How can wholesale voice markets benefit from aligning credit terms between stakeholders?

Unlock friction and enable Tier 1 carriers to build new partnerships with challenger carriers that can offer high-quality routes and destinations, to boost wholesale voice services. Read our case study to find out how.

Where is the friction?

Wholesale voice remains a hugely important – and valuable market – enabling carriers to exchange traffic and meet the growing needs of their customers. There have always been specialist and niche players, operating as challengers alongside established Tier 1 carriers. These challengers often have the ability to offer unique routes, with premium quality, to key destinations. They bring a lot to the table – but it can be difficult for Tier 1 carriers to work with such stakeholders.

That’s because there is a structural imbalance that creates friction and can limit the ability of Tier 1 carriers to work with their challenger peers. This means that Tier 1 carriers may be unable to capitalise on the unique opportunities presented, while challengers cannot easily sell their routes to grow their businesses.

Payment terms are not aligned with business needs

The problem is simple – and one that is common to many industries. Many Tier 1 carriers have payment terms that leave suppliers exposed – often for up to 60 days. Challengers may not be able to afford such a gap between service delivery and payment. As a result, they are unable to work easily with Tier 1 partners. On the other hand, as we have seen, such players have much to offer, so larger players miss out on the opportunities they offer.

Both lose out. The risk is too great for many, which stifles the market and can lead to significant inefficiencies. However, there’s a novel solution that just might remove this friction and unlock the opportunities – for challenger carriers to make money and grow, and for Tier 1 carriers to benefit from quality new routes that strengthen their proposition, based on the real-time capabilities of Digitalk Carrier Cloud.

A new marketplace for wholesale transactions

Enter Vovida. Vovida is set to create a new marketplace in which stakeholders can align on equitable terms, creating new opportunities for exchanging routes and easing the flow of transactions.

Vovida offers a playground that enables the connectivity sought by Tier 1 carriers with the quality they demand.

Why not read more and find out how Vovida, enabled by Carrier Cloud, is unlocking opportunities for Tier 1 and challenger carriers alike?