SBC, AT&T Merge?

Rich Tehrani : Communications and Technology Blog -
Rich Tehrani
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SBC, AT&T Merge?

Om Malik sums up nicely the talks between SBC and AT&T which were reported also by the Wall Street Journal and New York Times this AM. With the purchase of AT&T, SBC would have a better entry into the business market as well as making the company a national brand. The way I see it, they can also continue to run with the CallVantage product. Rumors of Vonage being acquired have been circulating for over a year as well. Would Verizon or Qwest be logical suitors? Although we have two strong VoIP products in CallVantage and Vonage will there be room for a third large independent player as well?

We know the ILECs and cable companies would like to own the VoIP market and this is a step in that direction. Even though CallVantage doesn't have a tremendous amount of customers yet it has a name brand that equates to the number two most recognized name in VoIP in the US.

I am not sure if this merger is good or bad for the VoIP space. On the one hand CallVantage will have even greater resources at its disposal to compete against Vonage and on the other hand it will be more difficult for smaller VoIP service providers to compete.

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