We don't promise things that can't be delivered

31. July 2008

Felipe Garcia, Latin America Sales VP/Comfone

By Tariana Brocardo

With technologies such as GSM and 3G penetrating deeper and deeper into Latin America, coupled with growing demand for mobile data transfer, roaming services are getting more and more sophisticated in the region.

To understand new products and trends in roaming, BNamericas spoke with Felipe Garcia, Latin America Sales VP at Swiss company Comfone.

BNamericas: How does Comfone manage its Latin American operations and what is the region's share in the company's overall revenues?

Garcia: We have an office in Brazil which is responsible for our operations in Latin America and the Caribbean. We plan to expand, maybe with another office in Central America, due to our growth in that area. Although I cannot reveal our share in global operations, the region holds one of the company's most important operations in the globe.

BNamericas: How do you attend clients in the region? Do you have local partners?

Garcia: We don't have local representatives. From our headquarters in Rio de Janiero we often travel to meet our clients and learn about their needs. We are experienced in the telecoms and roaming industry and have met many of the market's big players when we worked for operators. We respect deadlines and don't promise things that can't be delivered.

BNamericas: How many clients does Comfone have in the region?

Garcia: We currently have at least one client per country in the South American area. Overall, we have about 30 clients in Latin America and the Caribbean. Recently, we closed a large contract in which one single client brings us 23 additional networks, a big boost to our current figures. In terms of networks, we have over 50 using our services, some already in operation and others to start soon.

BNamericas: What countries in the region are Comfone's main markets?

Garcia: No doubt Brazil and Colombia. In Brazil all operators use our services, except Sercomtel and CTBC. The Caribbean is also very important to us as a whole.

BNamericas: Did the company choose Brazil to be the Latin American operations centre due to its market size, despite being the only country in which Portuguese is spoken in the region?

Garcia: Exactly, our regional headquarters are based here because Brazil is the largest market we have today in the region. Currently in Latin America, we consider Mexico, Brazil, Argentina, Colombia and Chile as the major markets. Comfone began operations in Brazil, where the first roaming deals were made back in 2002, and then from Brazil we expanded operations to the other countries.

BNamericas: How do you see the outlook for growth of your business with the increasing penetration of GSM technology in the region and the launch of 3G networks?

Garcia: For GSM and 3G data roaming and interworking it’s necessary to use a GRX [GPRS Roaming eXchange] to be interconnected. The increasingly use of Blackberry, data and MMS services, etc., as well as the launch of 3G networks, means that capacity needs are constantly on the increase. Comfone GRX, providing a GPRS roaming reach to every data enabled GSM operator in the world, is fully scalable and able to grow as the operator’s needs do. Our service also provides full redundancy, ensuring the customer a reliable and safe service.
We have a strong and strategic partnership with British Telecom, who have a very aggressive plan for Latin America and the Caribbean. Based on that, we've been able to offer a network with higher reliability and also reduced costs.

BNamericas: What have you noticed in terms of WiFi adoption in the region?

Garcia: Comfone has a service named WeRoam. We have 35,000 hotspots worldwide and have been noticing every day more clients want to use the WiFi network on computers and cell phones, not only on their operators but also when they travel. Therefore, through roaming we make a deal with the operators and enable their clients to connect to a WiFi while roaming using mobile devices anywhere in the world.
Up until now we didn't focus on WiFi in the region, but now we're acting on it more directly because we feel there's a greater need. It used to be common to provide free WiFi access but networks are now being closed and companies are charging for the service. When we make a deal with an operator, the customer’s subscribers receive a login and password to use worldwide, meaning there is no need to use credit cards on unknown networks to buy access.
Comfone works through partnerships, like with Vex in Brazil, for example, which is constantly expanding.

BNamericas: Is your entire services portfolio available in the region?

Garcia: We have all services available. Our region is one of the ones in which the company has the highest number of clients, one of the most attractive for the company, so we bring services here first.
For example, the industry is talking a lot about hubs nowadays. We have been providing the Key2roam service in the region since 2004, so we have over four years of real experience in hub roaming provision here. We were the first to launch hubs based on GSMA concepts and recommendations. The GSMA is an organisation which regulates international roaming. Currently, we have over 130 signed Key2roam members worldwide and 33 of these are based in Latin America and the Caribbean. The service makes the operator's life considerably easier.
Every day more operators have fewer resources and we know this is very limiting. Some operators I have visited in the Caribbean have only one person in charge of handling all the roaming related work; the tests, implementation, etc.
When an operator joins Comfone Key2roam, we connect them to all other live Key2roam members and we perform the tests for them and make sure the service is working perfectly.

BNamericas: I understand Comfone joined the WiMax Forum in order to extend the roaming platform to that technology as well. How does it apply to the region, where WiMax in still incipient?

Garcia: Exactly, it's still early. There are not too many details on how this is going to work in Latin America.
One thing we have been doing is working with is dual mode WiFi and GSM enabled handsets..
Subscribers are increasingly turning to WiFi. Instead of using GSM roaming, which is especially expensive in Brazil where taxes are extremely high, they are using WiFi-enabled phones when operating in an open networks. This ultimately leaves the operator with no gains. We have developed a product called Comfone wVoIP. With Comfone wVoIP operators can offer their subscribers not only GSM but also WiFi roaming, and what’s even better is that the subscriber can use these services without changing his mobile number. We provide software to be installed in the mobile devices enabling the subscriber to use his operator's WiFi network to make calls and receive messages, which will be cheaper for the subscriber.

BNamericas: What is the outlook for growth in the near future in the region?

Garcia: Although we don't work with future growth percentages, we work side by side with our clients and what I can tell you in terms of plans for our region is that we'll keep working closer and closer with our clients, to understand their needs to develop solutions which help them reduce costs and optimise revenues. This is our focus. With this we intend to expand our Key2roam coverage mainly in markets such as Argentina, Chile and Mexico.

ABOUT THE COMPANY:
Comfone is a roaming services provider to more than 300 operators in over 125 countries.
The company's portfolio ranges from the complete outsourcing of roaming, to individual elements, such as signalling, hubbing, data, convergence, clearing and testing services. All Comfone solutions integrate with existing products of internet, enterprise, GSM and VoIP service providers.

About Felipe Garcia
Felipe Garcia has been with Comfone since 2006. He has a BSc in electrical engineering as well as a post graduate degree in telecommunications management.
Garcia has worked for companies such as Claro and Brasil Telecom, especially within the areas of development and management of mobile products and services, and roaming.