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VSNL Buys Top VoIP Carrier

VSNL Buys Top VoIP Carrier

India’s incumbent international operator, VSNL, announced today that it had agreed to buy Teleglobe, the largest international voice over IP (VoIP) carrier in the world — and former Canadian monopoly overseas voice carrier. Should the deal meet with shareholder approval and pass regulatory review, the merged company — which also includes the recently integrated Tyco Global Network — would become one of the largest multinational providers of voice, Internet, and bandwidth services. VOICE Teleglobe became the largest carrier in the 30 billion minute international VoIP market when it acquired ITXC in 2004. Although VoIP represented under 15 percent of the global call market in 2004, it is growing at double to triple the rate of the traditional public switched voice market. Combined with Teleglobe’s wholesale voice operations around the world, VSNL will become the fifth largest carrier of voice minutes in the world. INTERNET Although VSNL is a significant carrier of voice minutes in its own right, its international Internet infrastructure has been limited to a few routes out of India. With the acquisition of Teleglobe, VSNL will be adding backbone Internet connectivity to 14 new countries, bringing its total to 17. Still, the combined VSNL and Teleglobe international ..read more

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