By admin | April 1, 2008
The Alltel Corporation is a leading telecommunications company based in Little Rock, Arkansas. Alltel provides a wide range of services including wireless, local telephone, long-distance and Internet network operations to more than 11 million customers in all 50 states. Acting as Alltel Wireless the company possesses the largest network coverage in the United States. Apart from telecommunications Alltel is also engaged in financial services, networking solutions and operations management.
Alltel Historical Retrospective
What was to become Alltel was founded in 1960 by Weldon W. Case, the grandson of Weldon Wood who was the founder of the Hudson Underground Telephone Company. It stemmed from the merger of two holdings, namely the Western Reserve and Elyria, and at that time was called Mid-Continent Telephone Corporation with headquarters in Hudson, Ohio. The company rapidly grew throughout the 1960-s doubling in size every three years. The high growth rates were mostly accounted for by acquisitions of other telephone companies. By late 1970-s, the Mid-Continent Corporation had become the US fifth largest private telephone network operator with about 700 thousand customers in 13 states.
Another company that played an important role in the formation of the Alltel Corporation was the Allied Telephone Company. Founded by Hugh Wilborn and Charles Miller and based in Little Rock, Arkansas, Allied Telephone purchased a number of minor telephone operators and built a network covering 6 states.
Formation of ALLTEL Corporation
The Mid-Continent Telephone Corporation and the Allied Telephone Company decided to join forces and merged on the 25-th of October, 1983. The newly-born enterprise was called the Alltel Corporation and had $1.35 billion of assets which made it the fifth largest US telephone company. In order to increase the competitive strength in the highly contested market Alltel’s executives decided to diversify its services. Thus Alltel was determined to start manufacturing telecommunication supplies and develop cable TV operations. Later on the company also got the edge over its competitors using such technological breakthroughs like mobile phone services. Investing in emerging technologies with great potential by means of purchasing other ventures at a steady pace Alltel managed to minimize the risk while adding to its holdings. Gradually the company outreached its telecom interests and got into the information processing business purchasing a software manufacturer called Systematics.
In 1991 Alltel switched its headquarters location from Hudson, Ohio, to Little Rock, Arkansas. The recession of 1990s reduced the company’s returns from local telephone operations and equipment distribution business. In response Alltel focused on information and cellular communication services. While already controlling the leading software developer Systematics, the company also purchased another information processing firm – Computer Power, and went on acquiring new cellular communication networks. In 1996 Alltel merged its Internet, wireless and long-distance telecommunications activities which enabled it to provide bundled services.
While developing independently, Alltel also continued looking for potentially strong alliances and appealing acquisitions, becoming one of the largest US telecom conglomerates with revenues approaching $8 billion.
New services provided by Alltel include:
• FAMILY FINDER – a GPS technology based service that allows tracking down the location of your child’s mobile phone in real-time mode.
• My Circle – enables the customers to receive and make free calls from and to a certain set of phone numbers depending on the rate plan costs.
• City ID – matches incoming calls with the state and city where the caller’s number is registered.