Hungarian operator takes direct route to SMEs

The Hungarian operator Magyar Telekom (MT) is targeting the country’s SME market with packaged business services that it will deliver via OneAccess ONE100 multi-service access routers.

The operator, which is majority owned by Deutsche Telekom, is using OneAccess technology to increase service features for SMBs to maximise revenues from its strong market position in the Hungarian domestic market.

“With the ONE100 we are enabling IP based fixed-line voice and data services with functionality that enables sub-50 seat business customers to upgrade from their standard DSL packages at price-points that help them ‘beat the recession’,” commented Krisztián Horovitz, Head of Voice Product and IT Services Portfolio Product Management at Magyar Telekom.

"Using OneAccess gives us far greater penetration with this strategy than was achieved with our previous solution.  The result is sales figures that have multiplied in just 3 months, and we are very optimistic about how many of our 200,000 SoHo/SME customers we can upgrade to higher revenue services.”

 MT is targeting 5,000 new customers in 2011, though the addressable market of existing customers is many times larger. If for example, just 50% of MT’s installed base is brought onto the service, it could net €90m a year in additional revenues.

“Magyar Telekom have built over 70% market share in Hungary by being the strongest and most reliable provider of business services,” commented Mike Wilkinson, CMO at OneAccess.  “Its choice of OneAccess technology for two distinct service strategies exemplifies the demand we see across Europe for most flexible broadband and Ethernet service delivery platforms at aggressive price points that maintain healthy service margins.”

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