How changing from Copper cables to fiber optics and VoIP maximized profit for AT& T Company
AT&T Telecommunication Corporation changed from copper cables to fiber optics and VoIP to provide quality services to the customers and maximize profit. Switching to fiber optics guaranteed an increase in profit margin because of the better services. Fiber optical communications has transformed the AT&T telecommunication corporation. Fiber optics is hailed for consistent reliability over years for Ethernet backbone infrastructure, general data networking and high speed internet. Fiber optics has become increasingly popular because of the demand for IP based devices such as IP cameras, VoIP phones and video conferencing units which requires an increase in bandwidth to support internet protocol communication. Fiber optic is capable of supporting bandwidth intensive devices because of its massive throughput abilities. Even though fiber optics is costly that copper cables the benefits are tremendous (Brodkin, 2019).
Fiber optics guarantees secure communication. It is considered one of the safest means of communication. The cabling construction makes it difficult to intercept communication. A “light leakage” will be caused whenever anybody tries to access the glass cable because degradation in communications will be noticed. Fiber optic cabling is also resistant to external forces that might easily degrade copper cabling. Fiber optic cabling is also highly recommended for industrial facilities where controllers, large motors and air conditioners are regularly starting and stopping. Radio frequency interference and electrometric interference from the equipment can result to loss of data which then increases latency on packet streams in the network. Other than that fiber-optic cabling has a very high speed when compared to the former copper cabling. A bandwidth speed of more than 10 gigabit per strand can be supported by a small diameter glass fiber. It is worth noting that copper cabling can equally support such speeds however it would require multitudes of category 6 large diameter cables aggregated together to match up the speeds of one fiber strand( Brodkin,2019).
Fiber cable is the ideal point to point hardline long distance communications. In the case of traditional copper cabling long distance communication is restricted by the 328 feet limit hence requires another equipment to extend the signal. Again attenuation usually sets in towards the maximum reach for copper cables causing a decrease in speeds on gigabit transmissions. Fiber cables are therefore very superior and relatively cheap for long distance connectivity with the ability to reach 10 gigabytes and above of speed at over 40 kilometers in length. When an organization relies on copper cable based internet, there are several factors that cause outages. For instance severe weather conditions, temperature fluctuations and moisture can distort connectivity. In addition, worn out copper cables can cause a fire outbreak because it carries electric current. Copper cables may also cause interference of radio and electronic signals which hampers reliability. Copper wires are operated by the telephone company technicians who might mistake it by fiddling with wrong wires. Therefore fiber is the most appropriate since it is not dependent on the phone company, it has its own equipment and termination points (Brodkin, 2020).
Despite the fact that organizational information technology varies drastically, the benefits associated with fiber-optic internet are making businesses to easily prefer it over others as the best mode for data transmission. Companies that invest in fiber always find that the bandwidth potential, total cost of ownership and speed gains are evident. Hence AT &T Corporation has increased its customer base and maximized profit by providing quality services through fiber optics and Voice over internet protocol (Sky,2020).
AT&T evolved from manufacturing receivers to offering broadband transmission services. Years later it generated cellular mobile systems. AT&T’s history is embedded in creativeness and innovation. Its most recent development nurtures its strategic management because it places the company atop the most crucial chapter of the telecommunication industry. VOIP technology has been instrumental in changing AT&T managerial operations as a global company. Copper wires and receivers have been removed from the equation and replaced with better machinery (Johnson et al., 2004). Calls can be made from anywhere and at any given time via internet and other computerized networks. VOIP innovation facilitates the conversion of one’s voice into digital signals thus enabling communication through internet enabled devices better known as data-driven equipment. In other simpler terms, communication can be done over the internet. The use of VOIP over the years has proven effective as it facilitates traditional telephones conversations to take place through the internet. Packet-switch VOIP changes speech waves into packets hence creating an electronic envelope. VOIP packets are then conveyed through VOIP friendly systems such as the LAN. Due to VOIP-packet designs, information is transmitted over other networks to support and improve communication requirements (Ruiz, 2000). Additionally, conventional VOIP facilities enables accessibility to enhanced applications that can possibly assist workforce hand more workload. VOIP solutions directed at commercial operations have gradually changed into cohesive communication services which handle all forms of communication as separate entities. Therefore, all communication needs can be handled through handsets and including telephone receivers. AT&T is known to have implemented IP telephony to safeguard stakeholders’ interests. It is vital to note that VOIP services provide opening for generating revenue but come with extra challenges such as downtime. Users can access seamless telecommunications facilities at all times. Service providers use dependable high-performance systems in order to meet the consumers’ needs and assure clients quality performance and reliability. Converging voice and internet has forced most of the service providers such as AT&T to provide quality and accessible services to satisfy customer needs. High quality communication services comes with cost effective prices which endear telecommunication companies to the market. The usage of quality services to operate and meet consumer communication needs has been an uphill task because of the shift in demand. For instance, numerous traffic categories are vital aspects for combining voice and data system. Nevertheless, is the network systems have to be fully functional and reliable. In the meantime people have to access VOIP through their personal IP addresses.
Bundling telecommunication services to customers has risen due to the intensifying competition between telecommunication companies. AT&T business principle enabled them to handle high-value commercial operations, control competition and cater to the rising demands among other things. Similarly, the union of the digital economy and the telecommunication industry has quicken service delivery and customer adoption to high-end products and services such as digital cable television and even streaming sites. Although AT&T has positioned itself to capture a larger consumer base, by delivering quality telecommunication services, the American demographics are shifting in favor young people who are shaping the digital economy through their diverse demands (Whitlock, 2005). Young mobile consumers are interested with the non-technical aspects of telecommunication hence forcing AT&T to rebrand itself. Unlike the older generation who hail AT&T as a giant telecommunication agency, the younger generation are more inclined towards the services offered. Thus, AT&T has been forced to promote its services and brand name to the younger generation. Therefore, the best approach of appealing to the younger generation is through bundling telecommunication services. For example offering, landline facilities, cable television and wireless internet services such as broadband internet in one bundle enables the company to capture each and every aspect of the market in one setting. Similarly, customer items ought to be priced fairly so that more potential customers can be interested in the packages offered (Minoli, 2011). More so, experts predict that taxation will reduce profit margins but expand the telecommunication network necessities and framework due to the rising demand. In the recent times demand for data has risen hence forcing telecommunication companies to come up with creative ways of meeting the rising demand. An average consumer purchases more than one service. In the telecommunication industry pricing is key in picking a service provider. If a bundle service is offered at a more affordable or competitive rate, then the service providers capture a more market niche than the rest of the competitors. AT&T over the years has bene key in increasing its market niche and providing telecommunications services at a competitive price than the rest of the telecommunication agencies. For instance, some time back AT&T had to introduce a new service after some interval in order to remain relevant and ensure that customer are retained. Normally, could not meet all the market needs and the company was forced to merge with other telecommunication companies offering complementary services in order to widen the outreach within the market.
Internet telephony provides a proper way of creating affordable services whenever one wants to make long distance calls due to fiber optic connection. There is no doubt that cable and fiber are both steadfast due to the gigabit speed. However, fiber is considered to be better due to the sustenance and well-equipped and tangible ways of catering to the needs of the people. Fiber optic are more advantageous in the telecommunication industry because they bring about numerous changes to the business. As a result of the emergence of better technical aspects of technology, more, AT&T was forced to come up with various ways of delivering services and coming up with better upgrades within months of thorough work. Fiber optics connectivity has been more advantageous to AT&T due to its storage facilities and VOIP designed company (Dubi, & Muniyandi, 2019). VOIP is instrumental in fusing internet and conventional business communication. In this point in time, most companies relies on effective communication to make decisions and come up with durable strategies for both internal and external strategic management. In the meantime, people comply with most of the adequate communication that has been found to be effective whenever dealing with wider audience because of the increased productivity and enhanced uptime. Also, the speed has reduced the redundancy of some of the managerial operations. During high demand time period, the consumer use more internet and come up with business and ensure that each operation is running smoothly. Furthermore, there is a strong connection between communication and high performance because the delivery of the final product is done in a more efficient manner as compared to before. In terms of customer relation services AT&T was forced to use cloud access services to avoid down time and ensure that most of the software services are more representative than before.
References
Johnson, C. R., Kogan, Y., Levy, Y., Saheban, F., & Tarapore, P. (2004). VoIP reliability: a service provider's perspective. IEEE Communications Magazine, 42(7), 48-54.
Ruiz, E. D. (2000). The bundling of telecommunications services in the consumer market: recommendations for AT&T in the face of intense competition with WorldCom and the RBOCs (Doctoral dissertation, Massachusetts Institute of Technology).
Whitlock, M. (2005). Voice Over Internet Protocol (VoIP) And One University Application. Review of Business Information Systems (RBIS), 9(4), 1-6.
Minoli, D. (2011). Voice over IPv6: architectures for next generation VoIP networks. Elsevier.
Dubi, I. K. Y., & Muniyandi, R. C. (2019). Performance Investigation of VoIP Over Mobile WiMAX Networks through OPNET Simulation. INTERNATIONAL JOURNAL OF ADVANCED COMPUTER SCIENCE AND APPLICATIONS, 10(1), 148-152.
Brodkin, J. (2019, June 17). AT&T cuts another 1,800 jobs as it finishes fiber-Internet buildout. Ars Technica. https://arstechnica.com/tech-policy/2019/06/att-cuts-another-1800-jobs-as-it-finishes-fiber-internet-buildout/
Brodkin, J. A. T. (2020, October 7). AT&T’s DSL Phaseout Is Leaving Poor, Rural Users Behind. Wired. https://www.wired.com/story/atandts-dsl-phaseout-is-leaving-poor-rural-users-behind/
Sky, B. (2020, December 11). POTS (Plain Old Telephone Service) is going away. What’s your plan for the future? Broad Sky Networks. https://www.broadskynetworks.net/pots-replacement-with-lte/
