AT&T EMEA President

I got to meet the president of AT&T in EMEA yesterday, Bill Archer. Here’s his introductory newsletter on the AT&T web page. Our meeting started off with a discussion of the European teleco market space and it was very interesting to hear the views of someone who obviously has a very senior view of the situation, obviously I’m not going to repeat what he said but it’s a view shared by many.

I.B.M. Reports Strong Results For 4th Quarter

Ms. Conigliaro (IBM CFO) noted that I.B.M.’s strongest sales gain by industry
sector was in telecommunications, with quarterly revenue up 10 percent to $2.5
billion. A few days earlier, she said, Sun Microsystems said that its sales to
telecommunications customers were sluggish. (New York times]

This is the sell to side of IBM here but it demostrates our involvement with the Telco’s and it show’s it’s a growing one.

Scoble phone has arrived


it’s here!..horah. I didn’t get it off eBay in the end the auction were going upto 170ukp. I bought it as a prepay for 149ukp…bargain. It’s gonna take a while to get to grips with it, but it’s way smaller than the Treo 600 I had a few months back. I need to sync up all my data and Mnotes work with it too (I checked!) so looking ofrward to getting all synched up and then IpodderSP  will get installed too.

Presentation

My presentation for the EMEA sales education is coming along well. I’m having to cut some slides out as I may have too much, which is good as I didn’t want to be in the position of struggling to find something to say..

Here’s a sneak preview of one of the slides and it gives a hint of what my EMEA team does..

 

What benefit does Purchased Telecoms (PT) provide..

An EMEA wide PT Vendor Strategy
Organisational Structure
PT Cost reduction initiatives
Standardised Processes
Strategic direction support for vendor relationships
Vendor selection and award processes
Governance of contract negotiations for awarded Network scope
Vendor delivery management reporting, metrics and controls
Vendor Compliance strategy
Facilitate Vendor Communication

Supplier Meeting

Just had a meeting with a major UK telco at IBM southbank, London and it went well. They’ve got some interesting products and we just need to get those products to our engagement teams now. One of the interesting developments was around being a network agnostic cellular phone provider. Whereby they provide a service, one bill etc, sat upon which ever network provides the best coverage, where ever in EMEA…interesting.

Equant not doing too good.

Equant aren’t doing too well right now and a letter published in the Times says a lot about the state of the company part owned by France Telecom…

Happy New Year from the boss – you’re about to be fired

Paul Durman   

IT’S a hell of a way for the new boss to introduce himself to his employees. 
Only a few days after taking over as chief executive of Equant, the international telecoms group, Charles Dehelly has warned his 9,500 staff the business is in a mess – and dropped a heavy hint that many of them will soon be losing their jobs.      

Equant employs about 450 people in the UK, where it has offices in Slough. The group, which operates in 165 countries, provides private networks for big companies such as Rio Tinto, Electrolux and Allianz.  Dehelly has yet to be confirmed as chief executive by his shareholders – he was appointed only two days before Christmas.

Yet last week he issued a gloomy assessment of the state of the business.  "In this period of wishes," he said, "I would like to share good news with you, but I think I owe you the truth.  "Although final figures are not yet available, we know 2004 was a very bad year. We were unable to deliver our 2004 initial budget, our revenue is down and we significantly increased our losses.

"More important, we burnt a large amount of cash, and the Equant stock price has dropped by 48% since January 2004." Equant shares closed at EURO3.93 on Friday.  The poor performance may have come as a shock to many staff. Equant has won numerous awards for the quality of its service to customers – it announced five more the day before Dehelly was appointed.

Dehelly set out a three-point plan to turn the business round. He said the most important priority was "to stop the cash bleeding, drastically reducing our costs and the cash needed to run our business".

The new boss urged his staff to challenge suppliers for better prices and to renegotiate loss-making contracts. But he warned: "This will not be enough." A turnround requires "an alignment of our cost structure to market evolutions and the company transformation".

Dehelly hinted he was not happy with his senior management team. "We must have an executive committee and a management team committed to teamwork, transparency, solidarity and results," he said.  "We need to dramatically improve the way we function. Last September’s reorganisation (was a start), but here again we need to go much faster, deeper and further."

Equant declined to discuss Dehelly’s memo, saying it was "strictly internal and private".

Equant, which is based in Amsterdam, is 54%-owned by France Telecom.  The French telecoms giant is headed by Dehelly’s old boss, Thierry Breton. Dehelly succeeded Breton as chief executive of Thomson, the French electronics group, in 2002, when Breton stepped in to save France Telecom from impending financial disaster.

Equant, which competes with international business carriers such as Colt Telecom and BT Global Services, is struggling to cope with a ferocious price war. Despite the billions of pounds lost by the likes of Worldcom (now MCI) and Global Crossing, few companies have withdrawn from an industry that has chronic overcapacity.