At&t: Another Century of Innovation

AT&T: Another Century of Innovation

INTRODUCTION

AT&T is a leading telecommunications company providing a full spectrum products and services for modern communications devices. Services and products offered by AT&T “include wireless communications, local exchange services, long-distance services, data/broadband and Internet services, video services, telecommunications equipment, managed networking, and wholesale services” (Forbes, 2017). The purpose of this paper is to become familiar with the company’s current position, identify the challenges Randall Stephenson and his team came face-to-face with, and provide an in-depth report regarding the issues they met head-on.

The study will first review the main issues facing AT&T. This case study will include an evaluation of related external and internal environment factors required to formulate an effective strategy.

ANALYSIS

Identify AT&T’s Challenges

As with any company there are weaknesses. The article notes AT&T’s residential landline service is no longer generating a strong income base. Also, the company is tackling market saturation, which makes it a challenge to gain new customers and this means they will have to get them from other carriers. Government regulation on the wireless spectrum that it can use to provide wireless service to its customers creates a major weakness for AT&T; since it will not allow any new frequencies to be used, which affects the service it seeks to provide for its users. AT&T is a leader in mobile broadband innovation and has endured many threats in the telecommunication industry mainly due the ability of its leaders being able to evaluate the market, analyze the competition, and calculate the external environment leading to its growth and development. The charts below outline the external environments that threaten AT&T and contain recommendations to address each concern.

Firm-Wide Challenges Needed Measures

Business innovation Growth strategy needs to expand for new revenue streams and other technology solutions

Product innovations devices/application

Infrastructure and resources to support growing business sectors

Multipoint Competition Brand management

Improve customer service and functionality

Resource and competency sharing

Wireless Division Challenges Needed Measures

Market saturation in US Global strategy

Appeal to domestic wireless buyers

Loss of iPhone exclusivity Competitive upgrade strategy

Defend position

Develop new competitive advantages

Wireless capacity Infrastructure network advancements

Variable pricing rates

Service quality Enhanced brand image

Wireline Division Challenges Needed Measures

Government regulation Lobbying efforts to ease regulatory burdens

Outline cost structure for TV/Video strategies to meet state and local legal and regulatory issues