Avaya has launched its public cloud offering outside of the US for the first time, bringing its "pure cloud" solution to Europe.
The comms vendor is launching its solution in Germany, in a bid to wrestle market share from the incumbent network carriers - the likes of Deutsche Telekom and Vodafone - in the SMB market.
Roberto Schmidl, EMEA VP of cloud at Avaya, told CRN that the German market was chosen because Avaya already has a carrier licence there.
"The offering in the US was idea to launch in Germany," he said.
"We have a carrier trade license there; we sell minutes and we have very good infrastructure there to do all the billing.
"We took Zang (Avaya's existing cloud product) and integrated it into that business infrastructure, and so we will be offering our pure cloud UCaaS to our SMB market."
The public cloud offering is an off-the-shelf product aimed the lowest end of the market, which Schmidl said Avaya has typically not catered to. Avaya launched its Powered by Avaya solution targeting businesses, but this is aimed at slightly larger organisations.
The new solution will target businesses with headcounts of around 50 and does not need any of the complex set-up and services that the Powered by Avaya solutions requires, Schmidl said.
Avaya's intention is that the offering will stop smaller businesses ending their on-prem relationship with Avaya to move to a competitor.
"There is one other public cloud player in German today that has be exhibiting market growth of about 30 per cent in this space, and we believe we are not participating in that today," Schmidl added.
"It is a pure cloud offering, so it is not private cloud or enterprise; it is pure public cloud for the SMB market.
"There are concerns about privacy and things like that, but we have addressed all of those and now we are ready to take some of that market share."
Schmidl said that Avaya will look to sell the solution predominately through partners, but said it will appeal to partners that already offer cloud services in other areas, rather than partners that are just looking to resell, because the value-add opportunities for the new product are minimal.
"We are going to be offering it for resell through partners," he said. "We will be looking for partners that already sell carrier minutes and ones that can resell our offering.
"It is Avaya hosted and in that pure cloud space there isn't much value add, other than additional cloud services like hosting.
"Those will be the ideal partners that want to resell this. It is probably not the traditional value added reseller, because they make a lot of their value from services. It is more of those partners that add other capabilities as well."
Avaya does not have any concrete plans to expand into other European markets yet, but Schmidl said that this is likely to happen at some stage.
"The UK is certainly an attractive market place for us," he said. "We picked Germany because it was fairly easy for us.
"I think Germany has been a bit slow [in terms of cloud adoption]; I think the UK is much further ahead.
"We are working on the plans [to expand further into Europe] but we want to see how it evolves in Germany. We will monitors the next three to six months and see how it develops, maybe make some corrections, then we will start to look at expanding."
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