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Momentum Builds for CLECs
Friday June 05, 2009,
11:33 pm ET
HARMAR, Pennsylvania, Jun. 05 /Ron Franatovich/ --
Higher productivity for small to medium sized businesses is just around the corner thanks
to commercial grade broadband services that are now being delivered at a fraction of their
previous cost. Due to the ever increasing competitive marketplace and a mad dash to consolidate
networks, telecoms are offering their premium business services to small businesses for a fraction
of what they used to cost just a few years ago. Businesses who use more than four regular phone
lines can now upgrade to dynamic integrated T-carrier circuits for the same price.
To illustrate the types of decisions that small business owners are faced with
on a daily basis, we interviewed Glenda Probst, small business owner in Los
Angeles, California, about her recent move to a dynamic integrated T-1.
"I was in a quandary about how to go about expanding the number of voice
lines to my business. Before making the move to a dynamic integrated line,
I was using POTs lines. After the fifth line, my bill was above $300/month,
not including my $100/month DSL connection. Now, I have 12 pure digital
voice lines, 1.5 MB of broadband, and I pay under $400 for it. It was a major
upgrade in service with a reduction in total price. I only wish I'd learned
about this product sooner."
To see how customers are reacting to this new product, we interviewed a series of
small business owners in Pennsylvania who are currently using the service. One such
individual shared with us his enthusiasm for the enhanced capabilities dynamic
service offers. "When I was first contacted about the dynamic integrated T1,
I was deeply skeptical of what I was hearing. Over the course of my brief
dealings with telephone companies, all I got was less service with more cost.
Now I am happy to say that I am getting more for less, which makes for one
very happy customer."
The Pennsylvania area is one place in particular where the analog to digital
revolution is gaining traction. One business owner we interviewed about
his recent decision to become a digital convert, Peter Anderson, explained
that "my biggest hindrance was my ignorance. Had I known that there was
a solution that would allow me to increase the number of voice lines,
get a full T1 (1.5 MB) of high-speed Internet, all for less than I was paying
for my POTS/DSL configuration, I would have made the move a long time ago."
Many others like Mr. Anderson are coming to the same conclusion.
Change does not happen quickly in an industry as so heavily regulated as Telecommunications.
Recent industry consolidation has provided huge alternatives to the incumbents, who
are now under pressure to keep up with new technologies while charging better prices
to retain and attract new customer bases.
But how much longer will we continue to see improved technology, services, and prices?
It's all in the hands of the Federal Communications Commission, as they have the power
to sqwash the CLECs by proxy. No wonder AT&T and Verizon are the two biggest lobbying
powers in Washington. It makes you wonder what kind of services they would be able to
offer had they plowed that money into R&D instead of politics.
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