PAETEC's IP-based voice service helps Tallmadge, Ohio reduce telecom spend

PAETEC (Nasdaq: PAET) is enabling Tallmadge, Ohio to save thousands of dollars on phone service, city officials said Monday, by migrating the city's divisions to the provider's SIP-based service.

Lloyd Alger, Tallmadge's information services manager, said PAETEC's IP-based phone service, which runs over the city's wholly-owned fiber network that was installed in 2000, could save the company almost $400,000 over the next 10 years.

"The goal here was to get a much improved system that would also save us money," said Alger in a TallmadgeExpress article.

Since the city turned on the new PAETEC phone system at the beginning of August, it reported that it is already saving $3,000 a month. Under the former contract with AT&T (NYSE: T), Tallmadge was paying $9,000 while now it only pays $6,000 a month.   

In addition to cost savings, Tallmadge's mayor Dave Kline said that the new system enables him to easily set up three-way or conference calls.  

While Tallmadge's switch to IP-based phone service is new, the city laid the foundation to make the transition over 11 years ago when Kline drove the city to install fiber to the city's buildings. Like the new IP-based system, the fiber was also installed to reduce costs by putting all of the buildings on one common network.

For more:
- Tallmadge Express has this article

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