After winning a sizeable contract to provide an enhanced services and billing system to US company ILD Telecommunications, the boss of Telemedia Networks -- an ASX-listed developer of telecommunications software -- has claimed that companies supplying the telecommunications sector are well positioned to withstand the looming recession. ILD provides prepaid phone calling and telecommunications outsourcing services and will use Telemedia's enhanced services and billing platform to support its US prepaid phone card as well as its PayGo CallingCard platform in a network operations switching centre in Atlanta. The total contract is valued at about $A3.7 million.
Chris Jones, chief executive of Telemedia, was in buoyant mood when announcing the deal. "Despite the current downturn in the telecommunications sector there is strong ongoing global demand for enhanced services solutions that enable telcos to offer value-added products to their customers," he claimed. "While it is true to say that some tier two and three telcos have reduced their capital spending levels, global spending on enhanced telecommunications services continues to grow at a high rate.
"The current market climate is placing more competitive pressure on the telcos than ever before and those that do not offer the latest and greatest services will find it increasingly difficult to maintain and win customers."
The sale to ILD follows a successful period in North America late last year when Telemedia won seven contracts valued at $A4.9 million.