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To: Mac who wrote (111598)12/20/2002 6:24:01 PM
From: Dwayne Hines  Respond to of 150070
 
ARCS looks good for 2003

December 12, 2002
ARC Strategy: Back in the (Former) USSR
By 1. Colin C. Haley
ARC Wireless Solutions (Quote, Company Info), of Wheat Ridge, Colo., is pursuing an unlikely, yet potentially lucrative, market for its Wi-Fi (define) gear -- the eastern edge of the former Soviet Union.
Through its Winncom Technologies subsidiary, the company has extended a pact to supply BDT Telecom, of Kazakhstan, with LAN and WAN networking equipment, voice over Internet protocol products and software to help the Central Asia country build its telecommunications infrastructure.
"As with many international opportunities it is much less expensive and time consuming to use wireless technology rather than wired technology," Randy Marx, ARC's president and CEO, told internetnews.com.
Including installation, support and training fees, the deal could eventually run to $5 million. Marx likes the potential for future work as well. About the size of Western Europe, Kazakhstan is the ninth-largest country in the world and taking small but significant steps (including modernizing its communications systems) to transition to a market economy.
At one point the Silk Road, a major trade route, ran through Kazakhstan and enriched the coutry. Now ARC and government leaders want the flow of voice and data traffic to help it reestablish its claim on commerce.
Doing business in that part of the world, which was under Soviet rule for decades, requires "a proven track record, contacts and patience," Marx said.
ARC has a track record. In May, Winncom contracted with the Uzbek Agency of Post and Telecommunications, of Uzbekistan.
Since then, it has delivered about $300,000 worth of components used to establish high-speed voice and data services in the capital city of Tashkent (which has a population of 2.5 million) as well as provide the underpinnings of a Web hosting center and cellular phone network.
Gregory E. Raskin, president and CEO of Winncom, said the need for dependable communications in the region is immediate. He estimates his company has sold about $1 million in equipment in Uzbekistan and Kazakhstan this year.
He believes the company will be a "major resource in the expansion of the communication infrastructure" that will in turn "support the growing economies in these countries."