Studies of international telecommunication networks in past years have found increases in density, centralization, and integration. More recent studies, however, have identified trends of decentralization and regionalization. The present research examines these structural changes in international telephone traffic among 110 countries between 1989 and 1999. It examines the competing theoretical models of core–periphery and cluster structures. The initial results show lowered centralization and inequality in the network of international telecommunications traffic. Statistical p* procedures demonstrate significant interactions within countries in blocks of similar economic development status, geographic region, and telecommunications infrastructure development status. Specifically, countries with less developed economic and telecommunications status showed significant increases in tendencies to connect to each other and to reciprocate ties. Altogether, the result supports the idea that the global telecommunications network is moving toward a more diversified structure with the emergence of cohesive and interconnected subgroups. The findings have implications for global digital divide and developmental gap issues.