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News Releases
New Edge Networks Tests Flat-Rate National Pricing for Business Networks
VANCOUVER, Wash. – (Jan. 16, 2006) – New Edge Networks today announced a three-month trial of flat-rate pricing for wide area network locations anywhere in the United States. Believed to be a telecommunications industry first, the flat-rate pricing trial was announced at the 95th annual National Retail Federation Convention and Expo in New York.
Flat-rate pricing for any location on a private wide area network helps businesses reduce their average monthly communications cost per remote site. It also makes it easy for companies to budget and allocate actual costs to their retail stores or franchisees.
“Every business today needs a network but many cannot justify the cost of high-speed access in areas where affordable broadband access is not yet available,” said Dan Moffat, president and CEO of New Edge Networks. “Often these sites are left with dial-up telephone access and stranded without access to real-time corporate data and new automated service applications. They are forced to operate at a disadvantage to other company locations, franchisees, or local competitors.”
Under the simplified flat-rate pricing, New Edge Networks guarantees a $159 monthly rate for every remote site on an any-size, private WAN if at least 85 percent of a company’s locations qualify for digital subscriber line (DSL) service within New Edge Networks’ core and extended DSL network called BigFoot. Pricing is for a private business-class wide area network that does not touch the Internet.
Where DSL service is not available, New Edge Networks will substitute 128k frame relay connections for the same price. This frame relay access option typically costs $300 to $800 per site, depending on location and carrier. This is what forces the average cost per location for most businesses to surge above the $159 a month rate.
“Complex pricing models can be a challenge for retailers even if a supplier is able to show value,” says Jeff Roster, vice president of Industry Market Strategies - Retail for Gartner Inc. “Retailers are always looking for ways to simplify complex processes and take better control of their budgets. When someone can offer simplicity and better pricing, decision-making becomes easier.”
New Edge Networks’ flat-rate pricing trial is in response to requests from IT managers who want a simple way to budget and charge-back actual network communications costs to all their locations.
Monthly costs as low as $99 per remote site are available if more WAN locations qualify for DSL within the BigFoot coverage area. The trial targets medium and large businesses with more than 50 WAN locations.
New Edge Networks’ BigFoot broadband network reaches about 90 percent of U.S. business addresses, combining the DSL coverage areas of all regional bell operating companies and most major independent providers. BigFoot allows businesses to reduce the cost and complexity of integrating and managing multiple access technologies and carriers around the country because they can use New Edge Networks as a single-source provider for connectivity anywhere.
“New Edge Networks is taking a calculated risk that most business locations will qualify for DSL within BigFoot,” Moffat said. “We will make flat-rate pricing permanent if our assumptions about business take rates and BigFoot network reach prove out over the next three months. Customers are demanding pricing simplicity now. We are unaware of any other providers that are offering anything similar.”
Businesses that participate in the flat-rate pricing trial will be able to keep the guaranteed flat rate for the full term of the service agreement they sign with New Edge Networks. The trial offer includes customer equipment lease and free professional installation, after rebates. Dial backup and managed network services are available options.
About New Edge Networks
New Edge Networks builds and manages broadband networks for businesses and communications carriers. Through its nationwide network of more than 850 switches and Internet routers, New Edge Networks uses various broadband access technologies for building business networks. These include all types of DSL, Frame Relay, ATM, cable modems, and Satellite. Its network coverage reaches 100 percent of U. S. business addresses. New Edge Networks’ product suite of managed WAN and VPN services received Frost & Sullivan’s Telecommunications Services 2005 Product of the Year Award. New Edge Networks is on the 2005 lists of 500 fastest growing companies compiled by Deloitte & Touche and Inc. magazine. The company’s Web site is www.newedgenetworks.com. Telephone: 1-360-693-9009.
Contact:
Sal Cinquegrani
(360) 906-9723
ATTN: New Edge Networks news releases contain information that is accurate as of the date they are issued. Information contained in past news releases may become out of date and the company does not assume responsibility for updating information contained in past news releases.