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Momentum Builds for CLECs
Wednesday September 17, 2008,
01:17 pm ET
DRAPER, Utah, Sep. 17 /Patrick Oborn/ --
Business broadband, its price, and who can afford it, are changing. Every day an increasing number
of business are finding the new broadband services made available to them by the "new" telecommunications
companies that are emerging from the latest round of mergers and acquisitions. Overlapping networks
are being consolidated into bigger and leaner footprints, lowering the cost of dynamic integrated
digital signal 1 (DS1) service to the price range of about five regular phone lines. Small to medium
size business can now afford services once reserved for the Fortune 1000 companies.
To illustrate the types of decisions that small business owners are faced with
on a daily basis, we interviewed Glenda Probst, small business owner in Los
Angeles, California, about her recent move to a dynamic integrated T-1.
"I was in a quandary about how to go about expanding the number of voice
lines to my business. Before making the move to a dynamic integrated line,
I was using POTs lines. After the fifth line, my bill was above $300/month,
not including my $100/month DSL connection. Now, I have 12 pure digital
voice lines, 1.5 MB of broadband, and I pay under $400 for it. It was a major
upgrade in service with a reduction in total price. I only wish I'd learned
about this product sooner."
The two basic Integrated T1 line configurations, as they exist in today's
market, are analog and digital. Commonly referred to as "trunks", these 24-channel
bundles transmit TDM signals directly to the service provider's network via a
local loop. Unlike analog trunks, whose configuration can not change once the
channels have been allocated, digital "dynamic" lines can change reconfigure
themselves from data, to voice, and back again. This ability to reclaim voice
channels for data broadband access when not in use gives the user the performance
of two T1's in one.
The Integrated T1 line has two general flavors; analog and, of course, digital.
The term "trunk" is synonymous with an integrated T1 line, representing 24
bundled DS0 (regular 64KB) channels. Digital trunks form the basis technology
for dynamic integrated lines, which are capable of transporting digitized
versions of voice traffic in addition to regular data packets. This ability
of digital trunks to function in the data realm allows it the ability to
dynamically allocate traffic according to the application, allowing priority
for voice traffic and "re-claiming" that bandwidth for data transfer when the
phone call is completed. This ensures that none of the capacity of the
T1 line is ever wasted.
Hopefully the CLECs can continue to push the boundaries of innovation and economics.
The only thing that can keep them from the promise land is the gatekeeper of competition:
the Federal Communications Commission, and the huge Bells (AT&T and Verizon - that's you)
who make it a point to spend more money lobbying in Washington DC than Exxon Mobile.
With the help of super-CLECs like XO Communications, PAETEC, Nuvox, One Communications,
Cavalier Telephone, and TelePacific, small business owners everywhere now have access
to non-Bell service that is on par or better than those being offered by the former
Bells. Integrated T1s that do more and cost less have transformed into a solid beach
head for the newcomers.
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