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Telecommunications service providers offer telephone and communication services, including cell phones and wireless internet. They are not cable or satellite TV companies. The industry is divided into business and personal consumer groups. Telecoms are investing in cell towers to improve coverage and expand cell phone features.
A telecommunications service provider is a business that has the necessary equipment, software, and personnel to support related telephone and communications services. The term originally only included landlines or standard telephone connections. Over the past 15 years, it has expanded to include cell phones, satellite phones, and wireless Internet connection. This expansion happened quite quickly, resulting in increased costs and equipment expenses for this type of business.
It is important to note that a telecommunications service provider does not include cable or satellite television companies, cable Internet connections, or managed service providers. The initial infrastructure costs required to enter this industry are prohibitive and have involved significant investment or ownership by the government. In the United States, Canada and parts of Europe, this role has been reduced over the years so that the vast majority of these companies are now privately owned and operated. However, in other nations, government-owned telecommunications continue to be the norm.
The typical telecommunications service provider divides their business into two major consumer groups: business and personal. There is great interest in telephony management software and systems in the commercial sector. Two models are available: multiple hotlines or business extensions. The hotline model is suitable for very large organizations or companies that have limited central administrative support staff. Extensions are best used in mid-sized businesses that have a central receptionist or related role. This person is responsible for providing operator related services and routing calls as required.
In the personal communication market, the services offered are focused on user-friendly features. This includes digital voicemail, caller ID, call return, conference or multi-calling, and call forwarding. Each of these services is provided at an additional cost, allowing telecom service providers to increase their revenue stream without a huge investment in technology.
There is a growth in demand for cell phone service as more people see the value in being able to communicate from a wider range of locations. As this product market expands, telecom service providers are investing more money in cell towers, improving service and coverage area. In North America and Asia, many people in their 20s and 30s use their cell phone as their only phone line and close their landline accounts. This trend is expected to grow as the number of towers increases. As a result, telecom companies are expanding products and features on their cell phone products to capitalize on this market segment.
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