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Submarine Networks - Submarine Networks - Submarine Networks - Submarine Networks Submarine Networks The 7th Submarine Networks World 2004 event was successfully held in Singapore from 22 – 23 September 2004. It brought together more than 100 delegates and 28 international speakers. Sixtythree per cent of the delegates were senior-level decision makers from the submarine community. The event was very well represented by participants from Asia, the USA, UK and the Middle East. Fifty per cent of the representatives were from Asia, 24 per cent from the UK and 14 per cent from the USA. The recent good news about Global Crossings emergence from Chapter XI bankruptcy protection provided positive news for the industry and gives customers and vendors renewed confidence. Following the successful merger of Reliance and Flag Telecom, the industry is poised for a year of transformation, through new partnerships and joint ventures, as regional submarine cable operators rally behind the potential of collaborations in the global capacity business. As one of the toughest years for the sub-sea community draws to a close, it is time to take stock of what has happened this year and seize the chance to look forward and preview the way forward in 2005. Submarine Networks World 2004 also provided an excellent platform for submarine industry players to learn, network and discover new strategiesnew waysto handle todays vigorous competition. Feedback from conference delegates was positive and encouraging. Most delegates commented on the quality of international speakers, conference programme and the extent of networking opportunities offered. Most speakers received very good evaluations, with several achieving exceptionally high evaluations. The two-day conference offered a wealth of insights into the issues that most concern todays submarine cable community. The conferencefeaturing case studies about leading international cable and telecom operators, interactive panel discussions of submarine cable consolidation, discussions of the ASEAN agenda, growing profits and increasing competition, direct selling to the marketplace and fast forward submarine networksgave delegates a valuable learning experience. Words from our delegates Figure 1: Submarine Networks World 2004 has established itself as Asia’s annual networking point. Submarine Networks World 2004 has established itself as Asias annual networking point; it brings together key industry leaderscable operators, telecom operators, submarine manufacturers and service providers to discuss key market trends and technology developments in Asia. The overall theme of the 2004 conference was ‘Undersea Intelligence’. Unprecedented and extensive efforts were made to put together a top-level quality conference. The aim was to assist the submarine cable industry in discovering new winning strategies and emerging opportunities in Asias cable industry. "Great event organisation with excellent level of speakers, particularly Claire Paponneau, Fiona Beck, Michael Rieger, Robert Munier, Phillip Murphy and Patrick Gallergher" Olivier Verdier, Head of External Division, Telecom Division, OPT New Caledonia, USA "Well done to Terrapinns for well organised event" Mike Hynes, Chief Operating Officer, Azea Networks Limited "Good mixture of speakers, topics and especially the quality of panel discussions" Brian Tellam, Director of Project Finance & Advisory, ABN Amro This event provided the submarine community with an accelerated learning experience based upon the winning strategies of international cable operators, current and future project developments, latest technology deployments, future market trends and new business models used by cable operators. Promotional Feature
VoIP required to create an end-to-end serviceis increased speed-to-market and access to tested systems for smooth delivery. At the same time, a managed wholesale solution may not offer the same degree of network control and flexibility in voice product packaging as the build-my-own alternative. A thorough assessment would consider these and other important, aspects of product development, deployment and support for each particular service provider. Whichever delivery model is chosen, service providers will want to ensure they have a solid position in the market, relative to competitive alternatives. In the business market, competing head-to-head with IP PBXs and other hosted services, solutions need to effectively counter IP PBX limitations. ˆ Technology obsolescencePBXs require ongoing investment to maintain state-of-the-art features and technical capabilities, indeed most IP PBX manufacturers issue dot releases monthly and major releases every six to 12 months, which can require expensive hardware upgrades; ˆ Technology limitationsIP PBXs cannot generally interface to third party software or other vendors equipment, has limited resale value and often uses outdated technology; ˆ Challenging interfaceThe system interface is often not user-friendly and may require 10 to 15 days training; ˆ Security issuesAny breach of security from external sources jeopardises the integrity of your customers LAN network. Maximising customer acquisition Creating a compelling long-term sales proposition is critical to customer acquisition. While creating appeal for the early-adopter user can lead to some short-term success, VoIP is going to become a mainstream servicevery likely attaining primary line service status in homes and businesses across the country. So, creating a proposition that is focused on all the market hot buttons holds the most promise of continued appeal. The choice of distribution channels is critical from the perspective of rapid customer acquisition. Since retail distribution can account for 20 per cent of your operating expense, it is also critical from a financial viewpoint. A direct sale is the highest cost approach. Indirect channels, agents, can be difficult to manage in a pre-mass adoption market. These channels need to learn how to sell VoIP services in the most timeeffective way. Regardless of your chosen channel, you will need a well-constructed set of marketing support tools, including high-impact communications, benefit / cost demos, product functionality demos, easy-to-use post-sales materials and so on. Educating your target market, despite the flow of information from the large operators, is an important part of the communication process. Once prospects understand the power of VoIP services in addressing their needs, the excitement level risesthe challenge lies in making that power quickly and visibly effective. Accelerating ROI Service providers can buy market share through low ball pricingbut as tempting as this might be in the shortterm, it is not a sound financial strategy and will not maximise Return-On- Investment. The market is likely to respond very positively to prices 10 per cent to 30 per cent below the pricing of comparable legacy (TDM) service, so that should be the target range for price-positioning. In fact, 72 per cent of SMBs express interest in VoIP services with just a 15 per cent cost savings. As figure 2 indicates, 69 per cent of service providers agree on a target range for cost savings of 10 per cent to 30 per cent. Cost reductions afforded by IP technology make this price positioning profitable and we believe, sustainable. The ability for VoIP services to attract new customers and to retain existing ones, is strengthened tremendously through product bundlingfor instance, with Internet accessto create a one stop offer. This is perceived by consumers and businesses as being much more interesting and compelling than buying VoIP service on its own. As with all sound product strategies, creating positive financials means ensuring you are delivering the value that customers want and will pay for. VoIP offers a wide range of exciting functionality that meets real consumer and business needs; this is the key to maximising long-term margins and ROI for service providers. Will the solution actually work IP technology has been deployed for several years as a means of achieving compressed transmission in long-haul backbone carrier networks. But, VoIP as a front-line voice service is relatively new, as are the plethora of products being deployed to enable VoIP services. So, first and foremost, a wise step is to request a demo account that permits thorough trialing of any product or service you might be contemplating. This will help you answer the does it work question and will allow you to understand capabilities and limitations. In addition, consider all the proactive tactics a network vendor or platform / software vendor can utilise to ensure reliability of their offering, and to give you a degree of comfort. These can range from physical network redundancy and active network testing procedures, to rock-solid SLAs (Service Level Agreements) and Network Operations Center coverage. Processes and procedures have to be tailored to the unique challenges of an IP network consisting of disparate, decoupled elements. It is important to understand plans for testing and extending the line of supported equipment, including media gateways and customer premise equipment (CPE)the marketplace will continuously try out and adopt new equipment. The challenge of moving from testing to live implementation This is a big leap, requiring internal expertise and vendor support. IP networks, by nature, are unlike consoli- Figure 1: Self-provisioned VoIP service solutions. 43
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