Making broadband pay‘More services and less cost’ are the key to success in the broadband services market: Patrick Conway [Sales Director] of Virtual Access talks to InterComms about his views.
Q: What do you see as the barriers to entering the [broadband] market?
2. Potential costs. Many service providers considering the introduction of managed broadband services are concerned about the costs and risks associated with new service development. The risks include underestimating the call center, engineering and field staff requirements required to deliver these services. This means a longer return on investment, poor customer satisfaction and long delays in service introduction and roll-out.
Virtual Access addresses these challenges by offering a centrally-managed solution that takes responsibility for service delivery without the need for site visits. Automated, “Zero Touch” provisioning gives the service provider a fast track to market without the costs and risks normally associated with the introduction of new services.
Q: How are you addressing the market?
· Key components of the product portfolio that providers can deliver using the Virtual Access platform include the following managed security services.
In addition, customers use the Virtual Access platform to offer managed router services or our "Zero Touch" X.25 to IP Migration solution.Quality of service features are key to any managed or outsourced offering and to that end Virtual Access features an Application-level probe for network monitoring, assured access in the form of V90 and ISDN back-up, and VPN fail-over capability Virtual Access brings this platform to market in two ways:
1. An equipment and software-based solution that enables the service provider to use its in-house resources to launch and operate new managed services using Virtual Access technology.
2. A turn-key wholesale service that gives the service provider a fast track to market where outsourced network operations and second-line support are provided by Virtual Access on a private-label basis. The service provider can then move the service in house, if desired, once the service is fully operational.
Q: Can you outline the key features of your Zero Touch solution and what its advantages are?
Second, it increases the service provider’s profitability by reducing the cost of deploying and operating managed services. Specifically, the Zero Touch solution is customer-installable and centrally-managed, which means zero truck rolls to debug on-site problems. For example, Datacom Partner is a Dutch service provider that deploys and manages IP VPNs worldwide without the need for in-country site visits. A case study has shown that the Virtual Access solution provides a sixty per cent reduction in operating costs compared to alternative solutions.
Q: One of the components in this solution is your new GW4000 Series Service Managed Gateway? What does this bring to the table?
Q: How do you see the market for Managed Security services growing in the next few years?
In Europe, work undertaken by Forrester Research suggests that the region's Managed IT Security market will grow to Euro 4.6 billion in 2008. Forrester expects that SMEs will account for 66% of managed security spending by that time, and that Managed Firewalls will claim 36% (1.7 billion Euros) of the total managed security market.
Q: What is the profile of your target market in the Managed security sector?
Q: How would you provide a range of layered Internet Security Services?
Another managed security service that can also boost productivity is Content Filtering.
Many SMEs provide Internet browsing facilities to their employees, but these are open to abuse that can result in productivity loss and potential lawsuits from the display of offensive material in the workplace. Consequently, Content Filtering is becoming an increasingly vital service bringing peace of mind to employers.
Q: What is the outsourcing proposition that Virtual Access can make to potential users?
Q: What do you envisage being the benefits to the Service Provider?
Q: Why Virtual Access technology?
This is achieved by providing a customer premise-based platform centrally provisioned and managed by our Activator server. For total process automation, Activator can be integrated into existing provisioning/order entry systems. The CPE is plug-and-play and automatically contacts the Activator for configuration and software at startup. Our patented provisioning process enables service providers to offer complex services on a mass scale without having to send staff to the customer site.
Q: How successful has Virtual Access been in the market?
Q: What are the underlying revenue projections that you are using to make your ROI case to service providers?
We have made the following assumptions in our projections: The average take-up is 20 sites per month, including 70 percent using managed Firewall services and the remaining 30 percent using VPNs.
The end-user pricing from the service provider for firewall users is €120 each month with a one time set up fee of €120. In the case of VPN services, the monthly revenue per-site is €160 with the set-up fee remaining the same.
Q: What is the key for providers to obtain a return on investment in the sector?
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