VoIP-News ConCall: Q and A with Keith Markley, CEO of Vistula

Keith Markley discusses the future of VoIP, the Latin American telecom market and Vistula's plans for the future.

Vistula Communications Services, a supplier of VoIP services to telecommunications carriers, cable operators, and internet service providers, announced late last week that Keith Markley has been appointed Chief Executive Officer. Mr. Markley brings to Vistula two decades of leadership and management experience in the IT and Telecom sectors. His most recent prior appointment was at Liberty Aerospace, where he served as one of three senior officers who oversaw the business' strategic planning, sales, marketing and product planning including international distribution.

Mr. Markley spoke with VoIP-News about his vision for the future of Vistula Communications and the VoIP industry.

VN: What practices from previous leadership do you intend to perpetuate?

KM: Common sense and employee participation in all goals, objectives and tactics. While some companies try to keep their plans secretive, I have found that the more involved the entire team is in driving the strategy and tactics, the better off you are. This management strategy allows you to get closer to the customer. Additionally, as an executive, I am always looking for the bad news. Good news is always easy to find, but creating an environment where the "issues" are the forefront of discussion leads to a better competitive response. I view business as a very competitive endeavor and history has shown that the closer you are to your customers, the more likely you are to be victorious, and therefore I will be meeting with and having open dialogue with customers often.

VN: Could you please set up for our readers the position that Vistula holds in the market and what sets you apart as a VoIP company?

KM: Let's call it the first three Ps of Marketing 101. Product, Price and Place. The V-Cube product is a very capable IP feature Server, which we would argue is as capable as any in the marketplace today but has the enhanced feature of being easier to install and more user friendly. So we think of V-Cube as a superior product. Next, we think we have a more attractive pricing strategy, low up-front cost with a pay for success plan. Again, many carriers are nervous about the adoption of IP services and the Vistula pricing model removes a significant barrier to entry. Finally, Place - we are already rolling out the product globally and we are finding this to be a good go-to-market strategy. It appears that the appetite of international carriers is just ripening now and we are excited to be positioned to deliver.

VN: Do you have any forthcoming products or services that you can tell us about that will continue to set you apart?

KM: As mentioned before, our current product group, V-Cube and our Consumer Portal tied with our deployment model, we believe create a differentiator now. That said, product development from the team will always be in motion as needed. The product development capability of Vistula remains a viable part of the organization, so we have confidence in our ability to remain a technology leader.

VN: What do you project for the future of VoIP? What developments are you excited about? Are we still seeing rapid growth, or are we looking at a period of consolidation?

KM: Consolidation is a natural progression of all business. The excitment in the VoIP space is that we are at the beginning of the growth and acceptance ramp. Anyone who has been in the industry for the last ten years understands that all communications traffic is migrating to a Packetized Data architecture and that IP will be the standard for Voice, Video and Data. Just a few years ago, this was common knowledge, but it has taken some years for companies such as Vistula to develop products that allow access providers to make the switch. That time of growth is now. We see the market as very competitive, but we also recognize that we have a foot in the door with a product we think is industry leading.

VN: What growth opportunities and markets will Vistula be looking into for the future?

KM: The growth opportunities are enormous. In fact, response to the V-Cube product and the Consumer Portal has already been outstanding. First and foremost, execution and delivery of current accounts is a primary objective. Accounts in the UK, India and Latin America will receive considerable attention with a goal to ensure a smooth deployment. The response of the world market has been strong and we will continue to seek out large national carriers in the world marketplace. Additionally, we at Vistula view the US market as a growing and open market for our V-Cube product. While in the US, there are some players who have built a book of business-their business models are challenging for the carriers due to the large upfront cost of licensing and maintenance. The Vistula model is unique in the fact that it utilizes a very low cost of entry into the VoIP space. This pricing model allows carriers to develop a product without the exposure of signing a multi million dollar contract to get started.

VN: Please expand on your thoughts on harnessing the telecom traffic between Latin America and the US. Considering Vistula's involvement in supporting VoIP service for IUSACom, the Mexican telecom company, do you plan on doing more business with Latin American and Mexican telecoms in the future?

KM: We see Latin American business as very attractive and of course the ability to greatly reduce cost from International Toll rates as a significant opportunity. Keep in mind that it is not Vistula who will be the toll provider, but an enabler of incumbent broadband providers to have a means to provide toll quality voice to their customers using existing and future broadband networks. In any country where internationally calling is expensive and broad band is being deployed, the market opportunity is huge. This considerable cost savings is the foundation of Vistula's VoIP platform.

VN: Are you preparing products for your customers to help them with the anticipated growth in converged services? For example, help with multimedia or IPTV?

KM: Yes, but as an enabler, not as a provider of content. Vistula see's itself as a technology company that will allow a carrier to gain utilization from the carrier's broadband networks, with the capability to add features. While some carriers are exploring the "triple play", most networks in the world today are striving to get more from a data only IP network, where initially, voice capability will lead the change. As these networks add full featured toll quality voice, they will than start to look at additionally revenue sources. It will be Vistula's intent to stay ahead of this market.