Telecommunications and Networking Report
1.“Free Web Services Challenge AOL’s Dominance” - Internet business analysts generally are not yet convinced of the viability of the free web service business model for bring profitable. None-the-less, most agree that the free access will probably take a significant chunk of AOL’s market share before running out of investor’s money.
2.“Visitalk.com Builds White Pages for Web Phone Calls” - Visitalk.com has unveiled plans to simplify the routing of phone calls over the Internet. They will provide a directory service which will provide subscribers with a unique 12 digit Internet phone number. The directory will capture user’s current IP address and update their database, serving as a switchboard for Internet phone calls which are routed over IP. This solves a major problem with the fact that IP addresses change for users as they move from computer to computer.
3.“Cisco to But Software Maker for $325 Million” – Cisco Systems agreed to acquire WebLine Communications, a software maker producing e-mail routing and collaborating software. WebLine is to be assimilated into Cisco’s Applications Technology Group. This was Cisco’s 12th acquisition this year.
4.“Firm Agrees to Purchase Cable-Modem Technology” – Intel agreed to purchase the cable modem technology of Stanford Telecommunications, Inc. The deal puts Intel face to face in the marketplace with Broadcom Corp., which currently holds the majority market share for cable modem chips.
5.“Qualcomm Pact Targets Wireless Network Products” – Lucent Technologies signed a development agreement with Qualcomm to product wireless networking equipment. Qualcomm will give its CDMA technology, including chips and software to Lucent. Lucent plans to have trial systems utilizing the technology in place next year.
6.“MCI Worldcom, Sprint Ponder Merger” – The world’s second and third largest long-distance carriers are in talks are in talks over a possible merger. The deal would give MCI it’s only nationwide wireless network. An obvious stumbling block over such a large telcom merger would be close scrutiny by regulators. It is also expected that regional Bell companies may soon have permission to compete in the long distance market as well.
7.“Earthlink and MindSpring to Merge, Forming No. 2 Internet Access Firm” – This deal makes the new Internet Provider second only to AOL. The combined company will have 3 million subscribers, still a far cry from AOL’s 18 million, but none-the-less a viable competitor.
8. “Teledesic ‘Sky Internet’ May Start Sooner” – Teledesic chief Craig McCaw is attempting to raise funds for his planned ‘Sky Internet.
In the year of 2005, the companies eventually found a way to make it easier for the companies to combine without having any major issues or problems. Unfortunately, around the year of 20010 the merging com...
Robert Zimmerman, the senior vice president of business development, for American Cable Communications (ACC) was in the process of looking for a potential acquisition target for ACC. In December 2007, Zimmerman remember a presentation that was made recently by Rubinstein & Ross (R&R). R&R was a boutique investment bank that was well known for doing deals in the media and telecommunications area. During this presentation it was suggested that ACC buy out AirThread Connections (AirThread) which is a large regional cellular provider. The current industry of these companies were moving more toward bundled service offerings and by adding AirThread it would help ACC cover an area of service it does not currently offer. In order to determine if the acquisition should be done an analysis needs to be done.
I am interest in the study of this topic because I am curious about the financial effects of such a merger.
Cisco Designs, manufactures, and sells Internet Protocol (IP) - based networking and other products related to the communications and information technology (IT) industry and provide services associated with these products and their use. The company provides products for transporting data, voice within buildings, across campuses and globally. The products are utilized at enterprise businesses, public institutions, telecommunications companies and other service providers, commercial businesses, and personal residences. Cisco conducts its business globally and manages its business geographically. Its business is divided into the following three geographic segments: The Americans; Europe, M...
A) According to the article:’ Time Warner Cable to Merge with Comcast Corporation to Create a World-Class Technology and Media Company”, Time Warner Cable and Comcast came to a friendly agreement in which the board of directors approved the stock-for-stock transaction where Comcast will acquire 100% of Time Warner’s cable shares outstanding. This acquisition will be both beneficial for Comcast’s consumers and their shareholders where this merger will create a technological innovating company with ground breaking products and services. This acquisition will be accretive to Comcast’s free cash flow and yield many synergies for both companies. As Robert D. Marcus, Chairman and CEO of Time Warner Cable said, "This combination creates a company that delivers maximum value for our shareholders, enormous opportunities for our employees and a superior experience for our customers". Through this merger, many consumers and businesses will benefit from the new company with cutting-edge products that will broaden the technological platform in the media. Not only this merger will reduce competition, but also will add to Comcast the 11 million TWC subscribers, which will be totaled in around 30 million subscribers and will expand to Comcast’s geographic footprint in the media platform.
Many people turn to the AT&T and T-Mobile takeover that was turned down and do not understand why the Comcast and Time Warner merger would be allowed. The main reason this is allowed, is because the cable providers service different areas as shown in exhibit 2. Comcast and Time Warner will have control of their region, but they will not be taking away business from the other cable providers. Cell phone service providers service the entire country and have overlapping markets. If AT&T took over T-Mobile, they would gain more power and take away business from Verizon and Sprint. The merger had different implications and this is one of the reasons why Comcast and Time Warner can actually pull off this merger. The VP of Comcast stated “This transaction has the potential to slow the increase in prices. ... Consumers are going to be the big winners (Reuters 2)."
Group behavior in AT&T is of higher regard than some other companies.Verizon and AT&T are two of the largest land line and cellular phone companies in the world. Both have survived major changes and evolution in the communication industry, as well as endured fierce competition from other carriers, particularly in the wireless communication industry. AT&T corporate business has many different guidelines to follow. Not only the code of ethics (as seen below) but they also have a honest and ethical conduct policy, conflicts of interest, disclosure, compliance, recording and accountability, opportunities, confidentiality. fair dealing, and protection of the company and its assets. AT&T Inc. (stylized as at&t) is an American multinational telecommunications corporation, headquartered at Whitacre Tower in downtown Dallas, Texas. AT&T is the second largest provider of mobile telephony and the largest provider of fixed telephony in the United States, and also provides broadband subscription television services. AT&T is the third-largest company in Texas (the largest non-oil company, behind only ExxonMobil and ConocoPhillips, and also the largest Dallas company). As of May 2013, AT&T is the 21st largest company in the world by market value, and the 13th largest non-oil company. As of 2014, it is also the 20th largest mobile telecom operator in the world, with over 250 million mobile customers. Communication is a big a key in organizational behavior. AT&T’s website is easier to navigate, and offers essentially the same information as Verizons. Both companies have active foundations for charities. The way the employees are treated seems to be a major difference between both organizations, with interviews with an employee of both companies ...
The Internet boom of the 1990’s gave rise to the popularity of America Online AOL and Time Warner saw themselves at a crossroads where old and new media would become one. The histories of both AOL and Time Warner are extensive and have not always been successful. Time Warner itself was created by two mega-mergers. The first merger was in 1989 between Time Inc., publisher of many magazines such as Time Magazine, and Warner Communications. Both companies have histories stretching as far back as 75 years or so. In 1996, this company merged with Turner Broadcasting, which brought CNN with its founder Ted Turner. These two mergers created a company ready to lead in any form of media. The company launched the HBO television network. Time Warner, headquartered in New York, had $27.3 billion in revenues in 1999 and a market value of $112.6 billion. On the other side of the merger there is new media giant AOL, today the biggest, richest, and most successful internet company in the world. It was founded in 1985 as Quantum Computer Services and by 1994, after changing its name, had a million subscribers. In its early years, it almost fell because of the problems associated with introducing unlimited access for a fixed monthly fee. As its number of users increased, so did its capacity problems, which made many customers angry because they could not get a connection. The problem was solved when AOL made a deal with MCI WorldCom, which led merge with its rival CompuServe.
Cell phone manufacturers and service providers are at the core of the cell phone industry. These corporations are integral from their research and development endeavors to interactions with the consumer and the marketing of new products. The companies that control such factors of cellular phones are very numerous, so it is difficult to address all the cell phone manufacturers and service providers. However, we have focused largely on only the most significant cellular companies namely in the U.S. marketplace, although many have global ties. Collectively, companies around the world have the same goals in mind – to create desirable cutting-edge technology and to increase consumer satisfaction with hopes of generating sales, and thus profits.
During the last decade, we’ve been to the top of the world—during the dot-com boom of the late 1990s—and back down again, when it all fell apart a few years later. But with the bad came the good: The Web forever changed the business world. The following small-business owners are shining examples of how Web-based technologies can be a businessperson’s best friend.
The merger between Cingular Wireless and AT&T Wireless created the largest footprint of any wireless carrier. This merger also established the largest spectrum holding of any wireless carrier of 59 Mhz .
In fact, some of the biggest threats to the company’s growth are the government’s regulation that increases the risk to the underlying business. In addition, the risk of losing the exclusive contract for the iPhone would be a major loss for AT&T. Most of the consumers choose AT&T because of their exclusive contract for the iPhone. Hence, this loss of business will significantly influence the AT&T's profitability and revenue. Moreover, the antitrust authorities play an important role on approved the merger of AT&T.
James Press, 2000). Furthermore, Cisco ventured into acquisitions strategically purchasing companies that would increase their technological advantage. Cisco’s main purpose is to “shape the future of the internet by creating unprecedented value and opportunity for our customers, employees, investors, and ecosystem partners” (The Network, 2016). In 2004, Cisco was part of Fortune’s magazine “100 Best Companies to Work For”. At number fifty-five (55) it provides employees with competitive compensation, LEED certified health centers, and convenient onsite child care centers.
In today's competing world, many organizations are rethinking their strategies in terms of the online business and its capabilities and culture. Organizations are taking advantage of the widespread web to buy and sell goods from other companies and recently from individual customers. Exploiting these opportunities of convenience, availability and widespread reach of the web or Internet, many companies such as Amazon have benefited from the use of web successfully.
...ld do so. Since rapid expansion of the cable industry over the past several years and a weak economy had resulted in a temporary oversupply of cable (thus, a number of good businesses were looking for buyers to avoid bankruptcy or liquidation). Industry experts estimated the cost to acquire a cable manufacturer at between $10 million and $15 million. This is quite plausible with OFC’s healthy cash position. This acquisition should occur quickly before the economy recovered and the supply of fiber optic cable came back into balance with demand. This will allow OFC to gain instant access to both single and multi-mode without the prerequisite internal R&D cycle time. It would also pose an excellent value at a time when industry firm price tags are beaten down. These features would aid OFC in protecting its existing niche while expanding into new emerging markets.