By MELVIN G. CALIMAG
Buoyed by the increasing revenues and new opportunities in the software solutions space, networking equipment maker Avaya Communications is now transforming itself from a hardware-focused company to one whose thrust now involves providing solutions for firms involved in the communication business.
This was the news carried by Avaya regional executives who recently visited the Philippines -- a vital market for the company because of the country’s burgeoning call center industry.
K.K. Chan, chief operations officer at Avaya ASEAN, said that since announcing their Intelligent Communication Initiative last year, the company has "reinvented itself from a hardware-focused organization to a strategic solutions provider."
In its 2006 first quarter results, Avaya said its Global Communications Systems (hardware) revenues rose 11.7 percent year-over-year and Avaya Global Services (software services) revenues increased 5.8 percent over the same period. The company’s operating income for the quarter was $ 107 million, and generated 6 million in operating cash flow and had $ 726 million in cash at the end of the quarter.
As part of this transformation, US-based Avaya has adopted the service-oriented architecture (SOA) model to "develop intelligent applications that solve customers’ business issues."
"We’re not there yet but I can say that we’re now on the transition period," said Chan. He did not say though if the company has a timetable or definite date of completion for this strategy.
In a statement, Avaya said it will be offering SOA capabilities to high growth verticals such as banking and finance, manufacturing, telecommunications, healthcare, and education in the Asia Pacific region.
The company said it has partnered with other technology vendors like Nokia, SAP, Juniper, and IBM to produce applications for specific verticals, namely healthcare and finance.
During the local stop for its regional roadshow, it also previewed newly launched products that use Session-Initiation-Protocol (SIP) and "supports intelligent communication."
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