Company Y’s strength has been two fold. The performance of our technical solutions has been outstanding. Company Y outperformed all the competition in the lab, passing all phase 1 testing and was awarded the FVO in which all the broadband product performed flawlessly passing data on the first day we turned up the FVO. Secondary to the performance of the products, was the performance of the Texas based Company Y customer account team. The account team has met and exceeded every expectation that the customer has put forth.
Company Y’s top weakness is the customers inability to make decisions. The customer is committed to only do projects that produce positive cash flow in the first 12 months. The customer’s inability to enable their sales force to sell these new high-speed lower cost services is keeping them from pulling the trigger on this project. Company Y has offered to The customer several different financial propositions that include extended terms and capital lease options to enable The customer to make a go, no go decision. Company Y has also still yet to find an executive champion to take the BA business case to CTO, who is the Sr. VP with the final sign off authority. Nisse, the Company Y AVP to the customer, is fast on the trail of a champion and we may have that person within a couple of weeks.
The opportunity to Company Y is simple. Establish a long-term relationship with a major US service provider that includes a long-term contract for Company Y products, services and financial products that enables new services and revenues to both companies.
The ever-threatening presence of N and L looms every day. The presence of these two vendors and their key contacts within the customer will always present a threat to Company Y until the customer views Company Y as a key player and partner to them. The influence that these two vendors can put on any project to the customer’s senior management is enough to give pause to Company Y and our proposed plans.