Press Release - March 21, 2012

Manage My Network: Businesses Turn to the Experts for Help

AT&T Aims to Help Businesses Innovate, Manage Complexity and Control Costs

HONG KONG, MARCH 21, 2012 – The explosive growth of network-dependent data, devices and apps is creating technology complexity and cost challenges for large and medium-sized businesses.

To help businesses address these challenges, AT&T has introduced a network sourcing solution that includes consulting, design, management, and operation services for large and medium-sized businesses. AT&T Network SourcingSM allows customers to manage complexity, control costs, improve productivity, and deploy technologies and applications that allow them to innovate and support their business strategies.

This solution allows customers access to AT&T’s deep networking expertise and a market-proven set of tools and processes across a variety of technologies, including voice, data, mobility, security, and cloud, among others. Services can include:

  • Consulting, design, operation and transformation of networks
  • Management and integration of customers’ other network service providers
  • A multi-year plan to update and evolve the customer’s network, including transition to a unified, MPLS-based IP network
  • Services in support of enterprise mobility, security, voice, IP telephony, virtual private networking, local area networking, and cloud solutions.

AT&T’s 13,000 network integration professionals provide network sourcing services to enterprises across a variety of industries including financial services, automotive, energy, technology, and hospitality.

“We have taken our experience managing networks for very large, global enterprises and integrated it into a flexible solution for a broader set of customers,” said Don Herring, Senior Vice President, AT&T. “AT&T Network Sourcing allows the CIOs of large and medium enterprises to manage complexity, control costs and focus on driving business performance.”

Network sourcing services can help large and medium-sized businesses reduce complexity and cut costs by as much as 15% to 35% over a two-year period, according to Boston Consulting Group1.

Many enterprise customers who want to simplify technology operations are moving to outsourced or managed service models," said Mike Sapien, Principal Analyst at Ovum Research. "With this new solution, AT&T is addressing a growing market need among medium and large global companies with a new package of managed networking services."

AT&T’s network sourcing experts are helping the State of Georgia to maximize network bandwidth and consolidate telecommunications services for more than 70,000 state employees and 1,400 state and local government offices. Among the services AT&T provides to the State of Georgia as part of an agreement are the latest voice and data networking capabilities as well as security, mobility solutions, and telecommunications management insight. The solution also provides full network redundancy with failover capability.

“AT&T's network sourcing solution has increased our network stability dramatically," said Calvin Rhodes, Executive Director of the Georgia Technology Authority and State Chief Information Officer. "For the first time we can now re-route our network during maintenance windows and in the event of an emergency."

Industry analyst firm Gartner estimates 45% of all organizations have purchased ongoing network management services and 25% or more of all organizations in the services, retail, and healthcare provider industries plan to sign a new contract in the next 12 months2.

Network sourcing is a key area of focus within AT&T’s strategic business services. AT&T strategic services grew 16.4 percent in the fourth quarter of 2011 versus the year-earlier quarter.

For more information, www.business.att.com/enterprise/Family/network-services/network-sourcing/.

1 Boston Consulting Group. “Growth Readiness in Network Sourcing,” October 25, 2011
2 Gartner. “User Survey Analysis: What Providers Need to Know About 2012 First-Time ITO Buyers,” February 8, 2012

*AT&T products and services are provided or offered by subsidiaries and affiliates of AT&T Inc. under the AT&T brand and not by AT&T Inc.

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Information set forth in this press release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update and revise statements contained in this news release based on new information or otherwise.

About AT&T
AT&T Inc. (NYSE:T) is a premier communications holding company and one of the most honored companies in the world. Its subsidiaries and affiliates – AT&T operating companies – are the providers of AT&T services in the United States and around the world. With a powerful array of network resources that includes the nation’s fastest mobile broadband network, AT&T is a leading provider of wireless, Wi-Fi, high speed Internet, voice and cloud-based services. A leader in mobile broadband and emerging 4G capabilities, AT&T also offers the best wireless coverage worldwide of any U.S. carrier, offering the most wireless phones that work in the most countries. It also offers advanced TV services under the AT&T U-verse® and AT&T │DIRECTV brands. The company’s suite of IP-based business communications services is one of the most advanced in the world. In domestic markets, AT&T Advertising Solutions and AT&T Interactive are known for their leadership in local search and advertising.

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