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Poor quality of service has led recently-launched Icelandic fixed line operator Hallo! to drop its roll-out of international voice over IP (VoIP) services in favour of conventional digital technology from Telsis.

Pursuing an aggressive pricing strategy to win market share from the national incumbent operator, Hallo! originally pinned its long-distance hopes on VoIP. But an unacceptable level of drop-outs and un-terminated calls left Hallo! and its customers deeply frustrated.

Ingvar Garoarsson, CEO , says Hallo! found the technology unable to deliver carrier-grade reliability in the real world. "You may have a stable IP gateway, but there are too many other variables that can get in the way of delivering reliable service. We came to the reluctant conclusion that VoIP is still a few years away from being viable, so we decided to go for a conventional switching solution instead.

"We chose a Telsis Ocean fastSSP programmable switch because it is scaleable, and combines carrier-grade performance with a very competitive price. It quickly resolved the quality of service problems and also allowed us to offer a national service as well. Our new reputation for reliability has quickly got around and we're now facing such a rapid increase in customers that we're going to be upgrading the capacity of our existing platform."

Hallo! was the first of Iceland's OLOs to launch following deregulation in 1999 and offers nation-wide voice, data and Internet services to commercial and domestic customers.

Telsis' high-performance infrastructure and value added service platforms are in use around the world with major incumbents, mobile operators and many new entrants. With its headquarters, research and production site in the UK, Telsis (www.telsis.com) has sales and support operations in Australia, France, Germany, Italy, The Netherlands, Singapore and Spain.

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Further editorial information:

Telsis Ltd: Adrian Swatridge +44 (0) 1489 885877 aswatridge@telsis.com

Sage Partnership: Kevin Fiske +44 (0) 1189 344007 kevin@sagepartnership.com

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