Business Services Industry

Cisco Systems and Chunghwa Telecom Collaborate to Expand Managed Network Services in Taiwan

Business Wire, Nov 22, 2004

TAIPEI, Taiwan -- Offering Network Infrastructure Development, Management and Maintenance to Taiwan SMEs

Cisco Systems(R) has signed a memorandum of understanding (MOU) with Chunghwa Telecom Co. Ltd. to expand the delivery and adoption of IP-based managed network services in Taiwan. As part of the agreement, Chunghwa Telecom will base its new managed network services on Cisco equipment.

In return, Cisco(R) will provide marketing assistance and access to resellers in the region that configure, install and maintain the equipment. The managed network services are targeted towards small and medium sized enterprises (SMEs) in Taiwan.

The MOU underscores how Cisco(R) and Chunghwa Telecom will collaborate to promote managed network services using innovative Internet Protocol (IP)-based products and services to help Taiwan SMEs improve communications. Such services include IP virtual private networks (VPN), managed network security and managed IP telephony. Both parties agree to share market intelligence and conduct joint branded marketing campaigns to promote the service in Taiwan.

"We see a rapidly growing demand for network services among SMEs in Taiwan. To date, there has been a lack of complete, cost-efficient managed services in the market," said Tan Hochen, chairman of Chunghwa Telecom. "By offering managed services in network infrastructure development, management and maintenance, we hope to help SMEs strengthen their competitive edge and lower their operating costs."

The managed services for SMEs introduced by Cisco Systems and Chunghwa Telecom feature a new network management infrastructure. Chunghwa Telecom will provide fiber to the building (FTTB), asynchronous digital subscriber line (ADSL), HiNet internet and data service, and 24-hour network management and monitoring. These services will be supported with regular updates on network usage and emergency maintenance service. Cisco Systems will offer advanced IP routers, as well as facility leasing and maintenance. SMEs will have a variety of leasing terms to choose from based on their requirements. They can return the equipment upon completion of the contract, extend the lease or upgrade their package when the lease expires.

"It is our great pleasure to work with Chunghwa Telecom to introduce managed network services to the Taiwan SME sector," said Larry Chai, country manager, Cisco Systems Taiwan. "The collaboration will enable SMEs to enjoy world-class managed network services, which used to be the benefit of large corporations only. Cisco will work closely with Chunghwa Telecom to identify, create and deploy leading-edged managed services for Taiwan SMEs, offering them a new generation of value-added services to meet their growing network requirements."

"Cisco is a truly excellent partner. We are pleased to have selected Cisco to help us provide even better services for the SMEs in Taiwan. Combining Cisco's expertise in the enterprise market with our proven technology solutions and coverage, SMEs will enjoy high-quality network managed services that empower them to compete internationally," added Hochen.

Cisco Systems' managed services solutions can help service providers capture new revenue streams, expand into new markets and accelerate demand for value-added networking services. The company helps service providers introduce a series of network services that offer viable revenue opportunities including IP-VPN, IP communications, network security and high-speed Internet access.

About Chunghwa Telecom Co., Ltd.

Chunghwa Telecom (TAIEX:2412) (NYSE:CHT) is the leading telecom service provider in Taiwan. Chunghwa Telecom provides fixed line, mobile, and Internet and data services to residential and business customers in Taiwan.

About Cisco Systems

Cisco Systems, Inc. (Nasdaq:CSCO), the worldwide leader in networking for the Internet, this year celebrates 20 years of commitment to technology innovation, industry leadership, and corporate social responsibility. Information about Cisco can be found at http://www.cisco.com. For ongoing news, go to http://newsroom.cisco.com. Asia-Pacific news and information are available at: http://www.cisco.com/asiapac/news/.> Cisco, Cisco Systems, and the Cisco Systems logo are registered trademarks of Cisco Systems, Inc. and/or its affiliates in the United States and certain other countries. All other trademarks mentioned in this document are the property of their respective owners. The use of the word partner does not imply a partnership relationship between Cisco and any other company.