Mumbai, July 1: Internet and telecommunications service provider Videsh Sanchar Nigam (VSNL) has acquired assets and network of an international internet protocol virtual private network (IP-VPN) provider for the US, Europe and Far East for an undisclosed sum.
The deal, struck on June 30, will catapult VSNL into the world-wide league of international VPN service providers in 15 countries.
Industry sources say Gem Plex — the US-based firm set up by Indian promoters which had a tie-up with VSNL, is the target company. However, VSNL officials were not available for comment.
IP-VPN or internet protocol-virtual private networks are proprietary networks created by companies to allow users to access data like in internet service.
VSNL said the network is ready for service in 15 countries, but the company would announce the services in a phased manner. To begin with, it will focus on eight countries including the US as well as some European and Far East countries.
The network offers cost-effective, scalable and secure managed-IP VPN solutions that are available with a variety of access, connectivity and management options.
“The acquisition catapults VSNL into the league of global telecommunications players. It enhances VSNL’s existing network capabilities and gives us a ready VPN platform in high traffic regions in the US, Europe and the Far East,” said . Srinath, director (operations), VSNL.
“The VPN network will enable VSNL to offer end-to-end voice and data services on its own network,” he added.
“The ‘ready for service’ network will give VSNL a major head start helping it to offer services almost immediately. New services like video on fibre to the US / Europe, and also managed-IP services can also be provided,” VSNL said in a late night press communique. It will now be carried on the end-to-end VSNL managed network.
International VPN (IVPN) is a rapidly growing business, serving the global needs of Indian IT services companies and MNCs.