ELAS makes another deal,
Elastic Networks Inc. and Hitachi Telecom - USA, Inc. Form Strategic Relationship to Combine Best-Of-Breed Products, Simplifying Voice and Broadband-Based Internet Access for the Hospitality Market Integration of Industry Leading Solutions Offers a Clear Migratory Path for the Hospitality Industry to Create New Revenue-Generating Internet-Based Services
ORLANDO, Fla., Jun 26, 2001 (BUSINESS WIRE) -- Elastic Networks Inc. (Nasdaq: ELAS chart, msgs) and Hitachi Telecom have formed a strategic relationship to enable hotels to simply and efficiently offer their guests advanced voice and broadband services.
The two organizations will integrate Elastic Networks' EtherLoop(TM) technology and Hitachi's HCX5000 Private Branch Exchange (PBX) solution into one compact device that offers broadband access, Visitor Based Networking (VBN) and telephony services in a single advanced, integrated platform. Because the patented EtherLoop technology transports data at high speeds over the existing copper wire infrastructure, the incorporation of this technology into Hitachi's full-featured PBX solution creates strong opportunities not only for hospitality companies, but also for all types of businesses, such as nursing homes, MDUs/MTUs and educational and business campuses, to improve returns on investment. The simple installation and comprehensive guest and administrative features available with both the HCX5000 and HCX5000i offer an optimal means for hotels to handle their back office and guest communications, while also meeting the increasing demand for high-speed access, business-class local area networks and other broadband services.
Hitachi Telecom is a market leader in hotel communications today, shipping over 41 percent of hotel (PBX) lines. With this new alliance, Hitachi Telecom will expand their offerings to include new revenue generating services ranging from Internet access and web-based content to consumer and business video services and in-house, business-class local area networks.
"We are pleased that our strategic relationship with Elastic Networks will enable us to provide our customers with the most technologically advanced hotel system at the most economical cost feasible, while also allowing them to increase revenues," stated Gene Pelletier, Hitachi's director of PBX business. "Elastic's scalable, deployable EtherLoop technology fully complements the features of Hitachi's superior HCX5000i solution in a manner that is truly customer-oriented."
"EtherLoop technology enables Hitachi's hotel customers to deliver cost effective, in-room broadband services over existing copper infrastructure. The copper-based technology gives Hitachi's customers true plug-and-play capability," said Guy Gill, President and Chief Executive Officer, Elastic Networks. "Because more and more guests expect hotels to offer broadband services, Elastic Networks' alliance with Hitachi leaves both companies well positioned to capitalize on this growing market opportunity."
Don Reigel, vice president of sales for Xeta Technologies, noted, "As the industry-leading distributor for lodging telecommunications systems, and Hitachi's largest distributor, along with being an Elastic business partner, our company is exceedingly pleased that these two partners have come together. We believe that this relationship, between the market leader in PBXs and the market leader in high-speed Internet technology, represents one of the strongest competitive offerings in the business."
In addition to the immediate deployment of EtherLoop technology into today's HCX5000 series, the two companies are co-developing a hardware-integrated platform that will fit into future HCX5000i solutions. The anticipated integration will provide the hospitality industry with a complete system for the deployment of compact, analog telephone connectivity, property management systems and content-rich broadband access services. Hitachi Telecom intends to make the new integrated VBN System available as an evolutionary upgrade to existing owners of the Hitachi HCX5000 systems - even those systems as old as 10 years.
About Elastic Networks Inc.
Elastic Networks is a broadband leader in first-mile Ethernet access solutions, deploying its patented EtherLoop technology across a variety of products and high-speed multi-media applications. With the introduction of the Storm System family of intelligent IP-over-Ethernet products, Elastic Networks has successfully addressed the needs of the carrier, enterprise, MDU/MTU and hospitality markets for high-speed first-mile access solutions that deliver top quality service to end users while eliminating costly deployment and complicated support issues for service providers. Additionally, Elastic Networks is building strategic relationships with distributor, chip manufacturing and data networking partners.
The company has offices in Alpharetta, GA, Toronto, and Hong Kong. For more information about Elastic Networks and its patented EtherLoop technology and products, visit www.elastic.com or contact Elastic's U.S. headquarters in Alpharetta, Georgia at 678-297-3100. For investor information, e-mail our Investor Relations group at irinfo@elastic.com, or call 678-297-3100 |
