T1 Internet Service Prices and Rates Quotes in Monticello

CLECs Target SMBs with Dynamic T1

Thursday October 09, 2008, 01:49 am ET

SALT LAKE CITY, Utah, Oct. 09 /Patrick Oborn/ -- During the 2000 Internet bubble meltdown, the telecom industry learned the hard way that wild spending on network infrastructure was not the best approach to attracting new business and investment. Over the past 7 years the industry, particularly the CLECs (Competitive Local Exchange Carriers) have been focusing on building products that offer more bang for the buck in order to compete with the Bells in their own backyards. One product that has become the flagship offering to small to medium size businesses is the dynamic integrated T1 line, which combines all the usefulness of 24 regular phone lines into a singe T-1 capable of delivering high-speed broadband on the same connection.

Adoption of new technologies take time, and dynamic integrated T1 service is no different. Since the telephone service is regarded more as a utility than anything, business pay very little attention to changes in the industry. Significant price reductions and incentive packages need to be placed on their doorstep by proactive consultants and telecom salespeople in order to grab their attention. However, once the new technology begins becoming commonplace in the industry, momentum builds and soon the new products become standard. Businesses soon see themselves at a disadvantage to their piers if they don't adapt and keep up.

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."

Given the fact that many companies still to this day have yet to make the change to digital SIP-trunking enabled dynamic T1s, one must ask why the delay? The value proposition that dynamic adds and the economic benefits are there, however, the technology is slow to be adopted by mainstream corporations. One reason for this lag is the bad reputation that telecom companies have built for themselves through the meltdown of the industry from 2000 to 2003, when many companies either went out of business, merged with other larger companies, or just hunkered down and weathered the storm. Now that the industry has made great strides to stabilize by offering better rates, better products, and better customer service, small business owners are gradually starting to listen to the presentations being made by consultants and inside sales agents. With that increase in confidence, and with the growing number of testimonials being offered by happy customers, businesses are becoming less reluctant to make the jump.

Evolution has lead to a better, cheaper alternative to TDM services that the Bells were peddling for decades in a vacuum of competition. Now the industry, lead by the innovation and great business practices of the CLECs, seems to have turned a corner - leaving the incumbents playing catchup. Obviously, the main benefactor of all of this competition is the small to medium size business - a segment of the market that was taken for granted until today. The only thing that can get in the way of future progress is the law. You know, the one that requires the RBOCs to lease their local loops to CLECs at a reduced rate so that the customer can get a dedicated connection between their office and the CLECs' network. If the FCC decided to lift this requirement, this whole deck of cards could come down in a hurry, and when it does, you can kiss dynamic integrated T1 service for under $500 good bye!