On Verizon's horizon

The already-crowded international long-distance (ILD) telephony market in India is set to swell further with another global giant, Verizon Business, a unit of US communications service provider Verizon Communications, declaring its intentions by applying for an entry licence. “We had recognised a tremendous growth potential of Asian markets, and especially India, for some time now, and I think the time is right for us to step in,” says D. Blair Crump, Group President, International and Premier Accounts, Verizon Business.

Already, the players in the segment include domestic and international biggies such as Tata Telecom, Bharti Airtel, BT, and Alcatel-Lucent, but that has not deterred Crump, who feels there is scope for more players. Crump, who was in India recently and met prospective clients and government authorities, says: “We have a tremendously huge network worldwide and with our technological edge, we intend to provide the full range of advanced telecommunications services to multinational companies with operations in India, as well as to India-based multinationals.”

The firm, which delivers IP, data, voice and wireless services to large businesses and the government, has already set up a joint venture, Verizon Communications India, in partnership with Leo Communications, an arm of the Mumbai-based Videocon Group. Verizon and Leo between them hold 74 and 26 per cent, respectively, in the JV. The company currently provides services to its multinational customers’ Indian operations through partnerships with several licensed carriers in the country.

The New Jersey-based Verizon Business, which generated revenues of more than $20 billion worldwide during 2006, already holds an Internet service provider licence in India and has various local IP hubs. “Once the licences are in place, we hope that companies operating in India will benefit from direct access to Verizon Business’ advanced IP communications portfolio through Verizon Business India, which will complement Verizon Business’ continuing relationships with its existing Indian partners,” says Crump.

Verizon Business India plans to offer the full range of services to multinational customers, including international private-leased circuits with multi-protocol label switching (MPLS), and internet protocol services. With a network of over 485,000 route miles and footprints in more than 2,700 cities across 150 countries, Version Business’s IP and data network services are planned for launch in Mumbai, Bangalore, Delhi, Chennai and Hyderabad in 2008.