Russian Software Developer CBOSS Entering Middle East Market

Telecom operators need to deploy billing and management solutions, knowledge bases and other software to ensure complex and integrated operation and high quality of their services. Telecom sector requires relevant expertise and significant investments into development of telecom technologies. That’s why European, American and Indian developers are still market leaders. Arab companies tend to import and localize such solutions.
There is an opinion that foreign developers will monopolize this sector. Knowing of this peculiarity of the Arabian telecom market, some companies are trying to enter our «unexplored and growing» market. These are not only European and American companies, but also relatively young telecom sector players from Russia that attempt to gain a share on the regional market. Such companies develop solutions for Russian telecom segment represented by dozens of telecom operators serving about 50 million subscribers.
CBOSS Association is one of the leading Russian IT-for-telecom developers. Its solutions are deployed at a number of large domestic and international cellular operators, such as ONE (Austria), O2 (UK), Optus2 (Australia). Over 40 million subscribers are served by CBOSS solutions.
CBOSS Association is entering Middle East and South Africa telecom markets within the framework of its global expansion policy, using the experience of successful implementations of its solutions in Russia and abroad. CBOSS President Andrey Morozov gave an interview to «Economy and Business». You can learn more about the Russian software manufacturer and its regional plans from the interview below.


Al-Iktissad Wal-Aamal, july 2004

— How would you introduce CBOSS to the Middle East?

With 2000 employees and 44 products CBOSS Association is an innovation-driven international provider of IT solutions for telecom. CBOSS main products are Convergent pre- and post-paid Billing and Customer Care, Intelligent Services, Analytical Systems, Internet Solutions, and more. CBOSS implemented 730+ installations for telecom operators, servicing in sum 40M subscribers in 18 countries on four continents, and takes pride in having 140 customers around the globe. Now we are honored to have a customer in the Middle East (XPress Telecommunication trade mark), a telecom carrier from Jordan. Cooperation and partnership with MENA businesses is one of the priority directions of CBOSS as an international company. In terms of this policy this year our Association takes part in Arabcom exhibition (16-17 June) in Beirut, Lebanon.

— How are your operations distributed globally? And who are your partners?

We operate in ICT sector that doesn't have any national boundaries. Though CBOSS was founded in Russia we don't make any difference between the countries or regions offering our solutions. For example, during 2003/2004 we negotiated some important contracts with foreign customers — including supply of our solutions to carriers from Norway (Teletopia Mobile Communications), Jordan (XPress Telecommunication), Laos (Lao Telecommunications and Lao-Asia Telecom State Enterprise). Very important for our business was our strategic acquisition of On-Line Billing Solutions (OBS) from Fujitsu Services. Due to the OBS acquisition CBOSS obtained a perfect base in Finland for economic expansion on the foreign markets.
As far as our partners are concerned, in our business, where integration and universality of technologies play the most significant role, partnership with the other IT-market players is not to be underestimated. In this sense, multi-vendor collaboration is not only means to gain access to customers, but the only way to success. CBOSS is working closely with other vendors as Hewlett-Packard, Oracle, Sun Microsystems, Excel Switching Corporation, Hitachi Data Systems, Intel, Brooktrout, Avaya Communications, Microsoft, Xerox and other. Partnership with them brought us success, and as we obtained by these companies a status of «honor partner» — obviously, they profit from it too. For example, recently we have signed bilateral OEM agreement with HP, according to which Hewlett-Packard's equipment will become the platform for CBOSSrtb, our flagship solution positioned for telecom enterprises. HP will render comprehensive support to solutions provided by CBOSS. This is the highest level of HP strategic partnership — earlier, similar agreements with HP were signed by Alcatel, Nokia and Motorola.

— What is the sector you're targeting in the Middle East?

Our primary target in Middle East is of course telecom sector. But CBOSS' customer care and Internet-systems can suit the needs of the ISPs, cable and satellite providers, banking sphere and any other market sector looking for automation and optimization of its business processes. Our solutions are noted for high integrity and ability to work in real time. In its turn, CBOSS products are directed towards their needs.

— How do you see the IT and Telecom market in the Middle East and what do you expect from the market?

Middle East is a growing IT and telecom market and there is a huge need for IT services, which is constantly increasing. Many important market sectors of this region stay uncovered by the activities of existing operators, and this problem doesn't remain unnoticed by the authorities and governmental structures. This promises to improve the situation — we must expect issuing more carrier licenses by governments, increased investments in the telecom sphere and attracting foreign solutions providers. That's why CBOSS looks attentively at MENA region. We expect further growth of the Middle East IT and telecom market, the gradual increase of demand for mobile services. Offering state-of-the-art and approved solutions and having experience of successful cooperation with a Middle East operator our Association is ready to play some significant role in development of the MENA IT and telecom market. CBOSS solutions proved their highest level in tough competitions with the strongest international OSS/BSS vendors including those from USA. With high-quality and recognized products, rich experience, traditionally strong ties of friendship wit Middle East and good will, we expect successful and mutually beneficial cooperation with MENA businesses.

— You have already signed an agreement with New Generation Telecom, a telecom carrier from Jordan. Is that your first involvement in the Middle East market? What is your Strategy to further enforce your relations in the Middle East?

Yes, we have recently signed a contract on purchase by New Generation Telecom (XPress Telecommunication trade mark), an iDEN operator from Jordan, a suite of CBOSS products for automation of telecom business. Having already begun the training of its employees in Russia and the CBOSS system implementation process in Jordan, XPress is now looking for purchase of more CBOSS products.