In 2005, Cablevision's business networking subsidiary Optimum Lightpath made a rather bold move: it decided that Ethernet would be a core part of its network and services strategy.
Even back then Ethernet services, were still relatively nascent as a business communications service. However, Dave Pistacchio says that now the company continues to see an even greater demand for higher and higher bandwidth services.
"When we first started in 2005, there were a handful of GigE sales, but now GigE has become the new 10 Mbps," explains Dave Pistacchio, President of Optimum Light We're selling lots and lots of GigE and selling lots of high-end optical services."
Optimum Lightpath's customers are not only using Ethernet for their raw data needs, but a host of other applications. In addition to seeing continual uptick in vertical market segments with bandwidth hungry needs such as health care and financial, the other service is video transport for other broadcast and related video operators.
But on the enterprise side, what's really selling off the shelves at Optimum Lightpath is its voice minutes service. Taking an agnostic approach, the provider can support either TDM-based as well as a transition to IP-based hosted voice or hosted PBX services.
"Our number one selling product is our voice/Internet bundle where we are packaging our Internet access with bundled voice minutes," Pistacchio. "They are obviously not spending the kind of money like they would on GigE, but when you're selling 20 Mbps 50,000-unit bundles it's very popular because of its flat rate and predictable model."
In terms of opportunities, Optimum Lightpath continues to hit a segment where the incumbent carriers have not: the mid-business market. Of course, Optimum Lightpath is not immune to the economic challenges facing its customer base. "What we have seen in the first half of the year is that some of the sales take longer, especially in the larger enterprises," Pistacchio said. "There's a lot more scrutiny in some deals. That just means you need a lot more deals in your pipeline to meet your objectives."