Monday, November 13, 2006

VoIP Inc. Expands

In some interesting news, Volo announced a network expansion in NY, FL, MA & GA. Volo is owned by VoIP, Inc. One of their biggest customers is Broadwing, who was just purchased by Level(3). Can you say WilTel? Volo offers VoIP minutes exchange on the VPF, as does at&t wholesale and XO. This statement threw me: “[W]e are now building what will be one of the top five largest CLEC networks in the country, behind leading providers such as Level 3 Communications and XO Holdings,” said Shawn Lewis, VoIP Inc.’s CTO. VoIP Inc. on Oct. 19, 2006, was restructuring according to TMCnet:

"In an effort to improve its balance sheet and enhance operating results, VoIP, Inc., a provider of VoIP communications solutions for service providers, resellers and consumers, announced today that it has completed the first phase of its restructuring, streamlining operations, reducing its overall level of indebtedness and raising additional capital."

"The company also entered into an agreement with certain investors where they converted approximately $7 million in debentures into common stock, and separately raised $2.3 million via a private placement, providing working capital for the continued development and marketing of its VoiceOne suite of services."

Seems strange at this juncture to be restructuring AND building out in a market that is flat. I mean, VoIP minutes are buckets that just move around. One day they are with WilTel, then L#, then GX, then Qwest, then XO and finally when the company has exhausted all other avenues as well as their credit they may end up at Volo or RNK. But I consider this to be a great time to be selling and marketing. Sell deep into your business right now! That is the key to success.

No comments: