New Study Highlights Economic
Benefits of VoIP using Verilink 8000 Series IAD as Benchmark
NSP Study Reveals 85% OPEX Savings through Utilization of VoIP-Enabled
IADs and Softswitch Technology
CENTENNIAL, CO - AUGUST 1,
2005 -
Verilink Corporation (Nasdaq: VRLK), a leading provider of broadband access solutions, today announced the results of a new study conducted by independent research firm Network Strategy Partners, LLC which identifies and quantifies the benefits of moving from traditional Time Division Multiplex (TDM)-based
to VoIP-enabled
IADs as a CPE solution. The report, entitled "Economic Impact on T1
Infrastructure of VoIP-enabled IAD," uses the
Verilink 8000 Series IAD as a
benchmark in examining the benefits of
VoIP-enabled IADs and explores four
primary areas, including: CAPX analysis; recurring operating costs; total cost
of ownership (TCO); and, operating expenses.
Conclusions from the
study support the economic, technical and operational advantages of VoIP-enabled
IADs over their TDM-based counterparts, and revealed a sharp reduction in legacy
infrastructure CAPX spending with the introduction of VoIP-enabled IADs and
softswitching. The study found that CAPX is 71% to 75% less through the
integration of VoIP enabled IADs in the future mode operations (FMO) over that
of present mode operations (PMO) based on TDM. The study also found that the use
of TDM IADs typically result in the underutilization of a T1’s full capacity due
to the channelized nature of TDM’s dedicated DS0 circuits. VoIP-enabled IADs, in
contrast, can increase
T1 utilization from 50 to 100% by employing statistical
multiplexing and sophisticated QoS capabilities, thus tripling the service
capacity of a T1 line.
"The dramatic savings as a result of integrating
both a VoIP IAD and softswitch solution backs our initial conclusions that VoIP-enabled
IADs produce a multitude of economic advantages over that of legacy TDM-based
IADs," said Michael Kennedy, President Network Strategy Partners. "Our research
makes a compelling case for service providers to move from the PMO model to FMO
based on VoIP. Furthermore, our findings show a significant increase in
capacity, enhanced feature capabilities, and cost savings when service providers
move from TDM to the enhanced capabilities that VoIP-enabled IADs bring.
Verilink’s
8000 Series IAD was useful as a benchmark in the study given its
unique multiprotocol transport support across TDM, ATM and IP."
"As shown in NSP’s study findings, service
providers can build a compelling case to continue transitioning their legacy TDM
infrastructure to IP packet-based networks while at the same time increasing
service levels, maintaining customer churn, and growing their overall customer
base," said Sab Gosal, Vice President of Marketing for Verilink. "The enhanced
capability of VoIP-enabled IADs, such as the
Verilink 8000 Series, allows carriers
to provide better value to their business customers with broadband services that
offer as much as three times the capacity of traditional TDM-based solutions.
Furthermore, service providers can employ
VoIP technology to substantially
reduce their CAPX and OPEX costs today while preparing their networks to deliver
new services in the future."
The report, entitled "Economic Impact on T1
Infrastructure of VoIP-enabled IADs," is available from upon request from
Network Strategy Partners (NSP), or can be downloaded from the Verilink web site
at
http://www.verilink.com/papers/voip-economics.cfm.
About Verilink Corporation
Verilink Corporation is a leading provider of next-generation broadband
access solutions for today's and tomorrow's networks. The company develops,
manufactures and markets a broad suite of products that enable carriers (ILECs,
CLECs, IXCs, and IOCs) and enterprises to build converged access networks to
cost-effectively deliver next-generation communications services to their
end customers. The company's products include a complete line of
Verilink VoIP, VoATM,
Verilink VoDSL and TDM-based integrated access devices (IADs), optical access
products, wire-speed routers, and bandwidth aggregation solutions including
CSU/DSUs, multiplexers and DACS. The company also provides turnkey
professional services to help carriers plan, manage and accelerate the
deployment of new services. Verilink is headquartered in Centennial, CO
(metro Denver area) with operations in Madison, AL and Newark, CA and sales
offices in the U.S., Europe and Asia. To learn more about Verilink, visit
the company's website at http://www.verilink.com.
About Network Strategy Partners, LLC
Network Strategy Partners—management consultants to
the networking industry — helps service providers, enterprises, and equipment
vendors around the globe make strategic decisions, mitigate risk and affect
change through custom consulting engagements. NSP’s consulting includes
go-to-market strategies, development of new service offers, pricing and bundling
as well as infrastructure consulting. NSP’s consultants are respected
thought-leaders in the networking industry and influence its direction through
confidential engagements for industry leaders and through public appearances and
trade magazine articles. These interactions assure NSP’s clients that they will
be among the first to know the latest industry concepts and emerging technology
trends. Each consulting engagement is uniquely structured - no
forced methodologies or canned reports are employed. NSP’s consultants’
collective experience is derived from leading firms across a broad spectrum of
professional disciplines including management consulting, engineering,
marketing, financial analysis, and IT management. Contact NSP at
http://www.nspllc.com
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[Edited for Interlink Website] |