capital provided to early-stage, high-potential, high risk, growth startup companies. The venture capital fund makes money by owning equity in the companies it invests in, which usually have a novel technology or business model in high technology industries, such as...
. In the role of venture capitalist, McGowan dealt with firms developing ultrasonic cleaning
Ultrasonic cleaning
thumb|300px|Ultrasonic cleaner showing the removable basket in place, and a closeup of the light and timerAn ultrasonic cleaner is a cleaning device that uses ultrasound and an appropriate cleaning solvent to clean delicate items...
technology and electro-mechanical devices.
Career
In 1968, McGowan was contacted by MCI due to his expertise in raising venture capital. Based on this contact, he made a US$50,000 investment in the fledgling business and was made chairman of Microwave Communications of America, a predecessor to MCI Communications. In his role as chairman, McGowan raised capital for the growing company and set up fifteen of the seventeen regional carriers that would form the basis of MCI's initial communications network. In 1971, he executed a reorganization of Microwave Communications of America and its seventeen subsidiaries to form MCI Communications.In his role at MCI, McGowan established a reputation as a hard worker by routinely working fifteen-hour days. He was also a three-pack-a-day smoker
Cigarette
A cigarette is a small roll of finely cut tobacco leaves wrapped in a cylinder of thin paper for smoking. The cigarette is ignited at one end and allowed to smoulder; its smoke is inhaled from the other end, which is held in or to the mouth and in some cases a cigarette holder may be used as well...
and drank over twenty cups of coffee
Coffee
Coffee is a brewed beverage with a dark,init brooo acidic flavor prepared from the roasted seeds of the coffee plant, colloquially called coffee beans. The beans are found in coffee cherries, which grow on trees cultivated in over 70 countries, primarily in equatorial Latin America, Southeast Asia,...
each day until his first heart attack. As leader of MCI, he labored for several years to gain the financing and regulator approvals required to begin full operations. Following the filing of MCI's 1974 lawsuit
Lawsuit
A lawsuit or "suit in law" is a civil action brought in a court of law in which a plaintiff, a party who claims to have incurred loss as a result of a defendant's actions, demands a legal or equitable remedy. The defendant is required to respond to the plaintiff's complaint...
against AT&T
AT&T
AT&T Inc. is an American multinational telecommunications corporation headquartered in Whitacre Tower, Dallas, Texas, United States. It is the largest provider of mobile telephony and fixed telephony in the United States, and is also a provider of broadband and subscription television services...
, McGowan began cooperation with the U.S. Department of Justice that eventually led to a 1982 agreement leading to the divestiture of AT&T and the opening of the long distance telephony market within the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
.
Personal Life
McGowan married Sue Ling Gin, a Chicago entrepreneur, in a private ceremony in Virginia Beach on July 5, 1984. They decided to keep their marriage secret for a year as Sue Ling wanted credit for success in her own right and not as the wife of McGowanhttp://www.nytimes.com/1988/03/27/magazine/together-apart.html .Death
On December 21, 1986 McGowan experienced a heart attackMyocardial infarction
Myocardial infarction or acute myocardial infarction , commonly known as a heart attack, results from the interruption of blood supply to a part of the heart, causing heart cells to die...
. His medical problems resulted in his receiving a heart transplant on April 25, 1987. McGowan returned to his duties as MCI chairman after a six month recovery, where he remained until his death on June 8, 1992 from another heart attack.
Legacy
McGowan's philanthropyPhilanthropy
Philanthropy etymologically means "the love of humanity"—love in the sense of caring for, nourishing, developing, or enhancing; humanity in the sense of "what it is to be human," or "human potential." In modern practical terms, it is "private initiatives for public good, focusing on quality of...
continues on in many forms. He established what is now the McGowan Institute for Regenerative Medicine at the University of Pittsburgh Medical Center
University of Pittsburgh Medical Center
The University of Pittsburgh Medical Center is an $9 billion integrated global nonprofit health enterprise that has 54,000 employees, 20 hospitals, 4,200 licensed beds, 400 outpatient sites and doctors’ offices, a 1.5 million-member health insurance division, as well as commercial and...
due to his heart condition. Just before his death, he also established the William G. McGowan School of Business at King's College. Shortly after his death, the William G. McGowan Charitable Fund was founded in his name. DePaul University
DePaul University
DePaul University is a private institution of higher education and research in Chicago, Illinois. Founded by the Vincentians in 1898, the university takes its name from the 17th century French priest Saint Vincent de Paul...
in Chicago has two science and research buildings named for the McGowan family including Mr. McGowan and his late brother, a Catholic priest. His charitable fund provides tuition assistance and financial aid grants for selected students. The Rochester Institute of Technology
Rochester Institute of Technology
The Rochester Institute of Technology is a private university, located within the town of Henrietta in metropolitan Rochester, New York, United States...
created the Center for Telecommunications and the McGowan Student Commons located in the new College Applied Science and Technology building.
Mr. McGowan was inducted into the Junior Achievement U.S. Business Hall of Fame in 1992.
External links
- William G. McGowan's MCI, 1968 to 1991 (Online exhibit produced by the Hagley Library on the life of MCI CEO William McGowan)
- TOGETHER APART