Skype Versus At&t and the Future of Telecommunications

Skype Versus AT&T and the Future of Telecommunications

Due to communication is developed for people in order to facilitate them nowadays, and Voice-over Internet Protocol (VoIP) is significant choice for customer who would like to pay less. On the other hands, the firm as AT&T is one of a big company in telecommunication industry is now affected for by VoIP as Skype

Skype have free function as Skype-to-Skype calling, video calling, Chat/IM, Multi-party calling, and File transfer are free for users who register Skype’s user and offer cost advantages compared with traditional telephone network. Most telephone user paid a flat monthly fee for local telephone call and a per minute charge for long-distance calls, So Skype’s user can call worldwide and unlimited by low price fee. But the users have to connect to computer or find internet network in order to use Skype, it causes restriction of using Skype. On the other hand, AT&T is a big telecommunication company, it offers the stable signal and more convenient because clients do not need to connect the internet all the time but the price is pretty higher. This indicates that Skype focusing on low price market but its weakness is not portable.

Alternative 1:

Skype should establish strategic alliances with telecommunicated company as AT&T, Verizon, T-mobile, and etc. because they offer internet service to clients who use smart phone as Iphone and android. It would support to each other, client could connect internet for using Skype anywhere and telecommunicated company would increase total amount internet service.

Pros

i Skype and telecommunicated company increase their users for using internet service and Skype’s service.

ii Eliminating problem as no internet, no Skype.

iii Establishing alliance generate having advantage over the other companies in telecommunication market.

Cons

i It increases the entire