T1 Internet Service Prices and Rates Quotes in Union Gap

CLECs Target SMBs with Dynamic T1

Wednesday September 03, 2008, 04:08 pm ET

DRAPER, Utah, Sep. 03 /Patrick Oborn/ -- Small businesses all over the country are discovering a whole new universe of broadband access. As the price of commercial-grade telecommunication services continues to drop, more and more enterprises are starting to drop their plain old telephone service lines in favor of all-digital T1 trunks that deliver voice and data over the same connection. These new enhancements were made possible by the increasing pace of consolidation in the telecommunication industry along with the increasing value bigger phone companies can provide.

With any new advancement in technology there is usually a lag in the time it take users known as "early adapters" to try out and begin using the new services themselves. Although dynamic T1 service has been available in many US markets since 2005, it's just now that we have observed people beginning to embrace the new technology. One such business that recently changed from a voice PRI and data T1 line on to one, dynamic T1 line is Jason Oliver, a small business owner in Los Angeles, California. "When I found out that I could replace my two T1's with one single dynamic integrated circuit (offered by TelePacific Communications), I had two thoughts: 1- where do I sign, and 2- why didn't someone tell me about this sooner!"

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.

The same basic economic model described in the book "Blue Ocean Strategies" is now being applied to telecommunication services being offered to small businesses across the country: more value for less money. According to many industry watch dogs, hundreds of thousands of business will dump their POTs lines in favor of dynamic integrated T1 service within the next 12 to 24 months, saving money in the process. With the introduction of sub-$475 dynamic integrated T-service, customers are now able to receive up to 1.5 MBPS of high-speed Internet with 24 digital phone lines all on one line, for less than what they pay now for 5 regular phone lines" Stallions continued.

Recent advances in technology, fostered by competition from growing CLECs, is bringing integrated T1 services to small business everywhere. And the trend doesn't look like it will change anytime soon. CLECs continue to grow their networks, offering more advanced services like metro ethernet, MPLS, and more. 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.