Windstream Corporation
(
WIN
), a leading provider of advance network communications, has
launched IP Simple across its nationwide footprint. IP Simple is a
managed unified communication solution aimed at small and medium
(SMB) business segment and provides bundled Voice, Data and a
business phone.
Windstream Corp. provides this service through its subsidiary
Allworx and, owns and manages the equipments on behalf of its
client, thus reducing the initial capital investment. IP Simple
provides multiple PBX phone system which is an internal telephone
network that shares a number of outside lines to make external
phone calls.
This facility helps a business to choose a PBX system according
to its employee strength. Additionally, a client can also select
hardware and software solutions according to its need and get
numerous end of contract options including, renew the IP phone
system rental solution at a negotiated rate, and options to upgrade
the equipment, among others.
Windstream Corp. continuously upgrades its IP Simple solution
and implements latest technologies which significantly enhance
productivity of its client. Furthermore, Windstream provides
locally based technical support which helps its business customers
to upgrade and install the equipment quickly, thus delivering time
efficiency.
IP Simple Solution will aid small and medium business customers
to get a bundled offering of their choice and will eliminate the
need to combine services from different service providers and
equipment manufacturers. We believe this nationwide launch of IP
Simple solution will help Windstream to significantly improve its
revenue from the data solution division by addressing the specific
needs of small and medium business customers thus offsetting
revenue pressure from peers like
America Movil S.A. de C.V.
(
AMX
) and
MetroPCS Communication Inc
. (
PCS
).
Recommendation:
We are maintaining our long term Neutral recommendation on
Windstream Corporation. Currently, the stock has a Zacks #3 Rank,
implying a short-term Hold rating.
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