MetaSwitch hits double century mark

MetaSwitch said today that delivered its 200th Class 4/5 switching system. The benchmark switch was supplied to BroadRiver Communication, an Atlanta-based CLEC.

BroadRiver, which claims to be one of the first networks built on softswitching, is using MetaSwitch’s CA9020 call agent, MG3510 media gateway and UC9000 application server. Among the key factors in choosing MetaSwitch was BroadRiver’s desire for a scalable switch as well as support for PacketCable Network-based Call Signaling. The company recently has expanded into the residential voice market using a partner’s cable network.

For MetaSwitch, the milestone carries special significance. Not only does it represent a continued growth curve but it also is symbolic of the growing importance of re-emerging CLECs to its business. Since last September, the vendors has shipped 48 switching systems, and reported annual revenues for 2005 of $30 million.

“Our view has always been that despite the carnage of the early 2000s there are smart companies out there that are building in an organic and clever way,” said John Lazar, CEO of MetaSwitch.

The company has largely been focused on independent telcos and CLECs—often arms of independents poaching business customers in rural RBOC markets—but its technology can scale to tier-one providers.

“If you look at our business it’s pretty much 50/50 [ILEC vs. CLEC],” he said. “I think the common theme moving forward is we’ll maintain our focus. But increasingly we’re finding that we’ve got a technology and organization that can scale up.”

However, Lazar said the company isn’t planning on putting a major emphasis on winning a large telco contract, particularly if it’s to the detriment of its existing customer base.

“You’ve got to be very careful about that and it’s a delicate balance,” he said. “We’ve got a good base and many of them are friends who have supported us. We think the technology in terms of its scalability is very good. The thing that’s held me back so far has much more to do with management capacity. We’ve got a good stable base and we need to be very careful not to spread ourselves too thin.”