At&T Business Strategy

If they are able to maintain the loyalty of most of their current customers, the companies will then have a shared amount of about 100 million customers. This potential customer volume for the merging companies would greatly outnumber the customer volume of the industry leaders, AT&T and Verizon. This kind of turnout would create greater competition between the two merging companies and the two leading companies (Sprint Wireless News, 2014). Although the outcomes seem promising for Sprint and T-Mobile, there are also potential negative effects of a merger that the companies should take into consideration. Current Sprint and T-Mobile customers have expressed their fear of the possible merger for multiple reasons. The two biggest worries for telecommunication services consumers is the potential for rising costs and a reduction in provider options (John, 2016). In making a final decision, the companies, as well as the Federal Communications Commission, should weigh the advantages and disadvantages of a

The Canadian cellular service’s industry is comprised of approximately 15 cellular providers. These operators employ approximately 16,000 individuals and generate more than CAN$10B in revenues annually, which represents almost 30 percent of the Canadian telecommunications market. The Canadian wireless industry has been experiencing an annual growth rate three times that of any other Canadian telecommunications sector. This is very significant as Canada is in the top 10% in the world for broadband penetration.

Their plans are to continue to throw fiber optic lines that can deliver cable, telephone, and high speed internet. Verizon is still the nation number one carrier but AT& T is steadily closing in. Cash from operating activities have increased 2 million over the past year while cash from investing activities has decreased by almost 3 million. Cash from financing activities is negative 6 million.

To summarize, AT&T has a very organized management team that is always planning new things for the company’s well being. The AT&T managers believe in happy employees and happy customers. The company offers great employee benefits and salaries and by doing this they keep the employees working for the company a longer length of time. AT&T realizes that the longer the employees are with the company the more educated they are about the products and services and about company regulations. In turn AT&T spends less money training new employees because the employees that are with the company stay with the company as long as possible. AT&T also manages to keep long lasting relationships with the customers with different things like bundles and by introducing

It provides many of the same services as Verizon and provides telecommunications both in the United States and internationally. Some of the products and services that AT&T offers are local exchange services, long-distance services, equipment for telecommunications, managed networking, wireless communications, and local exchange services. Unlike Verizon, AT&T has been historically a major presence in providing landline services, something which it continues to provide. It also focuses on the same three demographics as Verizon, which are the general public, businesses, and government agencies. The mission statement of AT&T is, "AT&T is bringing it all together for our customers, from revolutionary smartphones to next-generation TV and broadband services and sophisticated solutions for multi-national businesses. For more than a century, we have consistently provided innovative, reliable, high-quality products and services and excellent customer care. Today, our mission is to connect people with their world, everywhere they live and work, and do it better than anyone else. We're fulfilling this vision by creating new solutions for consumers and businesses and by driving innovation in the communications and entertainment

T-Mobile is the fourth largest cell phone provider in the United States. AT&T plans to pay $39 billion to buy Deutsche Telekom 's T-Mobile USA in a deal that is expected to attract intense regulatory scrutiny as it creates a new U.S. mobile market leader.

Verizon is a major telecommunication provider in the United States. The company is the market leader, with $110 billion revenue and $2.4 billion in profit (MSN Moneycentral, 2012). Verizon has steady revenue streams that are largely based on a subscription model. It has several business segments, including wireless (63.3% of revenues) and wireline (36.7%) (2011 Verizon Annual Report). Most of this report will therefore focus on the wireless business, not only because this is the largest business that the company operates but because it is a rapidly growing and evolving business as well, a function of the rapid pace of smartphone adoption in America.

The primary business of AT&T Incorporation is telecommunication. This American leading company provides both fixed telephony and mobile telephony. Amongst other services that the company offers include broadband television subscription. Currently, AT&T Incorporation is a leading fixed telephony provider and the second largest mobile telephony provider in United States of America. AT&T Incorporation has steadily grown to become the third largest company in Texas, United States. In addition, it is the largest company in Dallas.

Among all the competitors AT&T is the biggest competitor of Verizon, Verizon acquired “Alltel wireless” in beginning of year 2009 to overtake AT&T and become the largest wireless mobile network company in U.S.

From 1984 until 1996 AT&T was an integrated telecommunications services and equipment company, succeeding in a newly competitive environment. In 1995 On September 20, AT&T announces that it is restructuring into three separate companies: a services company, retaining the AT&T name; a products and systems company (later named Lucent Technologies) and a computer company (which reassumed the NCR name). Lucent is spun off in October 1996, and NCR in December, 1996. Three years later AT&T announces general availability of its local residential telephone service in New York with a bundled plan called "AT&T Local One Rate New York." This is AT&T's first general reentry into the consumer local telephone business since the breakup of the Bell System. It occurs under the provisions of the Telecommunications Act of 1996. The Telecommunications Act triggered dramatic changes in the competitive landscape. SBC Communications Inc. established itself as a global communications provider by acquiring Pacific Telesis Group (1997), Southern New England Telecommunications (1998) and Ameritech Corp. (1999). In 2005, SBC Communications Inc. acquired AT&T Corp., creating the new AT&T. With the merger of AT&T and BellSouth in 2006, and the consolidated ownership of Cingular Wireless and YELLOWPAGES.COM, AT&T is positioned to lead our industry in one of its most significant transformations since the first

This organization encourages the development of a comprehensive work environment where all employees are respected and can achieve at their fullest potential. AT&T has a very strong culture and their values are not only shared with management, but by all employees. While mergers are known to affect an organization’s culture, AT & T has proven success with at least three mergers. In October of 2004 AT&T completed a merger with Cingular to become AT&T wireless. In November of 2005, SBC and AT&T finalized their union and with that AT&T Corporation became AT&T Incorporated. The organization became the largest phone company in the United States when they acquired SBC, serving 13 states in the western and southwestern part of the U.S. Their latest acquisition came in Mar of 2006 when Bellsouth was purchased ("AT&T Inc." Notable Corporate Chronologies Online Version, 2006). With the merger of Bellsouth, AT&T picked up another nine states in the Southeast to provide available service in a total of 22 states (Reardon, 2006). The merger of AT&T and BellSouth, along with the consolidation of Cingular Wireless, will continue advancement in the communications and entertainment industry, where they will continue to invent new resolutions for consumers and businesses. These accomplishments prove that AT&T has a successful organizational culture.

AT&T’s 3G network has recently seen a huge turnaround. In February 2010, AT&T landed a win in a new test of 3G performance in the US. AT&T had both the fastest average download speeds, at 1.4Mbps, and the fastest uploads, at 773Kbps. Both were major improvements and were as much as 84 percent faster than what was seen a year earlier. T-Mobile and Verizon were only periodically able to top 1Mbps while Sprint would only come close to the mark. (Sullivan 2010)

Over the next four years, AT&T took action to succeed in changing the environment. It invested 35 billion dollars upgrades to its infrastructure. By mid –2000 AT&T had evolving networks- data, broadband and wireless. IN January 2005, AT&T bought SBC for 16 billion dollars and this created the industry’s premier communications and networking company. And just recently AT&T has merged with Cingular to created even more ties to what you like.

 As a consequence of the governments intervention, the AT&T lawsuit settlement, as well as the shift in the telecommunication industry, it was clear that AT&Ts local telecommunication business was slowly moving away from a monopoly franchise environment. It was moving towards a more competitive environment characterized with more consumer choice and greater competition. Companies such as IBM saw the divestiture of AT&T as an opportunity to provide new telecommunication equipment and services, which would allow them to gain a higher market share. AT&T's stock had up till then been regarded as a stable utility-type stock because of its steady growth and consistent dividend yield. However, AT&T should have kept in mind that they would not have as much market control in the future as they did prior the divestiture, much due to the intensifying competition and regulatory environment changes.

AT&T was broken up into the Bell companies in “1974 by the U.S. Department of Justice antitrust suit against the monopoly” (From Wikipedia, the free encyclopedia). Today AT&T has become a competitor vying for control of the telecommunications industry. “In monopolistic competition, there are many firms vying for control of one market. Each firm offers a different type of product, as opposed to perfect competition in which all offer the same product. Each firm, then, has a monopoly in the market of their own product”(Oracle ThinkQuest Education Foundation) AT&T in 1988 began purchasing stock in Sun Microsystems to begin its diversity in product services. Throughout the 90s AT&T continued purchasing more computer companies and cell phone companies to gain market share in the growing telecommunication industry (CyberStreet). Good pricing structures align with costs. AT&T Wireless realized that the marginal cost of a cellular minute was small compared to the cost of acquiring and maintaining customers. Their switch to a flat fee “One-Rate” plan was a huge success, stealing heavy users away from the competition. Prices increased for light users and many became hooked on the cellular lifestyle (Lake Partners Strategy Consultants, Inc. [LPSCI], 2001-2004). AT&T has seen that the ability to change quickly in the ever-evolving telecommunications market will help in gain market share. Its ability to see the value in keeping customers rather