Subex acquires Alcatel's FMG arm

BANGALORE: Subex Systems has announced its acquisition of the fraud management group (FMG) of Alcatel. Subex has signed an agreement to this effect for a total consideration of about $ three million. According to the press release, this acquisition adds nearly 30 new clients to Subex's existing 39 clients and gives Subex No. 1 position in the global telecom fraud management space.

Further strengthening the association between the two companies, Alcatel will partner with Subex and will offer Subex's fraud management and revenue assurance solutions as part of its' extensive offering for revenue management to telcos all over the world. This global partnership with Alcatel is expected to boost the business of Subex in the coming years.

"Subex will be Alcatel's sole partner for fraud management and revenue assurance. This acquisition and the consequent partnership strengthens our credentials and stature in the revenue maximization segment. We would also be retaining some of the employees of Alcatel's FMG and place them in our new facility in the UK," said Subex president & CEO Subash Menon, while commenting on the partnership.

Subex's new facility, which is expected to be operational by August - September 2004, would be located in London and would act as a sales and support office, primarily for Europe.

Subex recently launched an integrated platform for revenue maximization, called RevMax at the 3GSM World Congress event in Cannes, France. According to Subex COO, Sudeesh Yezhuvath, "Post acquisition, Subex will merge the functionalities of Alcatel's fraud management solution with that of our own, Ranger and also take over the support of Alcatel FMG's global clientele."