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Telecommunication has made a positive impact on society by helping businesses grow their network. It makes long-distance communications easier via electronic modes. Though we are living in a global village where even America is just a phone call away, the beginning stages of telecommunication were not that easy. AT&T company is the descendant of the American Telephone and Telegraph Company which holds the pride of connecting most parts of America via telephone networks.
- Company Name-AT&T Inc
- Headquarters-Whitacre Tower, Downtown Dallas, Texas
- Industry-Telecommunication Technology
- Founders-Alexander Graham Bell, Gardiner Greene, Hubbard
- Founded -October 5, 1983
AT&T - About
- AT and T company’s origin dates back to 1876 when Alexander Graham Bell first invented the telephone. He secured a patent for the device when he first made the wire transmission of intelligible speech. In 1877, a year after the invention, he and two other investors Gardiner C. Hubbard and Thomas Sanders, formed the Bell Telephone Company. Later, in the next year, they sold it to a group of financiers. The Bell company was already in a race with the leading telegraph company, Western Union Company, regarding the development of telephone services. In 1881, Bell bought Western Electric, the leading maker of telegraphic equipment, and became the most dominant manufacturer of telephone equipment.
- During most parts of the 20th century, AT and T ruled the phone service of the United States as a monopoly. The Bell Telephone company formed American Telephone and Telegraph Company as a subsidiary company in 1885. In 1899, American Bell Company transferred its assets to its subsidiary, resulting in the formation of AT&T as the parent company. The company was rebranded as AT and T Corp. in 1994.
AT&T - Industry
- The telecom industry in the United States is valued at $412.4B in 2021 and is expected to grow at higher rates in the upcoming years. Telecom companies are competing to become the fast-paced, greater network in the global market. To succeed companies are taking equal efforts in understanding customer needs worldwide. Global needs are constantly changing and industry knowledge and updation are necessary to survive the position. Currently, omnichannel strategy and extensive technology investments are mandatory as the growth is rapid like 5G.
- AT and T is the world’s largest telecommunication company in terms of revenue. It is also the third largest company in providing mobile telephone services. The revenue from the sector is likely to increase by 17% per annum as per the reports.
AT&T - Founders and Team
- AT&T was founded by Alexander Graham Bell, Thomas A. Watson, and Gardiner Greene Hubbard in 1875. AT&T underwent a lot of transformations and reformations between 1982 and 2004.
- AT&T Founders - Alexander Graham Bell, Thomas A. Watson, Gardiner Greene Hubbard
Alexander Graham Bell
- Graham Bell is an inventor, scientist, and engineer who invented the practical telephone. He is the co-founder of the American Telephone and Telegraph Company (AT&T) in 1885. He started the idea of establishing the company immediately after getting the patent rights for the telephone. He grew the idea and the company along with two other investors.
Thomas A. Watson
- Born in Massachusetts, United States, Thomas A. Watson was a bookkeeper and a carpenter before Alexander Graham Bell hired him. He is known for the invention of the telephone. Being the recipient of the first phone call, his name was the first ever word said on the telephone. Watson took great pride in his role as an inventor, having developed numerous telephone accessories that helped to enhance the user experience.
- Gardiner Greene Hubbard was an American lawyer, financier, and community leader. He was the co-founder and the first president of the Bell Telephone Company which was later known as AT and T. He was also the founder and president of the National Geographic Society.
AT&T - Startup Story
- AT and T company started as Bell telecommunication company when the telephone was first introduced. In 1885, Bell became an American Bell Telecommunication company, and AT&T company was formed as one of its subsidiaries. In 1899, AT&T acquired the assets of its parent company. It established a network of local telephones along with all its subsidiaries in the United States and became a monopoly in the sector. The monopoly continued mostly through the twentieth century. The Bell system was also known by the nickname Ma Bell.
- Later, in 1982, the US regulators broke up the AT&T monopoly by grouping them into seven individual companies. These new companies were called Regional Bell Operating Companies, informally Baby Bells. AT&T continued to operate successfully in providing long-distance services despite the increasing overseas competition.
- SBC (Southwestern Bell Corporation) was one of the breakups of AT&T. SBC made a series of acquisitions in the late 80s and early 90s. The acquisitions include Metromedia mobile business and several cable companies. When SBC acquired 2 baby bells and several other telecommunication companies in the latter part of the 1990s, the company changed its name to SBC Communications Inc., Later, in 1998, the company was in the top 15 of the Fortune 500. In 1999, AT&T was part of the Dow Jones Industrial Average.
AT&T purchased its former parent and other companies between 2005 - 2013. Though it follows the corporate structure and stock price histories of SBC from 2005, it claims its original history dates to 1877. Following several acquisitions and rebranding including DirecTV and several other satellite channels, AT&T reorganized itself into four main units. The units are,
- AT&T Mobility
- Film and Television Production
- Advertising and Analytics
AT&T - Mission and Vision
- AT&T had various plans in the sector from 2013 when they settled clearly as a top service provider in the US. They planned various launches including the satellite-operated HBO television which got launched in 2020. They invested and divested various capital to diversify the company. Now, they are an unbeatable top company in the industry.
- The mission of AT&T is “Innovate and get there first”. The company's mission statement includes the purpose, value, and goals of the business.
- Their vision says “We aspire to be the most admired and valuable company in the world”. By enriching and making the lives of people easier, they bring the most exciting modes of communication to the market.
AT&T Name and Logo
- AT&T was formerly known as Bell company. AT and T stand for American Telephone and Telegraph Company. As a credit to the founders, AT&T had a logo of a bell in its early stages which was later reshaped into an emblem.
AT&T - Business Model
- Though AT&T has various operations and businesses, the mainstream income is from communication operations. They provide various kinds of telecommunication services which include wireless services, TV Broadband, and much more. The acquisition and provision of assets and businesses usually go into the rebranding expenses.
AT&T - Revenue Model
- AT&T is a top service provider in the telecommunication sector. It derives its income from various sources, including the wireless phone business, broadband, and TV operations. The revenue generally flows from subscription mobile, fixed-line, and wireless broadband services.
AT&T - Employees
- As of January 2022, AT&T had 2,03,000 employees. This count has declined by 11.74% since then. The higher officials have taken steps to keep the door glass by providing a friendly atmosphere and embracing actions to improve the value of employment. AT&T is a job grind with a 90% turnover rate in the first year of employment. AT&T employees get the benefit of accessing the services of their company at a discounted price and also access to television options like HBO Max, and STARZ at no extra cost.
AT&T - Challenges Faced
- Like every other sector, telecommunication also has its pros and cons. AT&T has also faced many challenges and struggles to reach the position of the largest company. The three major challenges faced by the company are,
- Defending the Time Warner merger, and convincing the regulators
- Defending its zero-rating strategies. By offering data-free consumption of DirecTV on mobile and home devices, it became an unfair strategy to other streaming companies like Netflix
- The struggle to keep the debt level under control even after the acquisitions
AT&T - Funding and Investors
- The company goes through funding rounds frequently to get some funds to run the company network smoothly. The recent funding round in Jan 2023 has a fundraising of $2,200,000 from the Kansas Office of Broadband Development.
AT&T - Awards and Achievements
- AT&T has won the J.D. Power 2021 Business Wireline Satisfaction Award for large enterprises and medium businesses for the second straight year.
- Since 2017-2021, the company has been recognized as the No. 1 telecommunications company, based on factors such as innovation, social responsibility, and human capital management.
- AT&T Business also won the 2020 Company of the Year Award for the Global Cellular Internet of Things (IoT) Industry, Excellence in Best Practices. Frost & Sullivan, a business consulting firm, granted the award to recognize AT&T Business for visionary innovation, market-leading performance, and unmatched customer care.
AT&T - Competitors
The company is a multinational holding business and has the biggest mobile telephone services. This calls for competitors all over the world. Here, is a list of leading competitors for AT&T to know about.
- America Movil
- Nippon Telegraph and Telephone Corporation
AT&T - Future Plans
- The company has strong growth potential due to its competitive performance in the current macroeconomic environment. In 2022, AT&T shares have climbed an increasing stream of 3.9%. By 2025, 75% of its network footprint will be served via fiber and 5G. It will also have reduced its copper services footprint by 50%.
Who is currently the CEO of AT&T?
- John T. Stankey is the CEO of AT&T since July 1, 2020.
What is AT&T used for?
- What is AT&T used for?AT&T Inc (AT&T) is a provider of telecommunications, media, and technology services. The company offers wireless communications, data/broadband and internet services, local and long-distance telephone services, telecommunications equipment, and managed networking.
How much debt does AT&T have?
- The long-term debt for the quarter of September 2022 was $123.854B.
Which is the largest acquisition for AT&T?
- The largest acquisition of AT&T to date is WarnerMedia for $108.7B in 2016.