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Technology Stocks : Satyam Infoway Ltd-(Nasdaq:SIFY)
SIFY 12.20+1.1%Dec 31 3:59 PM EST

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To: Mohan Marette who wrote (229)11/26/1999 1:40:00 PM
From: Mohan Marette  Read Replies (1) of 1471
 
Satyam Infoway in pact with US ISP

Our Bureau in Chennai (bs)

Satyam Infoway Thursday announced an alliance with California-based GRIC Comunications for offering international roaming facility for Internet users for the first time in the country.

This tie-up has integrated Satyam Infoway with the GRIC network of over 400 Internet service providers (ISPs) and 30 million odd subscribers spread over 100 countries.

Satyam Infoway's international Internet roaming facility, branded NetWorld, would enable a subscriber to access his e-mail and Internet accounts - using the same password and login address - from anywhere in the world at the cost of a local call.

Similarly, subscribers from abroad, whose ISP is part of the GRIC network, would be able to access their respective accounts whenever they travel to India.

'Our tie-up with Satyam Infoway will be exclusive for a certain period of time. We are not looking for anymore partners in India at the moment,' said Chang Mun-Kein, managing director, GRIC.

'Local subscribers of Satyam Online can register for the roaming facility by paying Rs 6,500 for 25 hours,' said R Ramaraj, managing director, Satyam Infoway. This will be the standard rate applicable to all subscribers irrespective of the country where the facility will be used.

The rate varies anywhere between $4 and $15 per hour for subscribers of other ISPs, says Chang Mun-Kein. For subscribers, usage will be as simple as dialling a local number already stored in the database. The number gets loaded once a person registers for using the international roaming facility.

There is a revenue sharing agreement between GRIC and Satyam. Revenue generated from each subscriber will be shared between the ISP the subscriber belongs to, the local ISP and a settlement fee for GRIC.

Ramaraj said that in the first year, there will be a net inflow of dollar revenues. At the moment, there is a greater demand from outsiders visiting the country for using the facility, than from domestic subscribers.

This net forex income will accrue, although Satyam will only take payments in rupees from its own subscribers. However, it will have to make dollar-denominated payments to the partner ISP and to GRIC, everytime a subscriber uses Satyam Online to hook into the foreign ISP.

"This facility is meant more for the travelling executive who wants to keep in regular touch with happenings back home. After a point one becomes so dependent on e-mail for quick and easy communication that it is near impossible to be without the facility," he explained.
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