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“We want to help increase teledensity in India”

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CIOL Bureau
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Priya Padmanabhan






Continuous Computing, a company, which provides network ready platforms for
telecom equipment manufacturers, is betting on next-generation networks and

emerging markets like India and China, to foster its growth.






San Diego-based company provides software and hardware solutions which can help
OEMs to deploy converged communications.






With its acquisition of Trillium in 2000 and China-based UP Systems last year,
Continuous has buttressed its bulwark of telecom platform solutions. PJ Go, the

company's president, co-founder and CEO spoke to Priya Padmanabhan of CyberMedia

News about the company's plans and operations in India.





PJ Go, president, co-founder and CEO, Continuous Computing. What

solutions does Continuous Computing offer?







We provide network service ready platforms so that telecom companies can deploy
applications for their customers. We have three business units-hardware

platforms, Trillium software and IP enterprise products. The last unit was a

result of an acquisition of a division of a Chinese company. It is a suite of

VoIP products like media gateways and IPABX.






Our Trillium Plus software consists of pre-integrated managed solutions. In
addition to products, we also have a professional services division, which is

now the fastest growing business segment for us. This business, which was

started in the middle of last year provides customized product development for

customers. We are targeting this segment to make up for 8-10 per cent of our

overall revenues.






How are Continuous Computing's solutions helping telecom companies grow?





The three major markets for growth in the industry are VoIP (Voice over Internet
Protocol), IMS (IP Multimedia Subsystem) and 3G wireless. Among these, IMS is

the fastest growing market at 67 per cent CAGR. IMS allows operators to

experiment with new applications and services. Our focus is on the core network

side.






Our clients include telecom equipment manufacturers and telco vendors like
Nokia, Cisco, Siemens. These companies are looking to offer VoIP and new IMS

elements to sell to operators who want to expand their network and add new

services.






We address some of the issues faced by customers. Today, telecom OEMs are facing
challenges such as reduced R&D budgets, decreasing time-to-market cycles, need

for a scalable platform. Telecom majors are cutting back on their product

development and instead want to either outsource some product development or get

solutions from third party companies. We also help them with product

development.






The trend is that customers want pre-integrated solutions, which helps them
minimize their development time. Time to market is crucial in this area.






Are you focusing on the high growth telecom markets in India and China?





The teledensity in India is around 11 per cent. Most of our customers (telecom
OEMs) are moving to India. Indian market has increased over the last five years.






Most of the global growth in telecom infrastructure will happen in India and
China since the countries are in the process of increasing their teledensity. We

give telcos a combination of hardware ad software. China has just started

rolling out next generation networks. We want to provide telcos with the

building blocks to enable them deploy networks that can help India increase its

teledensity.






China is certainly ahead of India since it is going ahead with net-generation
networks and has a teledensity of around 25 per cent.






In India, data services is still in its infancy. But this is bound to change
since the teledensity is improving.






How critical are the company's India operations?





We have more than 80 employees at our Bangalore center. Around 90 percent of the
development work on Trillium happens in India. We also have pre-sales and

post-sales support for our customers in India and Asia-Pacific. The company

intends to invest $10 million over the next three years into the Bangalore

center.






Do you plan to pursue acquisitions?





From $45 million in 2004 we grew to $70 million in 2005. We are looking at
acquisitions to gain scale, and deliver integrated solutions to our customers.

Customers are demanding a combination of hardware and software and what is

missing is the integration. By the end of the year, we will have integrated

products available.






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