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Unfortunately, the large carrier MPLS solutions fall short in a number of other areas. The ideal solution for the home worker would be a broadband-based service probably with QoS. However, the carrier MPLS networks really view DSL as a fringe technology and do not offer the choice of service or price point that makes it attractive for an organisation to roll out to 100s or 1000s of home workers or retail outlets. When it comes to working with the channel on Managed MPLS networks, most of them will want to own and bill the end-user of the solution and then pay a commission or finders’ fee to you, the reseller. Finally, there has been a huge growth in the number of companies with national networks that are able to offer high speed Ethernet private circuits, which should help to drive down the cost of services like MPLS VPNs. However, most of the carrier services are based on using their circuits exclusively. So, if you’ve got a customer, with ten Ethernet connected sites, that are best served by 5 different Ethernet suppliers, you are never going to get the best deal by giving the business to just one of them. |
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Addressing the Market |
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A number of business ISPs have been using MPLS within their own core for some time and many have also been using a broad base of carriers to supply their customers with private circuits, so it is no surprise to see that more and more MPLS VPN networks are being rolled out not by the carriers but by these ISPs. At Griffin we launched a channel-only managed MPLS service in the summer and have been pleasantly surprised by the appetite for it in the channel. The service provides fully managed MPLS VPNs using different flavours of broadband tails together with private circuits and Ethernet circuits from pretty much every major supplier. Recently added support for resilient site connectivity, cloud-based Internet breakout and SaaS in the cloud have led to significant wins for our partners against the large carriers time and time again. Selling MPLS networking in your own name can be almost as simple as selling calls and lines but with much higher recurring revenues and at far more attractive margins. |
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