CenturyLink Launches Cloud Solution
CenturyLink, Inc. (CTL) – a leader in telecom industry – launched its latest cloud computing offering, called Savvisdirect. This product is targeted at large enterprises and offers easy-to-use and economical solutions. Savvisdirect will be publicly available later this year.
The primary benefit of this solution is that it can be used by small and large companies alike and users can start using the services by paying through a credit card. There are a number of services and cloud solutions available, from which users may choose according to their needs and requirements. Along with the services, CenturyLink is also offering service-level agreements and 24-hour support to clients.
With the launch of Savvis’ products, CenturyLink is on its way to increase its market share in the enterprise industry, experiencing high revenues as well as expansion into services other than its core business.
Since the past few years, CenturyLink has experienced a steady decline in its phone business, as indicated by the constant and gradual fall in in its access lines. This decline is due to the fact that wireless services and other affordable options have replaced regular telephone systems. Moreover, the deteriorating economic conditions in this industry have also contributed to this decline.
Although it is undertaking various projects in an attempt to offset the losses triggered by its access lines, CenturyLink is yet to capitalize on the benefits that would lead to growth. In the meantime, the company has benefitted by acquisitions that have proven quite lucrative – with Qwest and Savvis.
This acquisition with Savvis has resulted in CenturyLink’s inclusion in the cloud computing industry. At present, CenturyLink has ventured into hosting managed cloud services, expanding to 50 data centers located in North America, Europe and Asia.
The company aims to further expand its data centers in future – probably this year – to attain higher revenues in managed hosting and cloud services. These acquisitions have led to several other benefits as well, including wider range of operations, enhanced productivity, and helped it gain a competitive advantage over large corporations like AT&T, Inc. ( T ) and Verizon Communications Inc. ( VZ ).
Nonetheless, low-cost companies such as LEAP Wireless International Inc. ( LEAP ) pose tough competition for CenturyLink, and high operational costs may hinder its growth.