At&T Case Analysis
Introduction
AT&T was started over 130 years ago in 1875. It started out when Alexander Graham Bell began work on the telephone. Initially it just made telephones and licensed to companies to
Many changes in the company structure
6,000 patents
7 Nobel prizes
Analysis
I. General Environment
A. Technology Alexander Graham Bell invented the telephone and earned the patent in 1875. AT & T was incorporated in 1885 with objective of building and operating long distance network. AT & T was the telecommunication leader until the late 90s. Here is the list of AT & T technological movement: 1925 virtually monopoly on local telephone service, 1926 begins telephone service via two-way radio, 1947 transistor invented at Bell Labs, the first microwave relay system, 1962 launches its first satellite, 1977 installs the first fiber optic cable, 1992 starts AT & T Wireless after acquires McCaw Cellular Communications, 1996 launches AT & T Internet service, 1999 forms AT & T broadband after acquires cable company TCI. Technology is the driver of the telecommunication industry. Without highly advanced technology and services, there would be no product to sell.
B. Demographic trends For a long time, AT & T was virtually monopoly on local and long distance service. After the antitrust threats in 1913, AT & T allows competitors to interconnect with the Bell System. It does not stop AT & T's rapid growth. The penetration of telephone service into American household increased from 50% in 1945 to 90% in 1969. Competition became established in the general long distance service by the mid-1970s when FCC signaled its interest in more competition and allowed competitors to use some of the Bell Lab's technology. AT & T's long distance market share fell from over 90% in 1984 to 50% in 1996. By the late 90s, AT & T realized its technology and service areas are lagging, it starts series of acquisitions. Despite all the acquisitions, AT & T is constantly losing its
AT&T was started over 130 years ago in 1875. It started out when Alexander Graham Bell began work on the telephone. Initially it just made telephones and licensed to companies to
Many changes in the company structure
6,000 patents
7 Nobel prizes
Analysis
I. General Environment
A. Technology Alexander Graham Bell invented the telephone and earned the patent in 1875. AT & T was incorporated in 1885 with objective of building and operating long distance network. AT & T was the telecommunication leader until the late 90s. Here is the list of AT & T technological movement: 1925 virtually monopoly on local telephone service, 1926 begins telephone service via two-way radio, 1947 transistor invented at Bell Labs, the first microwave relay system, 1962 launches its first satellite, 1977 installs the first fiber optic cable, 1992 starts AT & T Wireless after acquires McCaw Cellular Communications, 1996 launches AT & T Internet service, 1999 forms AT & T broadband after acquires cable company TCI. Technology is the driver of the telecommunication industry. Without highly advanced technology and services, there would be no product to sell.
B. Demographic trends For a long time, AT & T was virtually monopoly on local and long distance service. After the antitrust threats in 1913, AT & T allows competitors to interconnect with the Bell System. It does not stop AT & T's rapid growth. The penetration of telephone service into American household increased from 50% in 1945 to 90% in 1969. Competition became established in the general long distance service by the mid-1970s when FCC signaled its interest in more competition and allowed competitors to use some of the Bell Lab's technology. AT & T's long distance market share fell from over 90% in 1984 to 50% in 1996. By the late 90s, AT & T realized its technology and service areas are lagging, it starts series of acquisitions. Despite all the acquisitions, AT & T is constantly losing its