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Dynamic T1 Services Take Root
Monday September 29, 2008,
05:55 pm ET
FLORA, Illinois, Sep. 29 /Brendan Luna/ --
Is there a resurgence in the popularity of telecommunications providers that compares with
the late 1990's? The answer may surprise you. Since the crash of the Internet bubble,
struggling telecoms have seen Darwin in action as many companies were forced with the
choice of bankruptcy or forced consolidation. However, some companies chose the road less
traveled: innovation. By offering customers more for less, many small to medium size
business customers are finding that they can upgrade to integrated T1 service for the
same cost of five regular phone lines.
"What we're seeing here is the Bells holding their prices steady and milking their high
margins on POTS (plain old telephone service) lines for as long as possible. With the
lower prices being offered by CLECs (Competitive Local Exchange Carriers) on dynamic
integrated T-carrier services, the Bells are scrambling to keep pace before enterprises
realize they can actually save money by upgrading to bigger and more reliable circuits."
commented Don Rosebush, industry expert.
"I think the telecom industry in general has turned a corner" opined Jerry Gold of
Boston, Massachusetts. "They have finally developed products that are understandable
by the industry outsider and, thanks to competition, priced these services in a
range that most small businesses can afford. For over 20 years I dreaded dealing
with 'the phone company'. But now that I've switched over to One Communications,
my integrated T1 is doing everything I need it to, for under $450/month. One
actually answers their customer service calls and makes me feel like I'm part
of their family. It was a long time coming, but I'm finally able to end the
fight with the phone company so I can focus on my sports memorabilia store."
The early adapters of this new technology have realized a cost savings that helps
them be more competitive in the market space. By saving hundreds of dollars each
month, which equates to thousands of dollars per year, small businesses are able
to do more while spending less on their telecom bill. This savings allows for
hiring of additional staff, upgrading equipment, and other activities that make
the enterprise more productive and profitable. Many in the industry see the
lack of mass adoption of this new technology as just shear ignorance and/or
a lack of trust for telecom sales people.
As the competitive local exchange carriers continue to compete by introducing new and
exciting products at prices most small businesses can afford, they are coming up against
increasing resistance from the RBOCs who are forces to lease their own copper lines
to these CLECs at reduced rates. This reality has the CLECs rushing to deploy their
own networks and fiber routes, but the FCC may ultimately relax the mandate - leaving
all of us wondering how long the party is going to last.
The golden age of telecommunications may be upon us, based upon our research and
recent uptick in customer satisfaction. Although the industry has years of
bad blood to overcome, recent innovations such as the dynamically configuring
T1 line are proof that progress is indeed being made.
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