New Alliances Reinvent Wireless for Channel

Lightyear Offers Agents Residuals on Verizon Wholesale Mobility

“The Verizon Wholesale Mobility Solutions product offered by VPS opens another door for Verizon Wireless' reseller channel, while at the same time enabling VPS to deepen and further solidify its business relationships with its wholesale wireline network clients,” said Nancy Stark McFadden, a spokesperson for Verizon Wireless. “It works for VPS, customers and Verizon Wireless.”

Millegan added, “Verizon Wireless has been extremely supportive in helping us create this package. What we are able to offer is a network of customers, particularly our CLEC customers who are ready for this product.”

VPS also takes away the headache of managing these smaller resellers for Verizon Wireless. This also is good news for VPS resellers, which can continue to deal with VPS for ordering and provisioning.

“A big part of what we do is to ensure the service aspect of this plan is in tip-top shape,” said Millegan. To enable its resellers to sell wireless, VPS is offering a Web-based ordering platform for both service and equipment; “white label” wireless handsets, accessories and wireless modem cards; over-the-air service activation; direct shipment of gear to the reseller or its end-user; end-user billing information and call detail; and technical and equipment support.

“We’ve stress tested the process and we are very confident that we can support the volumes of orders today,” said Lew. “We have learned from other experiences with DSL rollouts, Wholesale Advantage [local] rollouts and DirecTV rollouts. We’ve made some mistakes along the way, but we have the expertise to make it work this time through.”

Significantly, VPS has built a new ordering GUI that’s not unlike ordering from a major online retailer. “The proof is in the pudding, but we have created new systems and interfaces that are not your typical telco legacy back-office systems,” Lew said.

What might be more significant to resellers is that VPS will manage their handset inventories. These can be drop shipped to the reseller or sent directly to the client. Branding is available at significant volumes to be decided on an individual case basis, Millegan said, adding most resellers, however, will start with unbranded devices or with a Flash logo on the screen.

Lightyear Extends Wireless to Agents

The inventory piece is huge for a company like Lightyear. “It enables us to put our money elsewhere,” said Steve Ray, vice president of carrier management for Lightyear. That means more cash for sales and marketing efforts, driving demand through the company’s indirect channel.

Lightyear is moving quickly to take advantage of its new deal with VPS; a soft launch of the Lightyear Wireless service was set for the Channel Partners Conference & Expo, Aug. 18-20 in Boston. A general launch will take place at the Lightyear agent event, Sept. 24-25 in Louisville, Ky., where the reseller is based. In addition, the company plans a road show where it will be training and recruiting agents to sell its mobility services.

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