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The Evolution of Integrated T1 Service

Thursday November 17, 2011, 02:09 pm ET

CEDAR HILLS, Utah, Nov. 17 /Patrick Oborn/ -- Is there a resurgence in the popularity of telecommunications providers that compares with the late 1990's? The answer may surprise you. Since the crash of the Internet bubble, struggling telecoms have seen Darwin in action as many companies were forced with the choice of bankruptcy or forced consolidation. However, some companies chose the road less traveled: innovation. By offering customers more for less, many small to medium size business customers are finding that they can upgrade to integrated T1 service for the same cost of five regular phone lines.

The early adapters of this new technology have realized a cost savings that helps them be more competitive in the market space. By saving hundreds of dollars each month, which equates to thousands of dollars per year, small businesses are able to do more while spending less on their telecom bill. This savings allows for hiring of additional staff, upgrading equipment, and other activities that make the enterprise more productive and profitable. Many in the industry see the lack of mass adoption of this new technology as just shear ignorance and/or a lack of trust for telecom sales people.

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.

CLECs are continuing to find new and loyal customers in the small business space, but for how long will this trend continue? Will the RBOCs ever be able to give them a fight on a level playing field? Only the FCC knows that answer to that question - all we can do is be thankful for the past 12 years of progress and hope we never return to the pre-1996 era of Telecommunications. Evolution has lead to a better, cheaper alternative to TDM services that the Bells were peddling for decades in a vacuum of competition. Now the industry, lead by the innovation and great business practices of the CLECs, seems to have turned a corner - leaving the incumbents playing catchup. Obviously, the main benefactor of all of this competition is the small to medium size business - a segment of the market that was taken for granted until today.