Peter : On Rad's Radar?
Peter
| Peter Radizeski of RAD-INFO, Inc. talking telecom, Cloud, VoIP, CLEC, and The Channel.

CLEC

Indirect versus Direct: the Financials

October 18, 2010

At Microcorp agent show today, one regional GM was explaining that the corporate mentality is that it is more expensive to sell via indirect than direct. I was flabbergasted.

The reasoning is that on year 2 and 3, when the carrier is still paying commission points, it is losing money. Really?

One: your customer acquisition cost and cost of sales for indirect is only paid if as sale is made.

Two: you pay salary, taxes, benefits, car allowance, cellular bill, office space, unemployment insurance, business liability insurance, and utilities for a direct sales force always!





Where Can You Find Me?

October 12, 2010

Last week was a whirlwind, Tampa to Los Angeles to Ontario ($125 cab ride???) to New Orleans to Orlando to Tampa. ITEXPO, StartupCamp and CVX Expo were great. Over 200 booths at the show. ITEXPO gave away a Mustang convertible and Nimsoft had a contest for a Tesla!

EarthLink Acquires Deltacom

October 1, 2010

I had to check the calendar to make certain it was October 1 and not April 1 when I read the headline that EarthLink bought Deltacom.

Deltacom has a lot of fiber in the Southeast - 35 metro rings and 16,400 total route miles of fiber across 14 states - that generates about $440M in annual revenue. That revenue comes from 32,000 SMB customers. EarthLink will combine this with its New Edge Networks subsidiary.

What to Ask Your Prospective VoIP Provider

September 29, 2010

If you are a VAR or telecom agent about to pick out a strategic partner to be the VoIP Provider that you work with, here are some things to ask the execs.

Are you a CLEC? It isn't a requirement to be a CLEC to deliver VoIP. However, if not, E-911 and porting will be done by a third-party.

Paetec acquiring Cavalier

September 13, 2010

PAETEC announced that it is merging with Cavalier Telephone this morning. The transaction is worth about $796M if I read between the lines correctly - $336M in debt and $460M in financing. So PAETEC gets about $800M in additional revenue for $796M.

CavTel will be a wholly-owned subsidiary of PAETEC.

What's Up with the New MegaPath

September 7, 2010

MegaPath just completed its three-way merger with Covad and Speakeasy. I had some questions for the company and Rich Sabin, Director of Marketing, was nice enough of answer them.

 

1. Now that Speakeasy, Covad and MegaPath are one organization, how will this affect the Channel (Agents)?

The New MegaPath remains committed to serving our partners, and we are in the process of rolling out an exciting new Channel Partner Program later this year.

Google is Not Killing Voice

August 31, 2010

Everywhere you look, people are aghast that Google added free calling to Gmail. Big deal. (Although you should read Jon Arnold's piece on it.) Most people aren't going to strap a microphone and headset to their computer to make PC-to-phone calls.

Isn't Skype the only one that this really affects?

Global Capacity Bankruptcy Notes

August 25, 2010

Bloomberg has the story on the bankruptcy of Global Capacity.

Global Capacity Files in Delaware for Debt Conversion

Capital Growth Systems Inc., known as Global Capacity, filed a Chapter 11 petition on July 23 in Delaware to convert debt into equity.

The Chicago-based provider of systems to integrate networks had revenue of $64.4 million in 2009, resulting in a $52.8 million net loss including $12.5 million in charges for impairment of goodwill.

3 Reasons I Get a Rash from my Industry

August 23, 2010

Actually, I don't get a rash from the Industry but from a large portion of the people in my Industry.

There are so many changes happening right now - every where. Our Industry is experiencing so many factors: declining prices, hyper-competition, anti-competitive actions, forbearance, Net Neutrality, and so much more.

Agents are locked in their business model and don't want to step outside the comfort zone.

Wireless Combo is Merger 3

August 20, 2010

This week has been awash with mergers - the Intel-McAfee merger and the Windstream-Q-Comm merger are the big two. The third interesting merger involves two fixed wireless companies. Airband and Sparkplug announced that they merged and grabbed $20M in financing.

"Fixed-wireless companies Airband Communications and Sparkplug Communications today announced they have merged, creating the largest fixed-wireless company for businesses in the U.S., providing a full suite of voice and data services in 17 markets."

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