Light Reading

SPIT Spinoff Seeks Enterprise Niche

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner

With the likes of Amdocs Ltd. (NYSE: DOX), Convergys Corp. (NYSE: CVG) and CSG Systems International Inc. (Nasdaq: CSGS) having a virtual lock on the residential billing and customer care market for major U.S. cable operators, a relative newcomer called Cycle30 Inc. believes it can make some hay with a platform that's been tailored to serve business customers.

Cycle30 has been developing and deploying its Service Provider Information Technology (SPIT) products for years as part of General Communication Inc. (GCI) (Nasdaq: GNCMA), an Alaska-based telecom and cable operator. GCI spun off the business about 20 months ago.

Cycle30 has rolled the technology GCI is using today to serve some sizable customers such as Wells Fargo & Co. , BP plc, and the state of Alaska, into a new software suite called Commercial Business Billing. It's designed to handle the kind of complexities that aren't handled in mass residential billing systems.

Cycle30's approach, says President Jim Dunlap, is to provide cable operators with systems that can provision, activate and bill for more services that involve multi-year contracts, different rates for headquarters and branch offices, and other complex pieces that enterprises require. (See Cycle30 Takes On Biz-Class Billing.)

The GCI spinoff is booting up its commercial-class product as U.S. cable operators start to head up-market to serve mid-sized businesses and build on a revenue category that's expected to grow at a rate of about $1 billion per year for the industry, according to Heavy Reading 's latest estimates. (See Cable's Cut of the Biz Services Pie to Eclipse $7B .)

And it's that segment, which might eventual lead cable to serve large enterprises eventually, where Cycle30 thinks it has the biggest opportunity among MSOs. "We think there's a niche in the commercial sector," Dunlap says. "We are confident that there's a sizable market to be had in this sector."

Dunlap says his 92-employee firm expects to close two to three "significant" cable deals in the first quarter of 2013. He's not naming them, but he says "they'll be names you're very familiar with" and that the deals in the works are for enterprise or small commercial services deployments.

Seattle-based Cycle30 hosts its platform on SunGard (NYSE: SDS) data centers in Aurora, Colo, and Scottsdale, Ariz. Its largest win comes from outside the cable sphere -- Arrow Electronics Inc. (NYSE: ARW), a machine-to-machine chip company based in Denver.

— Jeff Baumgartner, Site Editor, Light Reading Cable

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Jeff Baumgartner
Jeff Baumgartner,
User Rank: Light Beer
1/10/2013 | 4:00:09 AM
re: SPIT Spinoff Seeks Enterprise Niche
...probably won't sit still and let Cycle30 come in and just take this business as operators continue to ramp up their businss-class services. But it's still a good angle for them to take if they are trying to find a way to elbow their way in since it's much tougher to break in on the residential end. JB
From The Founder
Steve Saunders provides an overview of white box networking and introduces a new "slim line" version of the OSI 7-layer model.
Flash Poll
Live Streaming Video
CLOUD / MANAGED SERVICES: Prepping Ethernet for the Cloud
Moderator: Ray LeMaistre Panelists: Jeremy Bye, Leonard Sheahan
Wagner’s Ring
The Business Case for Open Source

11|30|15   |     |   (1) comment

Open source helps companies enhance infrastructure, undermine competitors' advantage and teach collaboration. But there are problems.
Between the CEOs
Centec on Ethernet Switching

11|26|15   |   09:58   |   (0) comments

Centec CEO James Sun talks to Steve Saunders about Ethernet switching and the white box revolution.
LRTV Custom TV
Delivering Service Agility in the Virtualization Era

11|25|15   |   5.41   |   (0) comments

Interview with Massimo Fatato, WW OSS Business Lead, Hewlett Packard Enterprise.
Wagner’s Ring
How Might Open Source Fail?

11|24|15   |     |   (10) comments

Open source, SDN, and NFV are looking inevitable – but performance, standards proliferation and regulatory capture could derail the movement.
LRTV Custom TV
NFV Lifecycle Orchestration – a Fresh Vision for Telco

11|23|15   |   6.40   |   (0) comments

Simon Osborne, CTO Comptel, and Heavy Reading's Caroline Chappell reveal the business impacts of new SDN and NFV, and what the term service orchestration actually means. Together they define Lifecycle Service Orchestration and how the virtualized future will look for telecoms operators.
Between the CEOs
Cisco's Virtual Role in Saudi

11|20|15   |   12:15   |   (2) comments

Light Reading founder and CEO Steve Saunders talks with Zayan Sadek, Regional Manager at Cisco Systems, about the competitive communications services market and advance of virtualization in Saudi Arabia.
LRTV Huawei Video Resource Center
Huawei Leads With Kubernetes for Cloud PaaS

11|19|15   |   08:26   |   (0) comments

Huawei is looking to Kubernetes as a key tool for building robust open source technologies for customers and partners, said Ying Xiong, chief architect of cloud platform at Huawei, in an interview with Light Reading West Coast Bureau Chief Mitch Wagner at the recent Kubecon conference.
Women in Comms Introduction Videos
WiC in London: The Highlight Reel

11|19|15   |   5:33   |   (1) comment

NetCracker's Mervat El Dabae headlines an inspiring morning in London with help from leading women from Vodafone, TalkTalk, Hyperoptics and Ciena.
LRTV Documentaries
Why Saudi's So Hot for New Tech

11|19|15   |   05:07   |   (0) comments

Light Reading's Steve Saunders reports from Saudi Arabia, a hyper-competitive market desperate to embrace the next generation of communications technologies and services.
LRTV Custom TV
Why Data Models Deliver More Value Than Information Models

11|19|15   |   5.08   |   (0) comments

Stefan Vallin argues that more automation is needed to manage end-to-end services and the hybrid networks they run on, and that data models are key to achieving this.
Telecom Innovators Video Showcase
SDN Management & Orchestration in the WAN

11|17|15   |   7.20   |   (0) comments

Carol Wilson and Packet Design CTO Cengiz Alaettinoglu discuss CSPs' SDN service delivery and assurance requirements. Learn about a modular approach to building automated control, orchestration and management functions for the WAN that are policy- and analytics-driven.
LRTV Custom TV
Flash Networks: Optimizing for Radio Spectral Efficiency

11|17|15   |   3:34   |   (0) comments

Today most optimization vendors only focus on optimizing voice or data. Ofer Gottfried, Flash Networks' CTO, shows how improving data throughput and maximizing spectral efficiency reduces capital and operating expenses while also providing a platform for user engagement.
Allot MobileTrends Report H2/2015 reveals how daily online behavior can be used to discover smarter ways to profile customers and propose valuable, real-time offers to them.
Hot Topics
Samsung: No Sale of Wireless Unit
Dan Jones, Mobile Editor, 11/25/2015
How Might Open Source Fail?
Mitch Wagner, West Coast Bureau Chief, Light Reading, 11/24/2015
Hong Kong Moments
Ray Le Maistre, Editor-in-chief, 11/26/2015
Facebook in Africa: Beauty or Beast?
Iain Morris, News Editor, 11/27/2015
Cable Gives Thanks for Business Services
Alan Breznick, Cable/Video Practice Leader, 11/27/2015
Like Us on Facebook
Twitter Feed
December 15, 2015
Virtualizing Cable Services
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Centec CEO James Sun talks to Steve Saunders about Ethernet switching and the white box revolution.
Light Reading founder and CEO Steve Saunders talks with Zayan Sadek, Regional Manager at Cisco Systems, about the competitive communications services market and advance of virtualization in Saudi Arabia.
Cats with Phones
Can't Find the Phone on Thanksgiving? Click Here
Check under the cat! (hint: bottom right)
Live Digital Audio

Broadband speeds are ramping up across Europe as the continent, at its own pace, follows North America towards a gigabit society. But there are many steps to take on the road to gigabit broadband availability and a number of technology options that can meet the various requirements of Europe’s high-speed fixed broadband network operators. During this radio show we will look at some of the catalysts for broadband network investments and examine the menu of technology options on offer, including vectoring and for copper plant evolution and the various deployment possibilities for FTTH/B.