Case Study I-2 Voip2.Biz, Inc.: Deciding on the Next Steps for a Voip Supplier

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CASE STUDY I-2 VoIP2.biz, Inc.: Deciding on the Next Steps for a VoIP Supplier

Lawrence R. Milkowski, President and CEO of VoIP2.biz, Inc., an Indianapolis-based start-up supplier of Voice over Internet Protocol (VoIP) telephony to the small and midsize business market, knew he had a difficult job ahead of him. It was Friday, June 23, 2006, and he had to prepare his recommendations on the next steps for his fledgling company to the board of directors at its meeting on Tuesday, June 27, 2006. While Larry was a firm believer in the direction of the company, he knew that the board was anxious to resolve the future of the firm given the slower-than-hoped-for progress in getting the company’s cash flow to break even.

2.

The Company
In
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Included the call origination and termination services in lieu of traditional phone company services, including low-cost long distance, E911, and all of the advanced features available through any traditional telephone carrier, 3. Utilized an open-source call processing platform that operated on commodity hardware in place of proprietary telephone systems, which was 10 percent to 20 percent of the cost of a competing technology, and 4. Were sold, engineered, installed, and supported by an experienced team of data and voice networking professionals.

Progress to Date
The concept behind VoIP2.biz came from some experimentation in early 2004 by personnel working for the Harley Services Corporation (HSC). HSC began business in 1995, providing outsourced engineering, installation, and marketing services to telecommunications carriers throughout the United States. By utilizing HSC’s services, carriers were able to speed implementation of new customer services, such as DSL, and reduce costs by outsourcing central office engineering and equipment assembly. As a service provider to the carriers, HSC was in a unique position to understand and review new telecommunications technology prior to its general availability. In 2003, engineers at HSC started to investigate broadband applications, including video and voice over internet protocol (VoIP) applications. During 2004, Milkowski and other personnel in HSC explored the market

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