What Is B2B Telecommunications?

The B2B telecommunications industry facilitates interactions between companies; 'B2B' stands for business-to-business. Learn more about this dynamic industry. Schools offering Electronics & Communications Engineering degrees can also be found in these popular choices.

Understanding B2B Telecommunications

B2B telecommunications describes any communications between businesses, as opposed to between businesses and clients or clients and clients. These communications can take many forms. B2B telecommunications providers maintain systems that transmit data, text, sound, voice and video, which allow for direct communications between businesses. Telecommunications platforms can also be utilized by marketers in order to boost a company's visibility within the industry and identify networking opportunities.

Important Facts About B2B Telecommunications

Expected Market Growth 2.6% from 2014 to 2018, compared to only 0.6% for consumer telecommunications*
Cost Some services are free, while some services are sold individually or in bundles
Major Industry Players Businesses
Marketing firms
Telecommunications providers (internet providers, mobile phone companies, data storage platforms, social media websites, etc.)
Related Fields Consumer telecommunications, M2M (machine-to-machine) communications

Source: *Bain & Company

B2B Telecommunications Users

Industry experts segment B2B telecommunications into three categories: small businesses, medium enterprises, and corporations. These three groups use B2B telecommunications in different ways. For instance, small businesses may be trying to make connections within a particular industry; for this, they may create a 'business corner' of their website to draw fellow small business owners. From there, they may collaborate on projects or share industry knowledge. In contrast, major corporations often conduct larger operations. For instance, they may use telecommunications technology as they acquire smaller companies, contract work to smaller companies, negotiate mergers, or work with lawyers to assure compliant business and financial practices. Therefore, the B2B telecommunications needs of different businesses can vary widely.

Recent Advances in B2B Telecommunications

In the past, business to business telecommunications was limited to simple telephone and computer networks. Today, however, the rising availability and falling costs of broadband Internet and data storage mean that business representatives now can meet remotely through video conferencing, and they can collaborate through cloud-based file sharing. In addition, more and more companies are turning to social media platforms like LinkedIn to foster networking relationships and cement their positions as leaders in the field.

Impacts of Industry Changes

As the B2B Telecommunications Industry has entered the digital age, businesses are reaping a wide range of benefits. For instance, companies save money by reducing business travel, since workers can conduct face-to-face meetings via teleconference, without spending money on plane tickets or gas for cars. They can also network on social media platforms instead of attending industry summits and conferences in person.

In addition to saving money on travel, B2B telecommunications also have lower environmental impacts. At the same time, it is also important to note that companies will likely spend more on telecommunications software and hardware, as well as information technology support staff, so the overall financial impact on an individual company will differ depending on the extent of the company's B2B telecommunications needs.

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