Convergence of Telecommunications and Computing: A New Era in Networked Intelligence

As digital standards and internet technologies have become widespread, the concept of convergence - the coming together of telecommunications and computing - has finally arrived. This convergence is driven by the adoption of packet-switched technologies, such as TCP/IP, which has led to a significant increase in data traffic and a shift away from traditional circuit-switched networks. In the UK, data traffic has exceeded voice traffic for the first time last year, and this trend is expected to continue. This has forced traditional telecoms operators to compete with new telcos, such as MCIWorkCom, Qwest, and GlobalCrossing, who are building high-speed fibre optic data networks.

Key Takeaways:

  • The widespread adoption of digital standards based on binary computer language and internet technologies has led to the convergence of telecommunications and computing.
  • TCP/IP, a packet-switched technology, has enabled more efficient and cost-effective data transmission, leading to a shift away from traditional circuit-switched networks.
  • In the UK, data traffic has exceeded voice traffic for the first time last year, and this trend is expected to continue.
  • Traditional telecoms operators are struggling to compete with new telcos, such as MCIWorkCom, Qwest, and GlobalCrossing, who are building high-speed fibre optic data networks.
  • Convergence has led to the development of new services, such as virtual private networks (VPNs) and mobile workers using internet-enabled devices to access corporate systems and databases.
  • Companies are building intranets, private networks based on open internet standards, to deliver savings and encourage cooperative working and knowledge sharing.
  • The hardware market for networking equipment is becoming increasingly competitive, with companies such as Cisco and 3Com vying for market share.
  • Convergence is also leading to the development of "converged" corporate networks, capable of carrying and routing all types of telcoms and data services over a single backbone infrastructure.

Statistics:

  • Data traffic has exceeded voice traffic in the UK for the first time last year.
  • The UK data traffic is continuing to grow at a faster rate than voice traffic.
  • MCIWorkCom, Qwest, and GlobalCrossing are major players in the new telco market.
  • Cisco is the world's largest networking equipment manufacturer.
  • The hardware market for networking equipment is a fiercely competitive market, with Cisco and 3Com at the forefront.

Sources:

  • [Financial Times Limited, 1999, Convergence of Telecommunications and Computing: A New Era in Networked Intelligence, Copyright Financial Times Limited 1999. All Rights Reserved.]