<ARTICLE>                     5
<LEGEND>
This  schedule  contains  summary  financial   information  extracted  from  the
unaudited  consolidated  balance sheet of AT&T Corp. at March 31, 1999,  and the
unaudited  consolidated  statement  of income for the  three-month  period ended
March 31, 1999,  and is qualified in its entirety by reference to such financial
statements.
</LEGEND>
<MULTIPLIER>                                   1,000,000

                                            
<PERIOD-TYPE>                                  3-MOS
<FISCAL-YEAR-END>                              DEC-31-1999
<PERIOD-START>                                 JAN-01-1999
<PERIOD-END>                                   MAR-31-1999
<CASH>                                         1,463
<SECURITIES>                                         0
<RECEIVABLES>                                  10,526
<ALLOWANCES>                                   1,143
<INVENTORY>                                    0
<CURRENT-ASSETS>                               13,245
<PP&E>                                         59,539
<DEPRECIATION>                                 26,524
<TOTAL-ASSETS>                                 135,635
<CURRENT-LIABILITIES>                          19,443
<BONDS>                                        22,488
<PREFERRED-MANDATORY>                          1,660
<PREFERRED>                                    0
<COMMON>                                       3,807
<OTHER-SE>                                     66,555
<TOTAL-LIABILITY-AND-EQUITY>                   135,635
<SALES>                                        0
<TOTAL-REVENUES>                               14,096
<CGS>                                          0
<TOTAL-COSTS>                                  11,980
<OTHER-EXPENSES>                               0
<LOSS-PROVISION>                               386
<INTEREST-EXPENSE>                             190
<INCOME-PRETAX>                                2,017
<INCOME-TAX>                                   999
<INCOME-CONTINUING>                            1,018
<DISCONTINUED>                                 0
<EXTRAORDINARY>                                0
<CHANGES>                                      0
<NET-INCOME>                                   1,018
<EPS-BASIC>                                    0.39
<EPS-DILUTED>                                  0.38