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About Our Service Broadband Providers
SmartPrice.com has a large number
of broadband carriers to provide for the needs of its customers. The
following provides background about the various kinds of carriers
providing service to business customers as well as some examples
we have on the SmartPrice.com site.
Local Service Providers:
Most of the people in the U.S. get their local telephone service from an RBOC (Regional
Bell Operating Company). These companies were created in 1984 when the Federal Government
forced the break-up of AT&T. The twenty-two Bell Operating Companies that specialized
in providing local service were spun off into seven RBOCs - NYNEX, Bell Atlantic, Bell
South, Ameritech, Southwest Bell. US West, and Pacific Telesys. Recent Mergers and
acquisitions have reduced the number of RBOCs to four: Verizon in the northeast, Bell
South in the southeast, SBC in the southwest and Midwest, and Qwest in the West.
There were two large independent telephone companies (United and GTE)
and many hundreds of small independent telephone companies that served all those outside
of RBOC territories in 1984. While larger industry players have purchased many of these
companies, they still influence the industry in several ways.
If your business is in an RBOC territory, your will have a large
number of competitive choices, many different features and services, and low prices for
many services. There are fewer competitive choices, a more limited selection of services,
and generally higher prices in the former United and GTE service areas. Finally, the
areas served by the small independent telephone companies have the fewest competitive
choices, limited service and feature availability, and relatively high prices.
Competitive Local Exchange Carriers (CLECs) are newcomers to the
local service market and generally provide more competitive rates than incumbent
carriers. These carriers may resell RBOC service or offer service over their own
facilities.
Long Distance Service Providers:
AT&T, MCI, and Sprint are the largest Inter-Exchange Carriers (IXCs) - that
is the telecom industry's name for long distance carriers. There a more than a thousand
other IXCs divided into three broad categories of companies as follows:
- Facilities Based Carriers - these companies own
switches and transmission facilities (usually fiber optic cables) along with the entire
infrastructure to design and support networks as well as bill customers. They may lease
or swap facilities with other carriers for diversity or economic reasons. AT&T,
MCI, and Sprint are examples of facilities based carriers. Facilities based carriers
are more likely to provide a full line of services including high-end data services
such as frame relay and ATM services. Qwest, Global Crossing, and Broadwing and many
other lesser-known carriers are also facilities based.
- Switch Based Resellers - these companies resell
service from other carriers but have at lease one switch that allows them to aggregate
service from several wholesale carriers, do least cost routing, and provide features in
addition to those offered by the wholesale carriers. They also have care groups and
render bills to their customers. Access Point and Global Telecommunications are
examples of switch-based resellers.
- Switchless Resellers - these companies do not own
switches or facilities. They resell the services of one or more facilities based
carriers. They provide customer care and billing for their customers and may add value
with specialized pricing, or aggregating a number of suppliers services into "bundles".
TNCI, Capital Communications, and ECG are examples of switchless resellers.
Many telecommunications companies are combinations of the
three types of carriers outlined above. They may own facilities serving some
areas and resell service in other areas or they may resell advanced capabilities such as
conferencing and data services.
Full Service Providers:
Many carriers, especially the larger ones, are moving toward providing a full line of
telecommunication services including local, long distance, data services, and wireless.
The large long distance carriers are moving to provide local service and the RBOCs are
moving into the long distance markets. The primary benefits to customers are a single
point of contact, a single bill, and potentially lower prices. Examples of full service
providers are AT&T, Sprint, and Z-Tel.
Niche Service Providers:
There are a significant number of carriers and resellers that focus narrowly on
particular markets or specific product sets. These carriers can often provide significant
value in their areas of concentration and are worth considering if your business fits
their niche or you need a service in which they specialize. Some common areas of focus
that are of interest to business are as follows:
- Business Carriers - some carriers focus on
providing services only for businesses. Business customers are generally larger and
change carriers far less often than residential customers. Additionally, business
customers need a broad product set and usually add additional lines and services over
time. Business customers can benefit from dealing with a business only carrier by
having a telecom partner that is very knowledgeable about business applications, has
many service alternatives, and generally aggressive pricing. Business carriers'
customer care is usually extremely responsive in recognition of the importance of
telecommunications to most businesses. Examples of business carriers are Trans-national
Communications Inc. (TNCI) and W2COM.
- Tele-conferencing and Video-conferencing services
- there are a number of companies and divisions of larger companies that specialize in
conferencing services. Many of these companies do not require contracts or commitments
for their services and the services may be used in addition to those provided by your
regular carrier. Examples of these companies are ILD and AccuLinQ conferencing
services.
- Regional Carriers - many CLECs (Competitive Local
Exchange Carriers) serve limited geographical areas. Veranet, for example, serves the
Eastern U.S. and Grande Communications serves Texas. Many long distance resellers serve
only RBOC territories. These carriers can provide regional businesses very good values
but may have to be augmented or replaced as businesses outgrow their original
regions.
Agents and Master Agents: in addition to the types
of carriers outlined above, agents or master agents (large agents supporting thousands of
customers) may support telecom customers. Agents represent one or more carriers and add
value by helping customers with buying decisions, performing design work, and doing bill
audits. Agents do not generally provide customer care beyond the buying process and do
not bill customers directly. SmartPrice.com is an example of a master agent.
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