AsiaInfo Holdings Inc. (ASIA)
News and Research on AsiaInfo Holdings Inc. (ASIA)
Business Description
AsiaInfo Holdings, Inc. provides telecom software solutions and information technology (IT) security products and services in China. In the telecommunications market, the company’s software products and services enable its customers to build, maintain, operate, manage and continuously improve their communications infrastructure and services.
The company principally operates through its directly owned subsidiaries, or their respective subsidiaries, including - AsiaInfo Technologies (China), Inc. (AsiaInfo Technologies) (100% owned), incorporated in the People’s Republic of China (China or the PRC), and Bonson Information Technology Limited, (Bonson) (100% owned), incorporated in the British Virgin Islands.
Divisions
The company’s operations are organized into two divisions: AsiaInfo Technologies and Lenovo-AsiaInfo.
AsiaInfo Technologies encompasses its traditional telecommunications business and provides software solutions to China’s telecommunications operators. Products and services in this division cover network infrastructure services, including network design, implementation, operation and optimization, customer management and billing solutions, decision support systems, and service applications, such as messaging, broadband, wireless and other advanced applications.
Lenovo-AsiaInfo mainly provides IT security products and services tailored for small to medium size companies, focusing on the firewall and virtual private network, or VPN, sectors. Lenovo-AsiaInfo’s IT security applications are fixed configuration products with varying performance characteristics that offer integrated firewall, VPN and denial of service protection capabilities.
PRODUCTS AND SERVICES
The company focuses on software and IT services to create product and solutions offerings for telecommunications service providers, and other major enterprises in China. The company’s AsiaInfo Technologies division offers a suite of products for the telecommunications industry, while its Lenovo-AsiaInfo division focuses on IT security solutions for small and medium enterprises.
AsiaInfo Technologies—Software and Solutions for the Telecommunications Market
Through AsiaInfo Technologies, the company provides software and solutions to China’s telecommunications operators. Its suite of improved solutions includes three primary types of products and services - Business and Operation Support Systems, Service Application Solutions and Network Infrastructure Solutions. The products and services the company offers to the telecommunications industry include various software product suites, each of which is given the name ‘Open’ because the software installed is designed with open architecture to facilitate further development and customization for specific purposes. The company integrates a combination of the products, together with its services, into customized solutions to address individual customer needs.
Business and Operation Support Systems (BSS/OSS)
The company provides BSS/OSS to China’s telecommunications operators. Its core BSS/OSS offerings include customer relationship management (CRM) systems, billing solutions and decision support systems. The company has constructed BSS systems for nine of China Mobile’s 31 provincial subsidiaries and has developed one of the telecommunications CRM and billing systems in the world for Zhejiang Mobile. Its specific BSS/OSS product suites include:
OpenBilling Product Suite: OpenBilling is a flexible, expandable operation support platform for convergent billing solutions for telecommunications operators. OpenBilling supports the business of mobile operators by providing integrated solutions, including billing, account processing, operations management, customer service, settlements, and system monitoring and disaster recovery management. OpenBilling is capable of being developed into full-service business operation support systems based on its core convergent billing function.
OpenCRM Product Suite: OpenCRM is a CRM solution suite launched by AsiaInfo for Chinese telecommunications operators. OpenCRM is a system for operators to improve customer service customer satisfaction and build customer relationships.
OpenBI Product Suite: The core of AsiaInfo’s BI solution, OpenBI, is a carrier-class operating analysis and decision support system platform. With embedded technology, such as data warehousing, online analytical process and data mining, OpenBI enables carriers to make management decisions based on analysis of customer behavior, competitive environment, business profitability and other parameters. The system is able to proactively generate business operation reports, which serve as a basis for top management decisions.
OpenPRM Product Suite: OpenPRM is a system developed to calculate, manage and reconcile payment for intercarrier network access, including settlement of roaming charges between mobile operators, and management of agreements and settlements between operators and their business partners. ‘PRM’ refers to Partnership Relationship Management. The OpenPRM solution also provides support to telecommunications operators in their services to enterprise customers and individual customers, and their relationship management with third-party sales channels.
In 2006, the demand for AsiaInfo’s operational systems and CRM solutions rise as carriers continued to attempt to differentiate their services, win customers and boost profitability in an increasingly competitive market. The company also develops billing systems that support new applications and business models. With the expansion of China’s mobile user base and the advent of 3G technology, the company expects operators to roll out new data service offerings in areas, such as music download, entertainment, wireless application protocol (WAP), and mobile media.
Network Infrastructure Solutions
The company’s network infrastructure solutions include network access and backbone infrastructure planning, design and implementation for telecommunications and Internet service providers. The services include technical training for its customers, and professional maintenance and support services. In addition, its OpenXpert product suite offers telecommunications operators an integrated network management system. OpenXpert is able to generate a spectrum of network managerial data, which improves overall network management and business operation management. OpenXpert also monitors the application software systems implemented on a network, such as billing, business operation, account processing, settlement, operational CRM and analytical CRM.
Service Application Solutions
The company designs and provides various applications software for Internet access, Internet Protocol (IP) telephony and virtual private networks (VPN) that enable the provision of commercial services to end-users. The applications often involve licensed third-party software that the company customizes or integrates with its proprietary software to provide individualized solutions. Its specific products include:
AsiaInfo Mail Center (AIMC): AIMC, the company’s flagship online messaging software, is carrier-scale messaging software designed to support electronic mail systems for the email service providers, from small Internet service providers to large-scale mail hosting providers with millions of mailboxes and thousands of domains. Its flexible design allows service providers to offer Web-based free email, basic email service and premium business secure email to end-users.
AsiaInfo Spam Patrol (AISP): The company’s self-developed anti-spam software, AISP, offers real time anti-spam control, with advanced technology for real time recovery, intelligent upgrade, and content filtering.
AsiaInfo Anti Virus (AIAV): The company’s AIAV solution scans and clears viruses through Simple Mail Transfer Protocol (SMTP) or Internet Content Adaptation Protocol (ICAP), before emails that carry viruses are downloaded. In addition to incoming emails, AIAV enables the detection and cleanup of viruses in outbound emails, and provides anti-virus functions for Web mails. AIAV is based on anti-virus software solutions from third party licensors.
AsiaInfo Net Disk (AIND): AIND is a network hard disk product that facilitates internet-based file transfer, sharing and management. In addition, AIND supports other value added functions like data processing of short message folders and synchronization of mobile devices.
AsiaInfo Internet Short Messaging Gateway (AIISMG): AIISMG is a business support platform for short messaging services. AIISMG is the one-layer short messaging gateway used by China Mobile to achieve single-point access and provincial roaming within China. AIISMG supports multi-protocols to transport short messages between different carriers and different mobile networks, including digital mobile (global system for mobile communications, or GSM), code division multiple access (CDMA), personal handy phone system (PHS), and 3G networks.
Lenovo-AsiaInfo—IT Security Products and Services
Lenovo-AsiaInfo, established from the non-telecom related IT services business the company acquired from Lenovo, mainly provides security products and services for the small to medium enterprise market in China, across various industries.
Lenovo-AsiaInfo is meeting this demand with a customer offering, including security consulting and enterprise quality security solutions. Through ongoing product innovation, Lenovo-AsiaInfo is committed to remaining a provider of security solutions in China. Its offerings focus mainly on firewall and VPN technologies.
IT Security products: Firewalls provide protection against unwanted intrusion while enabling the flow of approved network traffic. VPN solutions are designed to enable employees and business partners to remotely access an enterprise network in a secure, cost-effective manner. The company’s security applications are fixed configuration products with varying performance characteristics that offer integrated firewall, VPN and denial of service protection capabilities. Its security applications are designed to maximize security and performance while using less physical space than competing products. The company’s security applications would be deployed to provide small to medium-sized businesses and enterprise remote locations with secure Internet access and communication. The company offers firewall and VPN solutions that protect throughout the network, including at Internet gateways, gateways to sensitive internal networks, and at client devices. Product offerings include the Power V series and the Super V series firewalls, which are designed to meet the throughput requirements of companies of all sizes.
IT Security services
In addition to the company’s IT security products, it also offers various IT security services, including: security consulting services, including security architecture and policy design; security implementation services, including integration and support service; security management services, including risk assessment, vulnerability assessment and penetration testing; and training services, including CISP (certified information security professional) training, and customized training on security products.
Customers
The company’s major customers include telecommunications carriers in China and their provincial subsidiaries, such as China Mobile Communications Corporation (China Mobile), China Telecommunications Corporation (China Telecom), China Network Communications Group Corporation (China Netcom Group), and China United Telecommunications Corporation (China Unicom). The company expanded its business relationship with two subsidiaries of China Mobile, Yunnan Mobile and Tibet Mobile.
The company is working with 27 of China Mobile’s 31 subsidiaries. The company also gained a new customer, Shanxi Netcom, in the fourth quarter, to develop their BI system. In response to the increasing demand for IT security products and services from small to medium enterprises and various governmental departments, Lenovo-AsiaInfo has focused on providing sophisticated IT security products and services tailored to China’s environment. The company’s targeted customers include small to medium sized organizations that use Internet protocol enabled information systems. Its customers represent organizations across diverse sectors, including financial services, technology, government and education.
Competition
In the telecommunications market, the company’s competitors include multinational companies, such as Amdocs, Digital China, Huawei, Linkage and Neusoft. In the security products and services market, the company’s competitors are local players, such as Topsec and Netscreen and international players, such as Cisco.
Significant Events
In May 2006, the company acquired Shanghai Emice Information Technology Company Limited’s (Shanghai Emice) business of call centers, customer relationship management and business support systems servicing Shanghai Mobile.
In May 2006, the company acquired Shanghai Changjiang Technology Development Co. Ltd’s (Changjiang Technology) telecom operation support business group.
In July 2006, the company acquired certain assets and businesses of Beijing GCTech Company Limited (GCTech), including telecom software contracts with China Netcom and China Telecom.
In December 2006, the company entered into an Acquisition Agreement with Fidelity, a major U.S.-based provider of IT services and information products to financial institutions. Under the agreement, Fidelity would acquire FIS which is grouped under the company’s Lenovo-AsiaInfo segment.
History
AsiaInfo Holdings, Inc. was founded in 1993.
