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CLECs Gain Ground with SMBs

Saturday November 01,2008, 11:59 am ET


EASTLAKE WEIR, Florida, Nov. 01 /Cynthia Thomas/ -- 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.

"Even though we have been witnessing the re-consolidation of AT&T, we will never go back to the dark ages of telecom where customers were stuck with bad customer service and high prices" commented Troy Karlson, telecom analyst for e-STAR. "The competitive local exchange carriers (CLECs), all whom own their own networks and compete directly with the Bells, have created products such as dynamic T1 service that enables its customers to connect to the Internet at 1.5 MBPS and have up to 24 regular voice lines, packed with a feature-rich suite of add-ons, all for under what it costs to have 6 regular phone lines from Qwest/AT&T/Verizon.

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."

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.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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