Redefining the Rules
- Choose YOUR infrastructure - as much as you want, when you want
it
- Choose YOUR licensing, management and maintenance requirements
- Pay only when YOUR customers come on board
- Pay YOUR bills on a quarterly subscription basis
- Choose YOUR required contract term (2 – 5 years)
- Increase YOUR profits immediately with recurring revenue streams
For many years service providers have recognized the benefits that WAN optimization
can deliver in terms of network throughput, application performance and service
delivery. However, traditional approaches to WAN optimization procurement meant
that service providers have had to make considerable up front investments in terms
of infrastructure procurement, licensing and support costs. This ‘build it
and they will come’ approach can severely impact a service provider’s
financial performance due to the upfront CAPEX, whilst customer revenues are realized
on a monthly subscription basis. Latterly, some vendors have retro-fitted their
traditional sales model by offering a deferred payment approach, however the impact
of CAPEX investment versus OPEX revenues still remains.
Expand Networks is taking a radical and innovative approach to this service provider
dilemma with a commercial offering that mirrors service provider revenue models
and completely eliminates the up front infrastructure costs. Based on a ‘pay
as you sell’ subscription model service providers can take as much infrastructure
as they need, when they need it, together with licensing, management and maintenance,
and only pay for it as and when they sell it to a customer. The subscription is
based on the number of remote connections terminating at the datacenter, bandwidth
speed at the branch office and number of concurrent connections for remote clients.
Service providers are now able to embark on service roll out on a much more cost
effective and risk free basis thereby overcoming barriers to market entry and service
deployment and accelerating speed to market with new value add service offerings.
- Simplistic service centric model
- Accelerates time to market
- Eases deployment and management
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- Reduces cost of ownership
- Delivers immediate return on investment
- Generates competitive advantage
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Enabling New Service Revenues
This new commercial model combined with Expand’s WAN optimization technology
enables service providers to realize:
- Competitive Advantage – In a market where infrastructure is seen
as a commodity, value added services are critical in gaining market share. Enhanced
and differentiated services will enable service providers to retain existing customers
and win new customers
- Financial Advantage – By eliminating upfront capital investment
costs and moving to a subscription based ‘pay as you sell’ model, service
providers are able to free up cash flow and concentrate investment in areas that
will deliver business revenues, such as customer acquisition service enablement.
- Profitability – WAN optimization will enable service providers
to deliver enhanced and differentiated services that command a premium price tag,
thereby increasing profitability. Furthermore, the ability to be able to monitor
customer usage and visibility into application performance, service providers can
identify customer needs and propose other services to meet these needs resulting
in incremental revenue streams.
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“Expand Network’s Compass platform has a broad and advanced features
set that complements Unisys already existing managed services. It can improve the
performance of applications from Microsoft applications to Remote Desktop Protocol
to Terminal Services and supports our customer’s global IT initiatives. Working
together to deliver the new managed WAN optimization service; we believe poor performance
issues will be easily addressed in the future.”
Unisys
Marco Tesini, Business Operations Director Global Outsourcing Infrastructure Services,
Unisys
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