News and Research on INTAC International, Inc. (INTN)
Business Description
INTAC International, Inc., through its subsidiaries, provides integrated educational and career development services primarily in China.
Segments
The Company operates in two segments, career development and training services segment; and distribution/telecommunications Segment.
CAREER DEVELOPMENT AND TRAINING SERVICES SEGMENT
The company’s career development and training services segment focuses primarily in three business units: INTAC Mobile Telecommunications Institute; Education Management Software Business Unit; and Database Management Business Unit.
INTAC Mobile Telecommunications Institute (IMTI)
The company, through IMTI, provides mobile telecommunications technology training in China. IMTI would offer training to information technology professionals, with a primary focus in the area of third generation digital mobile systems, or ‘3G’, mobile telecommunications technology. This training would consist of IMTI’s Mobile Telecommunications Software Engineering training program, which would initially be offered through company-owned institutes and offered through franchises, university courses and corporate training.
Courses: INTAC Mobile Telecommunications Institute includes three levels of courses combining written information, lectures and laboratory experience. IMTI’s courses would be developed based on its assessment and understanding of market needs in conjunction with industry and academic experts. The Company has assembled a panel consisting of 25 full-time course editors, all graduates of telecommunications universities in China, 15 university professors from telecommunications universities in China and 20 industry professionals from telecommunications companies.
The Company's Courses are offered through company owned institutes, franchises and licenses, and would also be offered through universities and corporate training. IMTI would also offer job placement services and career counseling for its graduates. IMTI’s courses are targeted on IT professionals working in or seeking a job with the mobile telecom industry, particularly in the fields of software development, testing and project management. IMTI intends to offer its courseware to universities as a replacement for or addition to existing course offerings. IMTI would also offer corporate training for employees of telecommunications firms which would be designed to meet such firms’ particular needs and conducted at locations specified by these firms.
Competition
The Company's competitors include the School of Software at Peking University, Beijing Hua Create Co., Ltd.,the Training Center of the School of Software of the Northeastern University, the Training Center of Shenzhen Telecom, Beijing Jiaotong University-Baige Training Center, Wuhan CVTech Training Center, Shanghai Eutong Information Technology Co., Ltd. and the Fudan University Training Center of Embedded Technology.
Education Management Software Business Unit
The company, through its indirect wholly owned subsidiary, Beijing Huana Xinlong Information and Technology Development Co., Ltd. (Huana Xinlong), provides education management software in China. Huana Xinlong offers software for the administration of elementary and middle schools and colleges. Huana Xinglong’s software has been designated by the Education Management Information Center (EMIC) as the standard of the China School Administration System (for primary and middle schools). Huana Xinlong has a contractual relationship with the Ministry of Education of The People’s Republic of China (the ‘MOE’) for use of certain of its products. Huana Xinglong’s products have been installed in approximately 10,000 elementary and middle schools and colleges in China.
Products
The company’s products are divided into three major product lines consisting of the elementary/middle school segment, the college segment and the universal software segment. The company has a certificate from International Business Machines Corporation (IBM) acknowledging Huana-Xinlong’s status as a ‘Qualified IBM Partnerworld Business Partner’, a relationship, which intends to include support from IBM of the technical development of education software in China, and it has entered into a cooperation framework agreement with Microsoft (China) Co., Ltd., an affiliate of Microsoft Corporation, with respect to the ‘Green Campus’ Surveillance and Management System product. The company intends to provide integrated management systems and solutions, which are designed for the education industry to automate, streamline and manage every aspect of an education institution, including student/faculty management, course set-up, design and offering and the provision of various applications.
Elementary/ Middle School Products
Comprehensive Management System for Elementary and Middle Schools (CMSEMS): CMSEMS is a school administration database that stores schedules, produces data reports to the education bureau, enables course set-up, student registration and classification, and manages student and teacher files.
Local MOE Office Management System (LMOMS): LMOMS is a software package designed per MOE standards to help build basic databases, fulfill daily management needs and provide consulting information and generate reports for local MOEs.
College Products
Comprehensive Management System for Colleges (CMSC): CMSC is a university daily administration and school management software package originally developed by the EMIC. Huana Xinlong is the owner of the CMCS.
Universal Products
School Office Automatic Administration Management System (SOAAMS): This software system, developed independently by Huana Xinlong, is in compliance with the EMIC standards and helps standardize education office procedures for the schools and the education bureau. Standardization includes personal scheduling, document management, and a daily office work scheduler.
Green Campus Surveillance and Management System (GCSMS): GCSMS is a platform designed to monitor and control contents carried on metropolitan area networks and campus networks in order to provide a clean and safe Internet environment for students.
Sales
The Company has three local sales offices located in Kumming, Xi’An and Xinjiang.
Competition
The Company's competitors in the elementary/middle school market are Zhejiang University Networks and TCL Corporation. In the college market, the Company's competitors are Hangzhou Zhengfang and Shanghai Pengda.
Database Management Business Unit
The company develops databases containing information on individuals, which it would utilize to offer a one-stop marketing solution to various businesses with products and services tailored to the specific needs of the education market. Beijing Intac Purun Educational Development, Ltd. (Intac Purun), an indirect 60% owned subsidiary of INTAC, develops the databases utilizing information from various sources. Intac Purun is authorized by the MOE to collect resumes and profiles for all graduating college and graduate school students in China and has begun collecting this information. The EMIC offers Intac Purun to be its partner in developing and maintaining the MyJob database, compiled through EMIC’s Web site www.myjob.edu.cn, which helps graduates of higher education institutions obtain employment. Intac Purun has also been granted access to the database on university graduates maintained by the EMIC for use by Intac Purun in providing job training and placement services.
Database Products and Services
The Company's database information can be used to select the target audience who are likely to respond to certain products or service offers. Through advanced data mining technologies, the Company can select people by their gender, age, major, school, location and other criteria. Furthermore, the Company can conduct more precise selections such as lifestyle, hobbies, potential profession and incomes. Its technology platform has the capacity to conduct electronic database marketing campaigns. The company selects a list comprising the target audience from its database based on its client’s needs, and then use its own direct marketing channels to deliver the client’s message to the target audience. It also provides clients with campaign measurement and necessary records. The company provides its clients with integrated database marketing solutions to convert prospects to sales. In addition to list rental, it helps the client to plan database marketing campaigns, set marketing objectives, define program timing, choose target groups, design offers, manage and fulfill campaigns, organize campaign production, manage creative, print and fulfillment suppliers, track the response, generate analysis and reports and conduct profiling and data mining.
Sales and Marketing: The Company’s database products and services clients include insurance companies, banks (new accounts and credit cards), career services, apartment brokers, moving companies, travel agencies, mobile phone companies and computer manufacturers. The clients include OgilvyOne, Wundermann and some local agencies. The clients include insurance companies, banks (checking/saving accounts and credit cards), career/recruiting services, real estate brokers, travel agencies, education service provider, telecom companies and mobile phone manufacturers.
Customers
The Company's database products and services clients include insurance companies, banks (new accounts and credit cards), career services, apartment brokers, moving companies, travel agencies, mobile phone companies and computer manufacturers. Its potential clients include OgilvyOne, and Wundermann.
Competition
The Company's competitors include ChinaLoop (Acxiom China), a firm with international reach, and local competitors such as Shendiao Database Marketing Company, zhaopin.com, Chinahr.com and 51job.com.
Other Products and Services
Family-School Link Communication System (FSLCS): FSLCS is designed to help elementary and middle school teachers and parents communicate. With FSLCS, parents would have instant access to their children’s’ daily attendance records, exam scores and event announcements, as well as school news. In addition, INTAC launched a new product, the Internet Co-Surfing (ICS) software and services, as a functional add-on to FSLCS. ICS provides parents with immediate notification through SMS when their child encounters a Web site that has not been proven safe.
phrbank.com: The Company’s www.phrbank.com, a Web site to integrate recruiting and professional training services in China for companies with increasing demands for new employees. This Web site is a platform for PHR Bank (professional human resource bank), an integrated program of placement, search, campus recruiting and professional training services for enterprises. The service is designed for international and Chinese companies that need to hire new employees, and provides employment information to job seekers and employers.
joyba.com: Intac Purun’s Web site www.joyba.com is designed to attract students by providing information related to lifestyles and social activities of students and young professionals. This Web site also contains limited information on employment opportunities, with a link to its www.phrbank.com Web site. It intends to sell advertising on this Web site targeting college students and young professionals.
Other Value-added Mobile Telecommunication Services: The Company offers various telecom value added services, including Wireless Application Protocol surfing, Interactive Voice Responses and SMS, with China’s major telecommunications network operators – China Mobile, China Unicom and China Netcom.
Career Service Centers: Intac Purun was selected by the EMIC to establish and be the exclusive operator, under the supervision of the EMIC, of the Career Service Centers for Chinese students. These Career Service Centers support local education authorities in providing career services to local students. They also introduce Intac Purun’s services and products to students and provide Chinese students with a range of career development services, which assist these students in finding jobs and managing their careers.
Affinity Services: Apart from Educational and Career Services, Intac Purun would offer various affinity services. These products would reach the same target groups and be offered through the same distribution channels as the career development services.
DISTRIBUTION/TELECOMMUNICATIONS SEGMENT
The Company's distribution/telecommunications segment includes its wireless handset distribution business, which it operates through INTAC Deutschland Gmbh, a German corporation wholly owned by INTAC, INTAC International Holdings Limited, or Holdings, a Hong Kong corporation and wholly-owned subsidiary of INTAC and Global Creative International Limited and INTAC Telecommunications Limited, both of which are Hong Kong corporations and wholly owned subsidiaries of Holdings. Through these subsidiaries, the Company distributes wireless handset products to mobile communications equipment wholesalers, agents, retailers and other distributors mainly in Hong Kong.
These products are then sold primarily to local customers in Hong Kong or customers in China. The Company is working with Primus Telecommunications, Ltd, a global telecommunications services provider, to develop products which involve originating international voice and data traffic from within China throughout Southeast Asia for termination around the world.
INTAC’S Approach: The company distributes, through Holdings and its subsidiaries Global Creative and INTAC Telecom, wireless handsets manufactured by major mobile communications equipment manufacturers. As of September 30, 2006, the company’s total handset sales were products manufactured by Nokia, Motorola, Sony Ericsson, Siemens and Samsung.
Supply Channel: The Company’s access to sources of equipment is based primarily on relationships. Other sources of product include other distributors, network operators and independent brokers.
Supplier: As of September 30, 2006, the company’s major supplier is T-Mobile.
Distribution Channel: The Company’s customers include its mobile communications equipment wholesalers, agents, retailers and other distributors, mainly in Hong Kong. Its products are sold primarily to local customers in Hong Kong or customers in China.
Competition
The company’s competitors in the Asia-Pacific Rim include First Mobile and Global Tech Holdings. The company’s competitors in Europe include Brightpoint and Cellstar.
The Company's competitors in the Asia-Pacific Rim include Government-owned distributors that have retail outlets; First Mobile; and Global Tech Holdings.
The Company's competitors in Europe Brightpoint; CellStar; and Wireless handset manufacturers that sell directly into its distribution channel.
History
INTAC International, Inc. was founded in 2000.
