latin america

Microsoft Live Messenger VoIP now available in South America

Pete Wylie — Fri, 24 Oct 2008 15:37:40 -0400

Microsoft officially announced it has chosen Telefonica, the largest telecommunications provider in Latin America, to distribute its Microsoft Live Messenger VoIP client in seven South American countries. Brazil, Argentina, Chile, Columbia, Peru and Venezuela will now have access to the PC -based phone service, called Voype, which was announced for U.S. users Oct. 3.

The Voype service is priced under Skype's rates; $0.014 a minute for Voype calls to the U.S. compared to $0.021 for Skype. Skype's clear advantage is the ability to answer calls on SkypeIn, as Telefonica said that feature will not be available until a later release date.

Telefonica also plans an eventual rollout in Latin America.

For more:
- see the CNET blog post here

FierceVoIP Leaders: John Lazar, President & COO, MetaSwitch

Pete Wylie — Wed, 01 Oct 2008 16:11:04 -0400

FierceVoIP: Let's talk a little about MetaSwitch's recent deal with Embarq.

John Lazar: We think the Embarq project is very interesting for two big reasons. Number 1, it is an obvious validation of our strategy to extend our reach. Embarq has more than 700 customers from Tier 1 ones down the chain. Secondly, Embarq allows us to offer cutting edge services, because they understand that subscribers are accessing content through many platforms and devices. Together, we offer broad and coherent access across devices. Embarq's web-based features for end-users are also quite attractive, and its web portal is also very good.

FierceVoIP: Does MetaSwitch have any acquisition plans in the near future, either buying another company in the space or perhaps merging with another one?

Lazar: No, we have no plans of that sort at the time. It's not part of our growth strategy at this time. Of course, we never say never, and if the right company came along that we thought would really add value, we might consider something. But what I want to stress, is that we are growing strongly, we have a great revenue stream, and we're not looking to become part of a larger company right now.

FierceVoIP: Are there any plans for MetaSwitch to expand into other markets?

Lazar: We are focused on our already substantial Tier 1 offerings and making sure they are the best they can be. But we are also looking at gradual expansion upwards and outwards to new markets. We have the beginnings of an operation in the Caribbean and Latin America, and we're excited about the possibility of substantial revenue uptick in this region in the next few years. We are also looking at conscious expansion into Asia and mainland Europe, but not immediately on either.

FierceVoIP: Can we expect any significant new product or service rollouts from MetaSwitch soon?

Lazar: We have a fantastic range of revenue-driving applications we can offer clients right now, and we will continue to add meaningful ones to that package. We have a range of developing products; we're looking at set-top boxes and next-generation mobile devices, and we think there are some really interesting revenue opportunities in mobile and TV.

FierceVoIP: What does the next year to two years hold for Metaswitch?

Lazar: Well, we see some very interesting vertical opportunities in enterprise, opportunities to refine our offerings and provide new applications and services. Also, we are in the process of working with universities for deployments there. I can't comment on any specifics yet, but definitely watch that space.

In a broader sense, we're proud of what we've achieved here. We've gone from zero customers to 300 customers in eight years, we're close to $100 million in annual revenue. We've seen some competitors in the space go by the wayside. The reception we continue to receive from our customers is fantastic. They note, as key values of our products, the reliability, service and customer support, quality engineering and innovation.

FierceVoIP: Do you think the current shaky economic conditions will negatively affect any of MetaSwitch's plans or revenue streams?

Lazar: Even with the current economic climate, we've seen no slow down yet and are hoping that will continue. I think the next two to three years will be very exciting and quite unpredictable. To survive, I think we'll have to innovate very fast in a rapidly changing environment. As always, we're excited for the challenge.

VoIP growth in LatAm driven by cheap & broadband

Doug Mohney — Wed, 23 Jul 2008 10:27:54 -0400

The power of VoIP is rolling into Latin America, driven by lower costs and the growth of broadband services. It's also affecting service provider profits, says the new "VoIP in Latin America" report by Frost & Sullivan.

In Brazil, the growth of VoIP and IP telephony is in part expected to cause a 2.8 percent early dip in local revenues and a 7.9 percent dip in long-distance revenues over the next six years. End users say they're reaching for VoIP for cost reductions.

Frost and Sullivan expects the LatAm VoIP market to grow from earned revenues of around $72 million in 2007 to nearly $626 million in 2012. F&S says VoIP and wireless VoIP service providers need to ensure both operational efficiency and quality of service to thrive, along with effective distribution and promotion strategies.

Factors that will hinder VoIP growth include lack of number portability regulation, poor end-user awareness (i.e. marketing), low call quality levels and an "almost non-existent" VoIP pre-sales effort. VoIP carriers need to improve pre-sales support and customer service, along with creating new service bundles and improving VoIP quality.

Related articles:
Global Crossing Grows Latin America
SPOTLIGHT: VoIP Beats up U.S. Wireline; Wireless Data Drives Growth in U.S.