SINGAPORE – April 16, 2002 – IBM's new Singapore facility at Changi Business Park is the first IBM office in the Asia Pacific region to be equipped with the latest IP Telephony system from Cisco Systems, Inc., the worldwide leader in networking for the Internet. Built on Cisco's Architecture for Voice, Video and Integrated Data (AVVID), IBM's IP Telephony system will provide employees with new and exciting user features on top of basic telephony services.
CRNet is a high-speed public network, offering a range of integrated services including dial-up and DDN access, as well as value-added services like VPN, VPDN, IP voice, and video conferencing.
IBM's decision to implement an IP Telephony system over a traditional PABX system in its new Singapore office is consistent with the company's strategy to be an innovative user of new technologies as well as being a leading technology provider. With the support of Cisco Professional Services and in partnership with IBM's Global Services arm, Integrated Technology Services, the implementation of the 1,000-user IP Telephony project was completed in a rapid six months, from pilot to operational status.
"This experience highlighted many of the benefits that IP Telephony has over traditional PABX systems," said Janet Ang, IBM Singapore's Managing Director. "The new Cisco IP Phones are more user-friendly and more intuitive for our employees to use. But most importantly, we believe this new system will provide the necessary tools to implement a Knowledge management environment and create knowledge workers who in turn will give IBM the competitive advantage in this dynamic global economy."
While the initial costs of an IP Telephony system may be similar to that of a PABX system, IBM believes that in the long-run, it will not only lead to significant cost savings but also enable its employees to function more effectively. Already IBM has connected the Cisco IP Phones to IBM's global corporate directory, enabling staff to look up and connect directly to any other IBMer in the world. Other applications include enabling employees to read their e-mails off the IP Phone or vice versa, retrieve their voice mails from the computer, gather weather, traffic and emergency information while on the move.
The Cisco IP Phones also aid in IBM's mobility system. Whereas in the past, employees will log in and select a workplace from a centralized system, they are now able to do that directly from the IP Phone. In addition to IP Telephony, IBM is also evaluating Cisco's Aironet Wireless LAN solution which will provide its staff with even greater flexibility in future.
"Cisco is very proud to be able to help IBM achieve its technology goals, especially for this project. Cisco and IBM have a long history of collaboration and our teamwork in building their IP Telephony system in Singapore is exemplary of the global partnership," said Bill Chang, Regional Managing Director, ASEAN, Cisco Systems. "A converged network can play a critical part in helping a company identify new ways to generate revenue, reduce operational costs, increase organizational flexibility, and generate a sustainable competitive advantage. And just as Cisco has reaped benefits of Voice over IP, so will IBM discover in time those same benefits."
Why IP Telephony?
Two critical drivers are leading organizations such as IBM to implement IP Telephony - the fact that it can lower total cost of network ownership, and that it can significantly enhance business communications via the rapid deployment of new applications. Initial return on investment (ROI) analyses have determined that IP Telephony deployments deliver a positive financial result approximately 70 percent of the time with an average payback of 16-18 months. IP Telephony can lower an enterprise's total cost of network ownership by eliminating multiple sets of infrastructure, simplifying system administration and maintenance, and consolidating voice and data circuits.
The momentum to build IP Telephony networks is also gathering pace. A recent InfoTech study found that 44 percent of enterprises are already in the process of migrating to IP telephony and that 12 percent of all voice lines shipped last year were IP station lines.
About IBM
IBM is the world's number one information technology provider, with 90 years of leadership in helping businesses innovate. IBM helps customers, Business Partners and developers in a wide range of industries that leverage the power of the Internet for e-business. For more information, visit www.ibm.com.About Cisco Systems
Cisco Systems, Inc. (NASDAQ: CSCO) is the worldwide leader in networking for the Internet. Cisco news and information are available at www.cisco.com.
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