Alternative Telecommunication Technologies Changing the Telecom Industry

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AAlternative Telecommunication Technologies Changing the Telecom Industry
“The Telecommunications Act of 1996 created a framework for competition in local telecommunications. Under its rules and under the jurisdiction of state regulatory authorities, competitive local telephone companies were to gain access to some or all parts of the incumbent's network through known wholesale tariffs and offer retail local telephone service”(Loomis &Swann, 2005). The essay will discuss how alternative technologies such as WiMAX have come into competition with wireless industry of telecom services with that were once dominated by telecom ILEC monopoly increasing the competition in the telecom industry. An analysis will be done on the mode of new telecom
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“In a world of converging technologies, increasing marketplace dynamics and rapid technological advances, new upcoming “disruptive technologies” such as Voice-over-IP (VoIP) pose threats to traditional telecommunications companies”(Yovanof & Hazapis, 2008).Figure 1 presents a visual of the local telecommunication network in comparison with the alternative of mobile wireless and cable television technologies that are now competing with the voice telecommunication service providers in addition to electric power companies that will also compete in providing broadband services to consumers in the future. Consumers and the commercial sector are craving the desire to have increased bandwidth services.”Competition and the expansion of digital nationwide networks have resulted in the dramatic declines in cost of service to end users and much more innovation in handset functionality and services”(Swann & Loomis, 2005). Figure . The Local Communications Network. (Yovanof & Hazapis, 2008) “WiMAX is the IEEE 802.16 standards-based wireless technology that provides MAN (Metropolitan Area Network) broadband connectivity” (Uzarski, 2007). Figure 2 illustrated how the WiMAX technology works. The mobile WiMaX technology is offering to deliver higher speeds in delivery video that will create competition with the cable companies providing home entertainment. “WiMAX, promises

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