This case study is part of series conducted by Parallels that examines how Parallels partners are optimally using our products. For a complete copy, click here [PDF].
Partner Summary
KT is Korea’s largest communication service provider, delivering voice and data, fixed and mobile, and communication and broadcasting services. In 2010, it also formed a new division to deliver colocation and managed hosting services out of KT’s Internet Data Center and to look into cloud computing as a strategic new business for the company.
Business Situation
In recent years, competition from a new breed of internet-based voice providers such as Google Voice and Skype has been putting pressure on traditional voice revenues for telecommunication services providers such as KT.
In response, KT announced in 2010 that cloud computing would be a major new business model for the company and unveiled the “ucloud” brand for its cloud services. The next challenge was to quickly put into place the capability to deliver cloud-based software and infrastructure services to customers in Korea, in particular over 3 million small and medium businesses (SMBs) in the country.
Solution
In September 2011, KT made the decision to adopt Parallels Automation (PA), which would enable it to rapidly deploy cloud services to SMBs efficiently and cost-effectively.
Parallels Automation consists of two core systems – Parallels Operations Automation and Parallels Business Automation. In addition to these core systems, specific PA modules are also deployed depending on the services being offered.
Parallels Operations Automation provides end-to-end automation for cloud services provisioning, server and application management, service plan creation and management, end user self-service, and reseller management. Parallels Business Automation simplifies end user ordering, account management, billing, billing system integration, invoicing, and trouble ticketing.
With Parallels Automation as its service delivery platform, KT can easily extend its service portfolio with offerings such as ucloud backup and ucloud storage.
To address Software-as-a-Service (SaaS) opportunities, the Parallels Automation SaaS module enables KT to automate application deployment, updating, and recurring billing, so that it can quickly and easily offer SMBs a broad choice of open source and licensed commercial SaaS applications.
For example, KT has been appointed the sole syndication partner for Microsoft Office 365 in Korea, and using PA enables the company to rapidly provision and deliver the Office 365 suite of services to its customers and channel partners. With Parallels Automation, KT can also create a customized marketplace of hundreds of SaaS applications from leading independent software vendors, which can then be delivered by its channel and resell partners through their own white-labeled stores.
Benefits
The deployment of the Parallels Automation platform is critical in helping KT achieve its leadership position in the cloud and to strengthen its IaaS and SaaS offerings.
Creates new revenue streams
Parallels Automation enables KT to offer SMBs enterprise-class applications with subscription plans that scale from individuals to thousands of end users. These applications can generate net new customers, as well as increase both average revenue per user (ARPU) and customer retention, as customers rely on KT for additional value added services.
“There are a number of SMB customers in Korea who have been waiting for critical business applications that are easy to subscribe to with no upfront costs. Being small and nimble, they do not want to worry about updates and software maintenance,” said Hyeon Kyu Lee, vice president, Advanced Platform & Software Business Center of KT. “Parallels Automation enables KT to address this critical business need, and takes it a step further by enabling our reseller partners to offer their own independent private label cloud storefronts.”
Reduces time to market
The Parallels SaaS module helps KT bring new applications and cloud services to market quickly. It comes with a go-to-market kit that includes service plan templates and messaging directed at SMBs, plus control panels that simplify support by letting KT delegate control to end users.
“Our customers are looking forward to leveraging products in the cloud from the likes of Microsoft, and our partnership with Parallels enables us to quickly implement a solution that delivers swift provisioning and billing of the Office 365 platform,” said Lee.