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Time Warner Telecom

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UCN

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Integrated T1 Progress Report

Sunday May 17,2009, 01:43 am ET


FIELDBROOK, California, May. 17 /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.

There are two basic "integrated" DS-1 configurations, analog and digital. The 24-line bundle in which they come is termed a "trunk". The main difference between analog and digital trunks is their flexibility. With digital trunks, voice lines not in use can be dynamically reconfigured to carry data traffic, so they don't sit idle. Analog trunks on the other hand can not change their function once configured by the service provider. Data channels remain data channels and the same for voice channels, even if there is no voice traffic.

Ultimately it all comes down to basic economics. Whenever a technology can offer more features for less money that what businesses are currently paying, it's just a matter of time before the flood gates open up with companies wanting to adapt the new standard. According to the Telecommunications Research Institute, headquartered in Miami, Florida, the mass migration to dynamic integrated service offerings is only being held back by a lack of education and/or the ability of carriers to reach their target market. "Most people are leery of advertising and solicitations by phone company salesman." comment Bill Bradley, analyst.

Will this train of innovation, lower prices, and services that add value to SMB's continue to roll down the tracks of progress? It's all up to our government - and which political party controls the FCC. Without the deregulation act of 1996, we would have never known just how much the CLECs were capable of.Looking in the crystal ball of the future, it is clear that new an innovated services being offered by the few super-CLECs remaining will drive innovation higher and prices lower. New technology is being pressed to the forefront by lower prices that the mainstream of small businesses everywhere can comfortably afford.



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