History

There are many attempts to combine cable and cell phones. AT & T fought hard to buy cable operators but failed. But the battles continue. The phone companies got more aggressive in rolling out their broadband DSL service to combat the cable companies' cable modem service, and they have gained market share mainly by competing on price. Then the cable companies fought back by introducing VoIP, whose Internet-based calling system competes directly with the phone companies' traditional telephony business. The cable companies, too, have seen success in winning new voice customers.

The phone companies, namely Verizon and SBC, have answered this challenge by spending billions of dollars to build new networks that will support television service, cable's traditional market. Now cable and telephone companies will go head-to-head in wireless, which, until now, has been dominated by the traditional telephone companies.


 

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