HYDERABAD: Megasoft, a Hyderabad-based technology company, announced on Monday that its telecom SBU (strategic business unit), XIUS, signed an MVNO (mobile virtual network operator) deal with U.S.-based Keystone Wireless.

Through this multi-million dollar application service provider (ASP) agreement, Keystone Wireless would enhance the subscriber experience and competitiveness of the U.S. marketplace. Keystone Wireless would deploy the XIUS VOISE (Virtual Operator Integrated Services Engine) 3.0 convergent platform. Megasoft's chief financial officer (CFO), Balasubramanian, said in a separate move, the company picked up five per cent ($3 million) equity investment in Keystone Wireless ($60 million company) and would be entitled to share revenues proportionate to its investment. Megasoft's revenues in 2006 were pegged at Rs. 178 crore and the company expected to perk them up to Rs. 300 crore by the end of 2007, said Mr. Balasubramanian. Explaining the business model of the XIUS-Keystone Wireless MVNO deal, he said Megasoft was expecting to net $30-35 million in the next three years through the ASP agreement.

G.V. Kumar, Chief Executive Officer, of Megasoft, said: "We see many opportunities to enable powerful GSM features that MVNO's have desired, but have not been able to tap the traditional reseller model in the U.S. Additionally, we look forward to replicating this model in Europe and in Asia".

Printer friendly page  
Send this article to Friends by E-Mail