The Department of Justice’s suit to block AT&T and T-Mobile’s (News - Alert) recently announced merger mark a significant milestone in this country’s mobile economy, and is sure to affect many other providers in the mobile and voice sectors.
Yet the general consensus amongst those watching the mobile space is that this merger blockage is a good thing, even though it requires the government to dip its hands into the progression of business in this country.
Plum Voice’s blog noted that the IVR industry is one of those market spaces that would greatly be affected by such a merger. Should AT&T (News - Alert) and T-Mobile be allowed to coagulate, the resulting takeover (about 43 percent of the mobile market share) would mean quite a bit for those who work in the interactive voice response industry.
IVR technology is heavily integrated with mobile devices, and Plum’s writer noted that, “if a merger like this occurs and a critical number of subscribers find themselves with bad service or service they can’t afford, it will affect numerous other industries as well, including IVR.”
“Mobile phones are virtually at the forefront of the tech revolution, with developers and tech companies like T-Mobile, AT&T and Verizon (News - Alert) constantly trying to promote their product. Interactive voice response systems, in large part, rely on the use of technology, especially the mobile phone,” continued the writer.
So perhaps the IVR software providers of this country are thanking the DOJ right now, but there is more reason to be grateful for the intervention. TMC’s (News - Alert) Rich Tehrani expounded upon the blocking of the merger in a recent blog post, noting that the “DOJ used common sense here and although AT&T’s arguments as to why this merger would be good for jobs and consumers is likely true for the short-term, over years, having one less wireless carrier would mean less innovation not just from the perspective of competitive pressure in the marketplace but from the resulting death of a slew of wireless equipment and service providers who rely on smaller carriers like Sprint (News - Alert) and T-Mobile to get their start as telecom equipment providers.”
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Juliana Kenny graduated from the University of Connecticut with a double degree in English and French. After managing a small company for two years, she joined TMC as a Web Editor for TMCnet. Juliana currently focuses on the call center and CRM industries, but she also writes about cloud telephony and network gear including softswitches.
Edited by Tammy Wolf