StockTalkJournal: Who is China Voice?
China Voice Holding Corp. (OTC: CHVC) has a portfolio of next-generation communications products and services doing business in the People’s Republic of China and the U.S. Through its subsidiaries, the Company provides Voice over Internet Protocol (”VoIP”) telephone services, office automation, wireless broadband, unified messaging, video conferencing, mobility services and other advanced voice and data services in China, where the Company has obtained full legal status as a licensed telecommunications company. The Chinese telecommunications market is the largest and fastest growing in the world. CHVC’s focus is on providing innovative telecommunication applications and solutions to customers. CHVC plans to grow its customer base in China and other parts of the world through marketing and sales efforts as well as acquiring and merging with synergistic companies.
CHVC’s goal is to become the premier enabler in providing next generation technology communication solutions between Asia and the World. Through the Company’s unique and proven growth strategy, Chinese businesses are able to realize the benefits of America’s free enterprise system. In turn, the Company’s Shareholders benefit from the intellectual property, revenue and profits of the Chinese company acquisitions.
Making successful international investments is not just a matter of identifying business opportunities. They are best made when they occur within true peer-to-peer corporate environments and industry networks that are based on reciprocity, evolving trust and partnerships. CHVC’s U.S. based public company provides a vehicle for Chinese businesses to become participants in America’s economy and free enterprise system. Through CHVC’s aggressive merger and acquisition strategy in China, the Company intends to acquire multiple technology companies primarily through the use of their securities. This key strategy enables CHVC shareholders to quickly realize the benefits of valuable intellectual property, revenue and profits from these Chinese businesses.
CHVC’s U.S. operations provide the infrastructure to support the marketing, sale and fulfillment of Asian communication products and services in the U.S. In turn, CHVC’s Chinese subsidiaries provide a vehicle to distribute and deploy U.S. telecommunication, wireless and next generation technology products within Asia.
Through their subsdiaries, they provide next generation communication services in profitable niche markets in China and worldwide. The company’s services are designed to produce recurring revenues from activation, monthly subscription and utilization fees. CHVC China subsidiaries leverage collaboration and strong relationships with state-owned Telco’s.
Contract Valued in Excess of $40 Million in Annual Revenue Signed
CHVC announced in late January that its wholly owned U.S. subsidiary, StarCom Alliance, Inc. has signed an Exclusive Supplier Agreement with Power Prepaid Phone Card Distribution (Power Distribution), a distributor of prepaid cellular products, located in Fullerton, California. StarCom Alliance, Inc. is a Master Distributor of prepaid and postpaid cellular/wireless products, discount prepaid calling cards and other telephony related products and services that enable users to call anywhere in the world at significant savings.
CHVC’s President and CEO, Bill Burbank, said, “Having completed extensive negotiations with Power Distribution, we are very pleased to have executed this Agreement. Power Distribution is a well known and respected Company focused solely on prepaid cellular products and is currently purchasing in excess of $25 Million of product annually. We anticipate that with our support infrastructure and financial resources, Power Distribution will purchase more than $40 Million of our StarCom Alliance products in the next 12 months. Prepaid Cellular is among the fastest growing segments of the telecommunications industry targeting a very large credit-challenged population.”
Burbank continued, “We are also in the final stages of negotiating Exclusive Supplier Agreements with three additional companies located in California that are focused primarily on the Prepaid Calling Card business and together generate over $35 Million annually in revenue, which if completed would boost our U.S. revenues to over $100 Million. Our goal is to complete these Agreements by the second quarter of this year. Prepaid cellular and prepaid calling card products will represent a significant percentage of our U.S. revenues and when added to the results of our Chinese subsidiaries will produce continued strong growth in 2008.”
Second Contract with Beijing Municipal Water Bureau
CHVC announced in late December that its Chinese Subsidiary, Beijing Techview System Engineering Co. LTD (BTSE) has been awarded its second contract with the Beijing Municipal Water Bureau for Command Center system consulting implementation services. The estimated value of the contract is $400,000.00.
BTSE CEO, Jin Wang, said, “This additional contract was awarded to our Company because the completion of our original contract was ahead of schedule and achieved positive results. During the initial contract period, the Beijing Water Bureau also recognized our team’s expertise in this field and our capability to take on additional project responsibilities.”
The Beijing Municipal Water Bureau manages all local water resources in Beijing City which include surface water, ground water and aerial water. The bureau has authority over allocation arrangements of water resources and oversees the implementation of development strategies, water-related local administrative regulations and statutes. Other management responsibilities include local drainage, sewage treatment and the utilization of renewed water, monitor drainage water quality, implementation of the licensing system, maintenance of related facilities and the collection and use of sewage treatment fees. The Beijing Municipal Water Bureau also organizes and coordinates capital construction of farmland water conservancy, manages local soil and water conservation and performs the supervision and law enforcement of water-related administrative work and water-related disputes between different departments, districts and counties.
Chinese Telecom Market
With a population of of 1.3 billion, the Chinese telecommunications market is the largest and fastest growing in the world, with 812 million fixed land line and mobile phone subscribers as of September, 2006. As of December 2006, China had 137 million Internet users, an increase of 23% over 2005. China has the worlds largest broadband subscriber base exceeding the U.S. in 2007 and also has the worlds largest mobile and fixed line subscriber base. The ‘Rise of China’ – which since 2001 accounts for fully one-third of the world’s economic growth – is one of the most important economic trends of our time.
Subsidiaries
Through its subsidiaries, CHVC provides Voice Over Internet (”VOIP”) telephone services, office automation, wireless broadband, unified messaging, hosted groupware and communications, mobility services and other advanced voice and data services.
U.S. Subsidiaries
DTNet Technologies™
DTNet Technologies Inc. is a leading value-added distributor and manufacturer of advanced broadband products and services. The Company is also a world-class Fulfillment and Supply Chain Solutions Provider and as such provides this important function to the Company’s Chinese subsidiaries and Asian partners. This operation also provides centralized, cost-effective and efficient warehousing, shipping, receiving and fulfillment for all U.S. operations. For over 9 years DTNet Technologies has delivered quality broadband, VoIP and wireless products to enterprise, government, and service provider customers throughout the world. The Company’s products include cable modems, DSL/ADSL modems, cables, UPS units, AV Powerline and Homeplug adapters, WIFI and cellular wireless hardware and software applications, Intelligent Telephone Adapters (ITA) and IP Telephones for VoIP services and other customer premise equipment. Working closely with its international partners, the company has been able to provide excellent quality at very competitive prices. DTNet Technologies has also recently added a new line up of enhanced residential VoIP broadband services to complement their customer’s core offerings. DTNet Tech’s clients include many of the top 10 largest cable operators, as well as regional and local providers. The Company was awarded one of the first Platinum Vendor designations for the National Cable Television Cooperative (NCTC), which gives DTNet Technologies unique access to more than 1000 independent cable companies with over 15 million subscribers throughout the United States. Great service, knowledgeable salespeople and premier technical support has given the Company a leading edge over its competition.
Additional information on the company may be found at www.dtnettech.com.
CVC International
CVC International Inc. is a wholesale provider of telecommunications services to CLEC’s, ISPs, IXC’s, cable companies and other communication service providers (”Carriers”). The Company’s Network Operations Center (NOC) is fully manned 24 x 7. The NOC monitors all aspects of the technical environment, from its extensive backbone to network routers, SIP proxies, numerous routing gateways and soft switches. The Company focuses on selling high volumes of international termination business. Through the licenses and relationships of CHVC’s China subsidiaries, the Company has unique and legal access to various origination and termination telecommunication services. The Company will provide a vehicle for the marketing and sale of these hard-to-find China services. CHVC’s China Subsidiaries through agreements with the State owned telecom companies in China, provide this subsidiary with preferential rates on various telecommunication services. The origination and termination business is based on high volumes and low margins. Effectively, the Company acts as a middleman between a phone company and a country by placing its own hardware in a telecommunications hub. It takes a fee for calls originating (made from) or terminating (final connection) through its hub based hardware.
Additional information on the company may be found at www.cvcintl.com.
Phonehouse U.S.A., Inc. and Dial-Tone Communications
Phonehouse U.S.A., Inc. and Dial-Tone Communications provide discount calling cards that enable users to call China, India, Mexico, Iran, Pakistan, Brazil, Bangladesh, Sri Lanka, Lebanon or anywhere in the world at significant savings. These calling cards may be used to call from the United States to other countries, to call from other countries to the United States, or to call between countries outside the United States. Although the communications business is changing everyday, there will always be a place for selling discount calling cards to a very large “unbankable” population. CHVC plans to leverage the special termination rates that it has negotiated through its China subsidiaries to develop profitable private-labelled calling cards that will be marketed to the Asian and Indian populations within the United States. The Company’s calling cards are currently sold through a network of over 90 private distributors. Through this network, the Company estimates that their services are sold through over 10,000 retail outlets of which, more than 5,000 retail outlets are located in Southern California.
StarCom Alliance
StarCom Alliance, Inc. was established in January, 2008 and is a master distributor of prepaid cellular products. StarCom’s products provide customers with reduced calling rates for both national and international destinations. The Company’s prepaid products include cellular phones, sim cards, cellular calling cards and refill pins. While there will always be a demand for the traditional prepaid calling cards, currently major growth is on prepaid cellular products. This growth is fueled by the desire of customers to better manage their mobile costs, and to have certain features and flexibility that the “contract” (or post-paid) services do not offer. During 2008, CHVC will commit significant time and resources to this Company in effort to obtain a stronghold in this fast growing wireless segment.
China Subsidiaries
In China, through its two subsidiary companies, CHVC provides a full suite of voice and data communications, document management, workflow and related services and solutions to corporate and government clients. These new service models, combined with the advanced next-generation application features such as China’s first patented groupware, make CHVC an attractive partner for Chinese Telephone Companies (Telcos) and Service Providers as a source of new products that can be distributed through their sales and agent channels. This aspect of the Company’s business allows it to function as both a “retailer” as well as wholesaler of its products through the large well-developed channels of the large incumbent Telcos, service providers and other resellers.
With its advanced hosted communications, customized convergent communications services and unique wireless broadband access technology, CHVC offers a complete service bundle meeting all communications needs of customers. CHVC structures its services to generate recurring revenues from monthly subscription fees. In addition, CHVC can carry customer telecommunications transmissions into the public phone system deriving revenues from local and long distance calls. Under its licensing, CHVC can also earn revenues from telecommunications traffic which is not hosted on its system, opening the door for expansion into other service areas through partnerships or acquisitions.
CHVC’s licensing and favorable relationships have allowed the Company to establish business relationships with several agencies of the Chinese government, giving CHVC further visibility and credibility in the Chinese business community.
CHVC’s service offerings are designed to generate significant cost savings on capital expenditures and ongoing expenses for customers. They also allow customers to seamlessly integrate their voice communications with existing data networks and other internal applications; thereby generating productivity and efficiency gains.
Candidsoft Technologies Company Ltd. of Beijing, Inc.
Candidsoft Technologies Company Ltd. of Beijing, Inc. (Candidsoft) is a software development company. The Company provides office automation and integration services to government, academic and commercial customers. The Company uses “OA” as the product trademark and separates products into 3 general categories: OA Cooperative Office Solutions, OA Integrated Office Solutions, and OA Unified Processing Solutions. The Company developed China’s first patented groupware, which can be easily modified to meet the specific needs of its customers. The Company’s platform uses a web-based technology to allow multiple workers to collaborate on a single project. Unlike Lotus Notes and Microsoft Exchange servers that require coding and programming during secondary development and deployment, the Company’s patented groupware has many advantages that are specifically suitable for the Chinese market. The OA server can be opened to many other platforms, and the programming interfaces are open for secondary development management and deployment. This groupware supports browser, client programming, mobile short messaging, and PDA etc. OA’s database can be easily modified and text and display methods can be easily set up. With powerful data analysis functions, OA groupware can allow users to generate pre-defined or ad hoc statistical analyses, produce various reports, set up workflows and produce complex process flow documents. Its task management and information transferring system will ensure data to be transferred among every client quickly and systematically. All these functions easily integrate and become a groupware platform that can be extensively developed ,adapted and customized based on customer requirements. The OA platform provides a strong authority management system that is extremely critical to many Chinese government clients. It also has an automatic backup and storage management system that can protect clients’ data and network on or off premise or redundantly at any predetermined location. The Candidsoft OA platform currently services over one million users in China.
Beijing Techview System Engineering Co., Ltd.
Beijing Techview System Engineering Co. LTD (BTSE) is a Value-Added Reseller and Systems Integrator that specializes in network design and installation, integrated wiring construction, and network equipment, with its primary focus on providing large video conferencing and security monitoring solutions. The Company’s projects include computer and telecommunications network construction, intelligent building construction, product development, network product sales, technical consulting, and information services. In Beijing, the Company is a high level authorized dealer for Cisco Systems, HuiWei, 3Com, Polycom Video products, NEC Monitors and many other IT products. The Company has built a diligent, experienced and well trained team-many of which are Cisco certified CCNP and CCIE engineers. Some of the Company’s customers include: Ning Xia Population Control Bureau, Chong Wen Education Administration, Xing Jiang Military Division, He Bei Province Economic Development Bureau, Qin Zhong Merchant Bank, Chang Sha Navigation Affair Administration Bureau, Jiang Xi Province Education Administration, Qing Dao Hospital, Qing Dao City Navigation Affair Administration Bureau, China Cotton Network, Beijing Engine Manufacturer, Beijing Language School, and the Shang Xi Province School of Chemical Engineering.
WRIO
CHVC has been awarded exclusive sales and marketing rights in China to the powerful WRIO advanced wireless broadband technology enabling economical broadband access for voice, data and video transmission. WRIO wireless broadband access service allows customers in underserved and un-served areas to enjoy the same benefits of the high-speed and low-cost Internet access as users from major cities in China. The Company’s wireless broadband network will be built upon WRIO’s patent-pending Hybrid Digital Video Broadcast (HDVB™) technology, which utilizes a proprietary, centralized, long-range, high-data rate forward link based on the Digital Video Broadcast (DVB) international standard. The technology provides very high-speed transmission of voice, data, and video information at an infrastructure cost which is less than 20% of competitive technologies. In addition, due to its unique topology and its full quality of service support, WRIO’s network supports a wide variety of applications, such as: video broadcasting, Voice over IP (VoIP), video conferencing, and digital radio. This allows the Company to provide VoIP services on its own network. It also allows flexible configuration for secure, inter-office virtual private networks and custom, high-data rate applications. In China, during 2008 CHVC will be focused on the deployment of its SKY O/A voice and data solution but plans to launch this technology in China by mid-2009.
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