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CLECs Gain Ground with SMBs
Wednesday June 17, 2009,
03:18 am ET
BELLMONT, Illinois, Jun. 17 /David Onaindia/ --
The way business connect to the digital universe is changing. More and more enterprises are
discovering the new broadband options made available to them through a series of cost cutting
measures by telecommunication providers. With the recent rush to consolidate, more and more
features are being crammed into the current service offerings, which continue to fall in price
bringing products like integrated T1 service into the price range of the vast majority of
small to medium-size businesses.
"When we moved into our new location here in Los Angeles" commented John Baker, a
small business owner in San Diego, California, "we feared having to sign up for
commercial telephone and internet service. Until about a year ago, the services
being offered to us were TDM, which doesn't come cheap. Thankfully our Telarus
commercial telecom broker recommended that we give TelePacific a try, and we did.
One year later, we've never had an erroneous bill, our phone and data are all on
one single dynamic T1, and we can focus on what we do best - brokering mortgages."
The Integrated T1 line has two general flavors; analog and, of course, digital.
The term "trunk" is synonymous with an integrated T1 line, representing 24
bundled DS0 (regular 64KB) channels. Digital trunks form the basis technology
for dynamic integrated lines, which are capable of transporting digitized
versions of voice traffic in addition to regular data packets. This ability
of digital trunks to function in the data realm allows it the ability to
dynamically allocate traffic according to the application, allowing priority
for voice traffic and "re-claiming" that bandwidth for data transfer when the
phone call is completed. This ensures that none of the capacity of the
T1 line is ever wasted.
The old-school integrated T-1 was analog in nature, and came with 24 configurable
channels (called a trunk) which could be configured to carry either voice or data
traffic. The new "dynamic" trunks are all-digital and can change on-the-fly
to carry either data or voice traffic. This comes in handy when none of the voice
lines are in use - all channels can revert to carrying data traffic, giving the
end-use a full 1.5 MBPS of broadband. Each phone call requires only 64K of bandwidth,
so even a small handful of calls only slows down the data connection by a nominal
amount.
The recent progress made by CLECs leaves us thinking in hypotheticals. "What if the
Clinton administration wouldn't have passed the Telecommunications Act of 1996, requiring
RBOCs to lease their lines at reduces rates to the CLECs?" "Will the FCC continue to
enforce this law, or will it be overturned by the powerful AT&T and Verizon lobbyists?"
It is impossible to know either way, but for the time being we can just be grateful
that the industry has evolved to the point were small businesses can actually benefit
from telecommunications at an affordable rate.
Until deregulation allowed smaller, hungrier telecommunications companies the
ability to compete, the United States was stuck with technologies that were quickly
becoming out of date. Now that the Bells actually have to innovate to keep up with
the smaller CLECs, customer everywhere are reaping the benefits.
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