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e-FE (Financial Express), 15 April 2025
Net4India to Launch VPN for Corporates
Kolkata: Net4India Ltd, the Internet services and solution provider plans to roll out voice-based virtual private network (VPN) for corporates in the country. According to Net4India Ltd chief executive officer Jasjit Sawhney, the opening up of Internet telephony has created an opportunity for the Internet Service Providers (ISP) to carry voice (PC to PC) over their IP networks.
This will help the corporates to communicate within the close-user groups using the ISP infrastructure.
Net4India offers Internet access through dial-up, leased line and ISDN services in nine cities of the country. In the first three quarters of the last financial year (2001-02), the company’s revenue was Rs 16 crore.
“We will make the VPN of the corporates voice-enabled which will allow them to communicate at a fraction of the normal public switched telephone network (PSTN) cost. This will help all segments of corporates who do business all over the country.”
Before Net telephony was legalised, enterprises were allowed to communicate (voice and data) within closed-user groups over the leased network. Now the corporates are allowed to use the IP network of the ISPs for the purpose of voice communication without having to invest in setting up their own Intranets.
ISPs believe that there is a market for PC to PC voice communication. For the Indian ISPs struggling to survive, this is a good opportunity to augment their revenue stream. However, many believe that for the corporates, Net telephony may not be an attractive option.
Said Leading Edge Technology and Consultants chief executive officer Satish Choudhury: “The latency factor in a voice-based VPN solution as well as the sharp fall in NLD tariffs has made Net telephony an unattractive proposition for the corporates.”
Mr Sawhney, however, thinks that not all ISPs will be able to take advantage of the situation. “Besides being an ISP, we also provide solutions to customers like server co-location, implementation of networks and Web hosting. We will offer various value-added services besides data and communication services to the corporate world. This is our strength compared to an ISP who offers only dial-up and leased line services,” said Mr Sawhney.
Net4India has tied up with Deltathree, the IP-based products and services company.
“We think that in India where only PC to PC communication is legal, Net telephony may not create any significant impact on revenue in the first year due to low penetration of PCs,” said Mr Sawhney.
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