Verizon’s competitors have a 21.1% share of local phone lines in Massachusetts per Paul Vassington, chairman of the Department of Telecommunications and Energy. However, recent bankruptcies such as those of Network Plus and Global Crossing have made enterprises cautious about selecting competing carriers.

Who are Verizon’s competitors for local service?
Competitors include traditional long distance carriers AT&T, Qwest, WorldCom and Sprint as well as Allegiance Telecom, Conversent Communications, CTC Communications, Focal Communications, Lightship Telecom and PaeTec Communications. These providers sell local, long distance and Internet access. They sell service over a combination of their own facilities and Verizon services they purchase in bulk at a discount and resell at 6% to 10% discounts. They are facilities based resellers.

These resellers, also called integrated service providers and competitive local exchange carriers, offer a mix of data services, such as hosting, Internet access and email and local and long distance calling. They route long distance traffic over interstate carriers such as AT&T, Global Crossing, Sprint and WorldCom’s networks.

What about agents?
Verizon sponsors an Authorized Sales Agent Program for sales to small and medium sized organizations. Agents sell Verizon service at current tariff rates. However, Verizon provides billing and repair service directly to customers. They compensate agents after installation is complete.

Who are some agents in Greater Boston?
Agents include telephone equipment sales companies, value-added resellers of computer hardware and software and LAN/WAN integrators. Examples include Barry Communications, Boston Wireless, Corporate TeleData, Exp@nets Inc., Intertel and Ronco.

Agent & reseller advantages
Choosing a phone company other than Verizon or one of the "big three" long distance companies is appealing to small and mid-sized organizations who often feel neglected by large carriers. Many competitive local exchange carriers offer smaller customers savings by combining voice and data on high-speed lines. Agents and resellers extend one vendor support for network services and on-site equipment. Verizon has equipment support programs for Nortel, Alcatel and NEC switches and for data equipment but they are currently aimed at mid-sized and larger customers.

The selection process
To determine carrier stability, customers need to evaluate financials. This is difficult because many resellers operate at a loss because of the large capital requirements of leasing fiber optic routes and purchasing switches. Organizations should also ask questions about redundancy in the event of a network failure and speak with references.