Covad Communications Group (News - Alert) is driving rapid growth of managed, business-class IP communications services with more than 580 new business customers subscribing to the services in 2005, the company’s leading partner reported on Monday.

 

In a press release issued by Cisco Systems (News - Alert), the networking giant explained that Covad's business-class VoIP services, vPBX and PBXi Plus, are actually Cisco-powered networks. Although the announcement wasn’t issued by Covad, the data is still consistent with Covad’s fourth-quarter results announced in mid-February when it recorded 1,147 direct VoIP customers at the end of 2005, a 102-percent increase from year-ago levels.

 

Covad’s business-class VoIP offerings feature Cisco Integrated Service Routers (ISRs), Integrated Access Devices (IADs), intelligent Catalyst Series switches and Cisco IP Phones at the customer premises, Cisco detailed in its statement. The services are delivered over a converged IP and ATM backbone with high-capacity Cisco ATM switches in the core, Cisco 7600 Series routers at the edge and AS 5350s for public switched telephone network (PSTN) access.

 

"Managed IP communications services are increasingly attractive to our business users due to the enhanced productivity and cost reduction they offer," said Claude Tolbert, Covad's senior vice president, Product Solutions, Planning and Priorities. "Working with Cisco to develop and promote our vPBX and PBXi Plus services, we have increased both our revenues and customer retention. With such results, it's easy to see why we are pleased to be a part of the Cisco Powered Network Program."

 

Covad managed IP Communications services can help small businesses by reducing interconnection costs, billing and routine maintenance costs. In fact, Cisco Network Optimization Support from the Cisco Lifecycle Services portfolio provides Covad with Cisco engineers, tools, best practices and intellectual property for in-depth operational and engineering support across the multiple network environments and technologies in Covad's end-to-end managed VoIP offerings.

 

"Leading providers like Covad are driving the next wave of advanced services, offering technology and services that drive enhanced productivity and cost reduction to their customers." said Kirt Jorgenson, Director of the Cisco Powered Network program at Cisco. "Ultimately, managed services are a clear win for all parties involved. Managed services like Covad's vPBX and PBXi Plus generate incremental revenue for the provider and improve customer retention due to increased satisfaction."

 

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Robert Liu is Executive Editor at TMCnet. Previously, he was Executive Editor at Jupitermedia and has also written for CNN, A&E, Dow Jones and Bloomberg. For more articles, please visit Robert Liu's columnist page.