March 2008 Archives

As carriers look to add more and more services to their portfolio of products, it is apparent that support costs will continue to increase in direct proportion to the concurrent services offered. Sure, there are some services which have fewer problems than others but generally speaking the following formula applies:

# of services * average support call ratio * #of subscribers = total #of support calls

Of course not every subscriber gets every service which means this formula is not entirely accurate but what is important to note - as stated above -- is that as the number of services increases, the number of support calls increases in proportion.

For communications providers these increased problems come at a time when their call centers are trying to increase service levels and first call resolution ratios.

One simple way to achieve these goals is to use a web conferencing solution.

I recently had a chance to discuss one company's solutions to these problems. In a conversation with Tom Elam - Director of Software Marketing for Motorola's Broadband Solutions Group I got to learn how Motorola is helping service providers and call centers of various sizes with their support issues through the use of web conferencing.

The company has a product called eCare which provides web conferencing with the intention of improving customer support levels.

In order to activate the service, a URL is pushed to the client or generated on a web page. Once activated, the 128-bit security enabled java application is downloaded and activated on the client's desktop allowing the support center to help the customer via customer approved actions.

The customer retains total control and they can kill the session at any time they like. They can also allow your agents to take control of their computers.

For help desks, this solution provides security, scalability and platform independence in MAC and PC environments. In addition, there is integration with help desk software from companies like Remedy.

So why is this solution better than one of the hundreds of web conferencing applications floating around the web? For starters, this application is designed for help desk situations, has high security levels and can be purchased as an on-premise or hosted solution.

eCare further enables you to review service metrics at the agent level and eCare data can be exported into CRM solutions for a holistic view of the contact center environment. Perhaps most importantly, the system allows video recordings to be made of sessions or quality monitoring and compliance purposes.

As with most web-based collaboration solutions, another use for eCare is customer or employee training which can subsequently reduce travel costs.

For service providers, a solution such as this one from eCare has the potential to increase service levels, first call resolution rates and obviously reduce expensive truck rolls. If truck rolls were expensive when oil cost $25 per barrel just what are they now?

With happier customers the service provider can even experience higher ARPU or average revenue per user.

If you are not a service provider, suffice it to say that such web-based screen sharing applications will result in happy customers that spend more and refer others.

Now may just be the time to look at web-based help desk solutions for your organization.

Save Money in a Slow Economy

March 31, 2008 9:16 PM | 2 Comments
What is one of the best ways to cut costs without cutting heads or disrupting you key business operations? One simple solution is to explore the adoption of a telecom expense management or TEM solutions.

Recently I had a chance to sit down with the team at Anchorpoint to learn just how they are helping companies cut costs in a painless fashion.

One of the biggest problems with how companies currently deal with phone bills is that they put highly skilled workers in charge of what is really a low skill job. In addition, the job of approving telecom bills is time sensitive as phones tend to stop working when bills aren't paid. So as these highly skilled workers deal with the time sensitive job which they often feel is below their skill set they tend not to take the job very seriously and subsequently rubber stamp bills to get them through.

So companies are paying good salaries to people to do a job which doesn't get done too well.

In my conversation at Anchorpoint's headquarters in Massachusetts, we discussed how in some cases companies deploying TEM solutions can cut headcount but this usually pales in comparison to saving perhaps 10 % or more on a 10 million dollar bill.

So instead of focusing on a company's ability to cut heads they explain that these high value workers could do more important things in the company.

Of course I brought up the $99 flat rate bill phenomenon being marketed by the wireless carriers and the team told me that the result of this new marketing approach is that companies now have a metric they must come below.

So a CFO may expect phone bills to be less than $99 and a compensation plan can even be assigned to a worker based on the percentage of savings over this amount.

We further went on to discuss how telecom cost management compares with travel management. In the case of travel, most every company has policies in place regarding types of hotels employees can use and whether they can fly coach, business class, etc.

Policies haven't been as firmly developed in the wireless space however and that is why Anchorpoint thinks you first need to come up with the rules your company thinks make sense and then let the software and systems enforce them.

Anchorpoint sells primarily to North American companies with offices around the globe and their software generally replaces tab-laden spreadsheets.

One item that I haven't touched on before is the concept of PBX call accounting. As companies move to VoIP they are able to get rid of multiple RS232 collection boxes and instead can centralize call accounting. This means an organization will likely roll out call accounting more deeply within an organization's branch offices as the cost to do so is lower with VoIP solutions.

In fact the company tells me that some of their customers are using TEM as a reason to go to VoIP as there is immediate cost savings above and beyond the lower service costs associated with IP calling.

In all, it is fascinating to see how telecom expense management solutions are being adopted by companies far and wide. Moreover it is great to be able to deploy one technology like VoIP because you save somewhere else. In the end it seems obvious that companies with enormous phone bills really must explore TEM solutions for their companies for all the reasons listed above and more.

Allworx Does Analog

March 31, 2008 8:42 PM | 0 Comments
Is it that Sandra Gault at Allworx loves her job or is it that Allworx is a great place to work? I say this because whenever I meet with her, she seems to be so excited about how her company helps SMBs be more productive and efficient.

Even when we talk and her company's news isn't earth-shattering like new Allworx Px 6/2 Expander which companies will use to add more analog ports to Allworx systems, I find myself listening intently as Gault explains that customers and resellers have been clamoring for such a product and as a result you can expect to see it released in about three months time.

By the way, if you have an Allworx 24x, 10x, or 6x system, this new Expander offers plug-and-play installation (assuming you have the latest firmware).

Why on earth would I even be writing about non-IP communications solutions you ask? Most of you probably thought analog was dead to me.wink

Well, in truth, IP is great and it allows companies to be more productive, etc. But you know what… Not everyone is ready for VoIP today and allowing companies a migration path is always logical.

For companies interested in adding analog trunks, you should know that three of these units can be added for a total of 18 lines and moreover, the retail price for each box is $1,550.

As Sandra points out, you can now easily replace your aging TDM system with "VoIP readiness."

In addition, Gault went on to tell me about how their systems have incredible levels of cell phone integration with the ability to transfer calls, reject or send them in voicemail right from your cellular gadget of choice.

She tells me they have 55,000 customers so far and they are doubling their customer number each month.

Certainly, Allworx is on a tear and they are one of the few companies that other new players in the market tell me they want to be like. It is exciting to see a business grow and take share by sticking to the telephony basics and doing things right.

Sprint Success

March 31, 2008 8:40 PM | 3 Comments
No one could more critical of Sprint than I have been these past months. I must say that the company's new TV ads are compelling and I am impressed with the new business model of pushing the $99 all you can eat plan and having the company's new CEO pushing it works. I also like the black and white ads the company has been running.

Let's see now if customers resonate with this idea as well.

Polycom's Software Play and More

March 31, 2008 8:31 PM | 0 Comments
Depending on the era, if I asked people what the name Polycom makes them think of they would give me different answers. In the nineties it was video conferencing and audio conferencing devices. Around 2000 you could add IP phones to this list. With the Spectralink acquisition you then could add wireless phones to this list.

Starting in 2008, the company will also be known for software solutions and in a recent meeting with company execs I got to learn about their new Productivity Suite which retails for a reasonable $11.99/seat.

So what void did Polycom see in the market that would have them go out and start selling software solutions? Simple… They want to provide better solutions for service providers who can now roll out phones and applications which give corporate customers much more power to customize their telephony environment.

In addition, corporate customers can utilize the software's open APIs to begin to embrace CEBP.

Whether this software makes the PBX partners of Polycom uncomfortable is yet to be seen but Polycom's addition of features such as four-party visual conference call management, local call recording, LDAP corporate directory access, voice quality monitoring and third-party call control are certainly moving the company nicely up the value chain.

The company has also integrated its video solutions with Microsoft OCS in a manner that makes it difficult for users to see where one company's solutions end and another one's begins. Examples include secure conferencing with remote camera control and the ability to invite people as well as boot them from conference calls.

Other supported features include a roll call, voting, polling and more.

To me the company's flurry of announcements shows their commitment to the communications market and not just for the enterprise space but for service providers as well.
I have to be frank… I have never been in a meeting where I saw a product launch accompanied by a phone being slammed on a table. So I was a bit surprised when Polycom's Ben Guiderian did just that with the company's new 8002 phone.

As it flashed before my eyes on the way to making a big bang on the table, I was told by Ben the new phone is an 802.11b WiFi device which is priced lower than the company's higher-end solutions. The 8002 costs just $349 for a phone, handset and charger and for another $50 you can get an extra charger and battery meaning the phone will always be functional.

On a typical AP you can get 3-4 simultaneous calls. This compares to Polycom's higher-end solutions which can potentially quadruple the number of calls.

So why would I even bother writing about a WiFi phone from Polycom at $349 when for about $150 less you can get a consumer WiFi telephony device which also supports the more robust 802.11g?

Simply stated because this device has a removable battery, Polycom has a great experience with SIP interoperability and if you break one of the consumer WiFi phones, you have now paid more than the virtually indestructible Polycom.

NEC's New Vision

March 31, 2008 8:08 PM | 0 Comments
Recently I had a chance to sit down with NEC Unified Solution's new president Jeffrey Kane and talk shop. Kane has an extensive background in systems integration having worked at firms like Perot Systems and EDS. Most importantly, he has a passion for success I haven't seen in my NEC telecom contacts over the past fifteen plus years.

He talks of unleashing the power of the 43 billion dollar company and bringing communications and computing together. The company purchased Sphere a while back for its SOA technology and Active Voice too is owned by the computing and telecom giant.

Still, with all that's going for them, in my experience it is always difficult for large multinational companies with non-US headquarters to compete against the likes of Cisco and Avaya. It is just that simple. My experience shows that parent companies beyond our borders don't understand our markets and don't trust US divisions enough to give them what they need to gain massive share.

Having said that, NEC is perfectly positioned to ride a tremendous UC wave and its SOA arsenal meshes so well with CEPB that it is scary. Lastly, Kane's systems integration background likely means he can hire the absolute best talent and get them to work integrating corporate applications with the company's communications systems.

In addition, there are currently a few hundred NEC developers writing core and customer communications applications.

If Kane is successful, there is a chance NEC could gain significant share in the communications market. It remains to be seen how well NEC can execute but it's been over a week since I met Jeff Kane and I am still fired up from listening to him outline what he has been doing and will continue to do to grow NEC Unified Communications.

OnRelay's Mobile PBX Solution

March 31, 2008 7:54 PM | 0 Comments
Years ago I realized that mobile phones would get cheaper and cheaper and eventually cause a threat to the PBX vendors of the world. Of course… trends are generally easy to spot but timing technology adoption is generally very difficult.

My friends, the time has come for PBX vendors to fear the mobile phone as a company called OnRelay is embarking on a super-aggressive campaign to get us to scrap our desk phones for mobile devices.

In a conversation with company President and CFO Marie Wold I got to see her configure her phone settings right from an application on her Nokia phone. When I asked her repeatedly if you could also use a web portal to change the settings of the phone service, she repeatedly answered, "Why would you need a web browser?" At first I thought she was being difficult but then I realized in most cases she is likely right. Besides, it is tough to argue with a company whose marketing says they will help eliminate 47 million Kg of e-waste. The company's solution allows ad-hoc conferencing, Caller-ID, business/personal modes OCS integration and presence detection. Wold refers to the solution as a desk phone in your pocket.

She went on to explain that 80% of phone system costs are in the wiring and phones. She does have a valid point when you consider many companies do install a second network for their IP communications.

The software supports Symbian and Windows Mobile devices and is 100% functional while roaming.

What I like best about the solution is the redundancy built-in meaning that if you do a search on a contact and your web connection dies due to a weak signal while searching -- an SMS is sent to you with the information you need.

The company's solutions do make sense in instances where a company doesn't mind supplying all workers with mobile devices and plans. After all, there are wireless costs that offset some of the waste the company helps stop.

In addition to enterprise solutions, OnRelay just launched a mobile branch exchange (MBX) solution for service providers looking so sell hosted wireless solutions.

There are drawbacks to such a solution as not every company wants to pay for cellular phones throughout the enterprise. But still, there are some industries where most of the staff already has company-supplied mobile devices. I would think however that in many of these cases, Blackberrys are in use and one would imagine OnRelay should come up with a solution supporting these devices soon.

In the mean time it will be very interesting to see how PBXs without IP phones work in the real world... Stay tuned.

Here at CTIA in Vegas

March 31, 2008 6:11 PM | 0 Comments
So here I am in Vegas. I had a 45 minute wait for a cab followed by a 15 minute wait to check in to find out that the hotel I thought I was staying at is not the right hotel but instead I am next door. Check in time is 3:00 but rooms aren't ready so I am at the restaurant just waiting and waiting.

As I wait I am seated next to a table with 15 women. A bachelorette party perhaps? Who knows... I am too busy keeping up with all the e-mail I got while flying here.

Yup, Vegas is still Vegas and it seems that anyone and everyone who has tech show has chosen Vegas as a home.

First Channel Partners then CTIA, Interop and NXTComm. Can they all do well? Who knows? I for one am just happy my flight was not delayed and I got to write every article I was hoping to write on the plane.

In addition I had a chance to get through about 800 e-mails -- most of which were not high priority enough to keep.

CTIA Bound

March 31, 2008 9:57 AM | 0 Comments
I am soon off to CTIA and don't think I would abandon you as I fly across this beautiful country of ours. Of course I wouldn't do such a thing. You see before I left, my editorial team agreed to have a page dedicated to the latest and greatest CTIA news so that you can always know what is going on at the show which takes place in Las Vegas.

I for one and very excited about my meetings and can't wait to get some writing done on the plane. Assuming all goes to plan expect some really good stories when I land.

Skype+Keyboard Convergence

March 31, 2008 8:39 AM | 1 Comment


Everything seems to be coming together -- camera, phones, e-mail devices, etc. It was just a matter of time before a company decided to merge Skype, a keyboard and silicon to develop a VoIP-ready keyboard with microphone and speaker built-in.

It is bendable, waterproof, has a two-port USB hub, a volume control and LEDs to indicate status.

The only downside is that I am not sure where I would use such a product. Perhaps outside in the rain -- assuming my computer and monitor are protected from the elements?

Would this product be the ideal boating accessory? Perhaps.

Would this keyboard be great for parents who want to work at the kitchen table without the fear associated with spills?

You have to hand it to the designer who got my attention by integrating such disparate items into a single waterproof package.

I guess there is now officially no excuse for not blogging or Skyping in the rain.wink

[USB Fever via GeekAlerts]

VPF Winter 2007 Video Interviews

March 30, 2008 10:55 AM | 0 Comments
Although the temperature near TMC's Norwalk, CT headquarters is below freezing, I am told we are actually in spring. And I am admittedly late in sharing this information with you, frequent readers of these pages know I believe it is better to post late than not at all.

A few months back, Gary Kim and I had the opportunity to conduct video interviews with a number of movers and shakers in the communications market. These interviews took place at the Voice Peering Forum, Winter 2007. It is worth noting that shortly after these interviews TMC was fortunate enough to add Gary Kim as a columnist.

On this page you will find lucid interviews with the following people:

Google's Government Wins

March 30, 2008 9:53 AM | 0 Comments


Google is slowly but surely racking up government wins and has some pretty big names under its belt so far. For example, the National Oceanographic and Atmospheric Administration, the U.S. Coast Guard, the National Highway Traffic Safety Administration, the state of Alabama and Washington, D.C. are just some of the search giant's customers.

What is the government purchasing you ask? Well, search appliances and apparently lots of them totaling millions of dollars.

In addition, the company has built a search-enabled Wikipedia-type service for the benefit of US spy agencies. In theory this new system allows the agencies to share information that was once isolated to individual computers and hard drives.

To access the data, users log in with multiple clearance levels and so far, 37,000 users have established accounts on the network, which contain 35,000 articles encompassing 200,000 pages.

Although Google has been at the search appliance business for a long time, it has made comparatively little money in this space. It seems that unless the world's corporations decide they all need appliances from the California-based search giant, this division will always be a drop in the bucket compared to the consumer business.

In addition, it is rewarding o see the US government adopt and embrace technology such as search. These same agencies have also rolled out a 3D, virtual world with unified communications built-in. IBM was a big part in providing this technology in fact.

After the horrific events of September 11, it is fantastic that the government is embracing technology. It is ironic that the technology industry in the US is so far ahead of most other countries and it seems just now that the government is deciding to harness what US corporations have been taking advantage of for many years.

In addition, in the Google and IBM examples, you will notice the government is using COTS or commercial, off the shelf technology which means that for the most part, the UC and search solutions you can buy for your small business today are good enough for the federal government's spy agencies who have unlimited budgets. Wow.

[San Francisco Chronicle]

Tax VoIP Illegally, Get a Raise

March 30, 2008 7:06 AM | 0 Comments
It is a sad day when a city government decides it needs to come after a specific technology -- one that has truly helped and empowered its constituents, in order to generate more revenue.

The city of Los Angeles just passed a nine percent tax on VoIP calls. In California, the voters actually have to approve tax changes and in this case, Measure S was passed by two-thirds.

Consider this however... the measure was placed on the ballot so late that there was virtually no time for anyone to counter it and let consumers know what the downsides are.

In addition, the the measure was packaged with a promise of increased police protection. Who wouldn't vote for that? Most people would vote to tax religious institutions if it meant increased safety.

The worst part of this tax is that it conflicts with a federal moratorium on Internet taxes signed by President Bush. Some in fact are calling it illegal.

Even the timing of the tax is terrible... Specifically, many complain that the new VoIP tax was proposed barely two weeks after the Los Angeles City Council granted 20 to 25 percent pay raises for all city employees, making them the highest-paid city employees in California.

VoIP providers -- especially independents, are up against a flood of competition from cable companies, phone companies and wireless providers. These large companies already use their size and relationships to lobby hard against any competition that would be good for consumers.

Now it seems the city of Los Angeles is on their side.

It should be noted that smaller VoIP service providers are responsible for more innovation this past decade than all other telephony advancements in the last 30 or so years.

Rather than tax IP communications services, wouldn't it make more sense to give financial incentives to VoIP providers so they can keep innovating, allowing consumers and small businesses in a  slower economy do better?

Ethically speaking, how can you single out a single technology, which has done nothing but help people around the world and tell a population if you let us tax it, we will make you safer? The whole Measure stinks and very badly at that. This is the Limburger cheese of taxes and measures in fact.

It is worth noting that the intended consequences of this measure will no doubt be unintended. There is competition to paid VoIP and it is called free VoIP. The more you tax paid VoIP, the more incentive you give people to go to the free variety which is (currently) immune from such irrational changes in the tax code.

As this happens, the paid VoIP companies begin to close shop and guess what happens... Unemployment increases and guess who pays the unemployment costs? The taxpayers!

Taxes and our economy are not isolated from one another. Passing new taxes on burgeoning technologies which the federal government has promised to protect from such measures is a very bad idea.

I for one am deeply saddened by this news.

[Heartland Institute, TMCnet]

Nortel's Recent Wins and More

March 29, 2008 8:09 PM | 0 Comments
Nortel's Wes Durow
credit SMEI.org

One of the largest if not the largest deployment of VoIP I am aware of has to be Nortel's 10-year, $300 million dollar win with the US Social Security Administration which will support fifty-five thousand virtual workers and support baby boomers worldwide.

Nortel has had a number of DoD wins recently and part of the reason for this is due to the timing of a test network the Canadian telecom giant had at the DoD when a major network outage occurred about seven years ago. Apparently, Nortel's network was the most resilient and stayed up while others did not… Since this time, the company has been doing well supplying myriad government solutions.

In an interview with Wes Durow, who is Nortel's VP, Enterprise Solutions Global Product Marketing, we discussed the fact that the company refreshed the entire Bay Networks line (the data networking division) about seven months back and as they were doing this they had customer requests to develop more energy efficient solutions.

Now Durow proudly tells me the company's data products are much more resilient, have better performance and are extremely energy efficient.

According to Durow, "You can upgrade your data network and pay for VoIP with your energy savings."

This is all good news and Durow says candidly that companies do not buy products for the sake of being green but instead for the energy efficiency. I get the feeling he is right on with this comment.

I just can't imagine the head of IT going into a management meeting and saying I think throwing away our old network is the green thing to do and keeping her/his job.

Wes went on to tell me that there is a great deal of activity in their telepresence sales and they have partnered with Tandberg and Polycom, companies who supply some of the most open solutions on the market.

Durow went on to explain they have a suite of products that extend mobility which they refer to as unified mobile convergence. The solutions have native Microsoft and IBM UC connectivity and they further allow access to IP PBX features from the cell phone and allow you to move between WiFi zones without dropping calls.

We can also expect Nortel to get more active in the developer arena and this is good news for customers as the more developers get on the Nortel bandwagon, the more Nortel customers benefit.
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