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April 09, 2010

MegaFon Deploys Arbinet's PrivateExchange
By Jai C.S.
TMCnet Contributor

MegaFon, a mobile telecommunication operator in Russia, has launched Arbinet’s (News - Alert) PrivateExchange PEX to build virtual direct routes to its international correspondent carriers, allowing the company to improve global interconnect efficiencies for its voice termination.

Arbinet Corporation is a wholesale voice and data telecommunications service provider. The company’s PrivateExchange is an outsourcing solution that enables retail service providers and carriers to aggregate multiple voice interconnections into a single TDM or VoIP interconnect with Arbinet. While the carriers still handle rate and volume negotiations with each other, Arbinet will manage routing, billing and settlements and provide TDM or VoIP protocol conversions if necessary.

MegaFon (News - Alert) believe that Arbinet’s PrivateExchange will help the company to exchange voice traffic with increased back office efficiency.

“We are very pleased with MegaFon’s endorsement and utilization of our PrivateExchange service,” Dan Powdermaker, senior vice president of Sales and Marketing at Arbinet said.

 “In an industry where many operators are looking for new efficiencies when delivering international voice services to their end-users, Arbinet’s PrivateExchange is a unique, flexible, low cost and easily implemented solution. By using PrivateExchange, MegaFon is optimizing the cost of handling interconnects and will be able to devote more of its resources to retail product evolution, subscriber acquisition and customer service,” Powdermaker added.

Arbinet offers three ways for carriers and service providers to originate and terminate international voice traffic. PrivateExchange, according to the company, is an easy to use, low-risk outsourcing approach that will help service providers to create virtual direct routes and aggregate existing interconnects.

“Arbinet’s PrivateExchange is a part of our action plan for developing MegaFon’s international footprint,” said Konstantin Solodukhin, deputy general director for Fixed Line Business Development and Interconnection at MegaFon. “It was our strategic decision to focus on interconnection with incumbent carriers and find an integrated solution for the rest of international voice wholesale. Arbinet’s PrivateExchange allows us to use less company resources on handling those interconnections as well as to keep independence in choosing partners for traffic exchange and focus on negotiating better rates and achieving better quality for our customer calls.”

Jai C.S. is a contributing editor for TMCnet. To read more of Jai's articles, please visit his columnist page.

Edited by Marisa Torrieri


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