News Release

Inventec Lowers Business Costs Through Converged IP Communications Solution from Cisco Systems

Company Saves 35% in Monthly Telecommunications Costs for Its Penang Facility
Nov 18, 2003

PENANG, Malaysia - November 18, 2003 - Inventec Multimedia and Telecom (M) Sdn Bhd (IMC), a manufacturer of telecommunications, multimedia and information technology equipment, reported that the deployment of a converged IP Communications system from Cisco Systems® has resulted in a 35-percent telecommunications cost savings per month.

Based on Cisco® AVVID (Architecture for Voice, Video and Integrated Data), the IP Communications system has also benefited Inventec by improving internal and external communications and raising the productivity of the 1,600 employees in its Penang facility. The integration with the company's employee database for example has made searching for telephone numbers a quick 20-second task instead of the five minutes average search time it used to take. The Cisco solution is also used by IMC's parent company, Inventec Multimedia and Telecom Group (IMT), in Taipei, Taiwan, and sister company, Inventec Multimedia and Telecom (IMJ), in Tianjin, China.

Tony Weng, president of IMC said, "Back in 2000, we anticipated that an IP telephony system would be the future direction for communications and therefore decided to migrate to a converged network. The IP Communications solution from Cisco met our need for a robust, standards-based infrastructure that could handle large amounts of data, support voice and video services and provide a platform for future growth."

The IP-based converged network allows voice and data communications to be centrally provisioned and managed, reducing costs and removing the need for a PABX (private access branch exchange). The solution deployed by Inventec included Cisco CallManager, Cisco IP phones, Cisco IP Contact Center and Cisco UnityTM for the voice messaging.

According to Mr. Weng, the Cisco IP Communications system enabled the company to easily migrate its telephony needs from the traditional PABX to the next-generation IP telephony. The solution also proved stable and very user friendly for Inventec's employees. "With IP telephony, we are able to conduct a multiparty conference call at any site within the Inventec Group. This greatly shortens the communication loop gaps in daily operations," he said. Mr. Weng added that the monthly telephone cost savings are significant because Inventec employees in Penang are able to make calls to China and Taiwan at the same cost as it pays for its Frame Relay-based leased line.

Johnson Khoo, managing director, Cisco Systems Malaysia said, "Cisco is pleased that Inventec chose to deploy Cisco technology. Like Cisco, they too believe in walking the talk. Inventec makes Cisco IP phones for our customers worldwide and their own use of the technology shows the belief they have in the quality of the solution. The system has proven to be very user-friendly with exceptional voice call quality. It has saved them thousands of dollars, while also improving the way they work. This is how networking and Internet technologies are making a difference for companies worldwide."

IP telephony refers to the technology for transmitting voice communications over a network using an open standards-based Internet Protocol (IP). Built on the Cisco AVVID network infrastructure, Cisco IP Telephony solutions use a single network infrastructure for the transmission of data, voice, and video traffic to deliver high-quality IP voice and fully integrated communications.