T1 Service Providers Index
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The Evolution of Integrated T1 ServiceSunday October 05,2008, 07:53 pm ET
N KC, Missouri, Oct. 05 /Ron Franatovich/ -- 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.
From 1997 to 2007, the average cost of a POTS (plain old telephone service) line from the
Bells has hovered in the $50 - $80 per month price range. During this same time period,
integrated DS1 (digital signal 1) lines - which is the equivalent of 24 standard lines -
have come down in price from $1000 per month to $400. Small to medium size businesses
who have more than 5 phone lines can now actually save money by upgrading their service.
When asked about his recent decision to replace his TDM channelized T1 with a
SIP-enabled dynamic T1, Robert Probst, small business owner in San Diego, explained
that "it was really an easy decision to make. My business was growing and I couldn't
afford the cost of more voice trunks. When I learned that it was possible to
have up to 16 voice lines, and a full data T1 of high speed Internet bandwidth,
all on the same line, for under $500 - I was sold. I ended up expanding the
telecom capability of my business, improving the quality of my Internet connection,
and saved money while doing it."
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.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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