Case Study

Australia’s Leading Telecom Carrier deploys JSDN to Broaden Portfolio of Business Services

Telstra, Australia's leading telecommunications and information services company, and Jamcracker, the Cloud Service Brokerage (CSB) enablement company, have partnered to provide on-demand software and IP services to small and medium businesses (SMBs) throughout Australia.

Telstra, which offers fixed and wireless voice services, broadband, and IPTV, is using the Jamcracker Services Delivery Network (JSDN) to provide new IP services, including cloud services from Jamcracker’s catalogue , bundled with Telstra's own core services. Telstra is also on-boarding local Australian cloud service solutions that are not yet part of the JSDN catalogue. 

“Small businesses no longer want the expense of having to buy, deploy and manage their own software.  Our partnership with Jamcracker enables us to deliver a full range of business applications, just as we deliver our traditional telecom services – as an on-demand service for a monthly subscription fee.”   Deena Shiff, group managing director, Telstra Business.

Telstra is offering these application services under the T-Suite brand, alongside traditional mobile and fixed line communications services, providing name-brand software applications that Telstra customers can mix and match with voice, data, and internet access services.  

Clouds moving in over Australia 

"We see big opportunities in line with global forecasts.  The market is relatively undeveloped and Telstra is a trusted brand in touch with nearly all Australian businesses.   It fits well with Telstra's growing position as a media-comms company.  Like these businesses, T-Suite is about providing content, in this case applications, over our pipes.  You don't have to be a content creator to build a viable business."

Leveraging Cloud Service Brokerage for Revenue Growth 

T-Suite Business-Class Services -- Delivered On Demand:  The Jamcracker-Telstra partnership is delivering best-of-breed cloud services designed to meet the IT, security, collaboration and application needs of Australian businesses. T-Suite’s services include cloud security offerings from McAfee and MessageLabs, online data backup from EMC Mozy, communication and collaboration offerings including Microsoft Office 365, and dozens of other infrastructure and application cloud service offerings. 

T-Suite Demo Video

Compelling Results:  "Sticky Cloud Cuts Broadband Churn"

Customers of Telstra's Cloud Services Brokerage marketplace, T-Suite, were more likely to hold onto or churn to Telstra broadband services than customers not using T-Suite.

According to Telstra's chief marketing officer, Kate McKenzie:

  • "T-Suite customers are 65 percent less likely to churn broadband services than broadband only customers."
  • "22 percent of T-Suite customers without a Telstra broadband service take up a Telstra broadband service within 12 months."
  • "Over half of T-Suite customers also bought "multiple applications."

(Source:  "Ten take-outs from Telstra Investor Day," Sep 30, 2010.)  

Why Jamcracker for Cloud Services Brokerage Enablement?

Jamcracker had a proven track record and the ability to help us scale up T-Suite relatively quickly. It also gives us access to the Jamcracker catalogue and the ability to leverage a global ecosystem of cloud providers." 

  • Proven cloud aggregation and delivery platform, deployed globally with tier 1 carriers.
  • Rich ecosystem of pre-integrated cloud providers that service providers can distribute and resell.
  • Proven technologies and methodologies for services on-boarding, so service providers can create their own cloud partner cloud ecosystem.
  • Managed services that can enable service providers to get to market quickly and cost-effectively. 

For More Information:



Transforming Services Delivery "Crossing the Chasm to Telco 2.0" Carrier Market has Changed Traditional Competition • • • • Business Impact: Commoditization Declining Profits Subscriber Churn Marketshare Loss $ Voice Hosting Core Services New Services SaaS Web 2.0 Broadband Emerging Competition Subscribers What is the impact on business models? Business Models are Changing How will carriers make money? Revenue Sources are Changing What does it mean to be a 'carrier'? Telco 1.0 vs. Web 2.0 Revenue Share • • • • • Services Platform Core Network Access Network Licenses Telco low Web 2.0 high percentage $ high percentage $ low Market Growth • • • • Low Rapid Web 2.0 revenue model is inverse of Telco model Web 2.0 providers generate higher profits than Telcos Web 2.0 overall market growth much higher than Telcos Yet Telcos provide customer access... Who 'owns' the customer? Defining Customer Value Web 2.0 Telco 2.0 Services Creation • Content Expertise • Time to Market • Continuous Innovation Services Delivery • Network Expertise • Market Reach • Quality of Service Boundaries will blur, but what's your primary focus? Aggregating Core and External Services IT/Managed Services SOHO Converged Services Provider SMBs Application Services Converged Services Trusted Provider Customer Value: Enterprise Telephony Services • • • • • One One One One One provider bill log-in view helpdesk Verticals How can carriers transform? Telco 1.0 Approach won't Work • Millions in CAPEX and OPEX o o o o Silo'd services delivery Technology stack built ground-up Many integration touch-points High maintenance Challenge to Revenue • Limited flexibility o o o Oriented towards single services Resource-intensive Limited new deployments per year • Long development cycles o Time-to-market, and profit, for delivering new services Avoiding the time-to-market trauma... Transcending Transformation (Making Change Work) "As for service creation, there's a need for new investment here, in things like Jamcracker." "You clearly can't have projects that spend 6-12 months working on OSS BSS integration any more." Steve Zimba Managing Director Global Telecoms Business Crossing the chasm to converged services... Jamcracker Delivers On-Demand Wholesale best-of-breed value-added services • • • Established processes for sourcing, integrating, testing, branding, bundling, and delivering on-demand services Master distribution agreements support multi-tiered services delivery Dozens of "off the shelf" solution partners with >100 service offerings Provide infrastructure, operations, support, and programs for branded on-demand services marketplaces • • • • • Enabling distribution partners to rapidly source, bundle, and sell new value-added services Ability to rapidly on-board core carrier services and local ISVs, allowing value-added service bundling Unified provisioning, single sign-on, administration, billing, and support With minimal cost, effort, and risk Technology and services in development since 1999 Offering everything from A to Z for services delivery... A to Z Includes • • • • • • • • • • • • • • • • • • • ISV Vendor Management, On-Boarding & Settlement ISV Self Service – Integration Portal Hosting Portal(s) & Catalog(s) for Every Market Segment Order Management Identity Management and Single Sign-On Provisioning End User Services Administration Help Desk – Ticketing Support – Unified 1 & 2 Billing & Metering SLA Services Monitoring Product Management & Reporting Integration Orchestration Global Services Distribution Ecosystem Services Market Launching & Testing Sales & Marketing Support Multi-Tier Distribution Unified End User – Business, Consumer, Mobility Interface Let's put theory into practice... Business Case Study • Business Objectives o o o Further monetize broadband investment through service differentiation Expand markets without expanding networks Expand business model for future earnings growth • Market Approach Offer broad array of on-demand services to grow net new customer acquisition o Differentiate "cash cow" broadband offerings via bundled services to reverse margin erosion / churn o Get to market quickly and cost-effectively with a flexible foundation for future growth o Quickly, efficiently, profitably... Partnership Jamcracker Solution Partners Telstra Partners Core Services Broadband Hosting Mobile Networking Voice Jamcracker Services Delivery Network Services Integration Security Services Provisioning Billing & Settlement User Management Help Desk Support Applications Marketplace Channels Local ISVs SMB Customers Federated Services Delivery Universal Services, Localized Delivery Solution Partners Jamcracker Services Delivery Network Services Integration Security Services Provisioning Billing & Settlement User Management Help Desk Support Others... Marketplace Partners Why Jamcracker? • Market-leader in pure-play SaaS delivery • Met all functional requirements • Demonstrable, 'out-of-the-box' solution o o • Provides a catalogue of pre-enabled applications – with existing connectors and commercials o Lower implementation cost / improved speed to market Leverage ongoing development for global JSDN Telco partners • Established program for on-boarding new ISVs • Open source / non-aligned • Objectives aligned through revenue share agreement o APIs and roadmap for integrating with other systems • Flexible commercial model enabling selective insource/outsource functions Sales and marketing support Delivering Web 2.0 services via Telco 2.0... Transformation is Good Business Core Services Service Bundles • • • • Business Gains: Differentiation Increase Profits Subscriber ARPU Marketshare Gain $ Voice Hosting Broadband SaaS Web 2.0 New Services Expanded Offerings Subscribers Change Benefits Everyone Carriers - Increase stickiness, reduce churn - Grow net-new ARPU - Increase sales/channel productivity - Bundling differentiates core services ISVs - Expand distribution - Bundle offerings with new services Customers - One-stop-shop of many best-of-breed services - Single point of purchasing, billing, and support - Unified provisioning and user experience The Future is Now! "Voice, video, and data, digitally delivered across interconnecting networks to a variety of different terminals with different uses. As always, the technology takes shape long before its full consequences for society take place." "The internet, in particular, is remarkable for its many different capabilities. It is more than just a means of communicating: it is a marketplace, a library, a distribution chain." Frances Cairncross, "The Death of Distance"