Diyixian tops the Greater China’s IP private network league with a 4 times growth and a 50% plus market share
(Hong Kong, January 21, 2002) Diyixian.com Ltd, the largest IP private network service provider in Greater China, today announced that despite the continued softness in the global economy and the additional uncertainty arising from the tragic events of September 11th, the company achieved balanced year-end operating results in 2001, due to differentiated market positioning and, most notably, the successful roll-out of its IP private network services, which recorded a four times growth over the preceding year.
Diyixian achieved its record of gradual financial strengthening with a strategic capital enhancement program that includes a previously announced investment of over HK$100 million in the first quarter of 2001 as well as more than HK$40 million of additional institutional financing in the fourth one. The new capital enables Diyixian to continue positioning itself as a significant player in the region’s dynamic and fast growing IP communications market.
The strength of the company’s market positioning lies in the accelerated development of its IP private network services. As revenue from this sector and subscription rate have increased four and three times over the preceding year respectively, market surveys revealed that Diyixian ranked No. 1 in Greater China’s IP private network market with a more than 50% market share. Among its long list of clients are Fortune 500 and 1000 companies and leading locally listed companies, which account for nearly 40% of the company’s total sales.
“Our financial results reflect the positive impact of the roll-out of a significant number of innovative new products across the region and our focus on expense control and working capital management,” said Lap Man, CEO of Diyixian. “Continued strong support from shareholders and customers across all business lines has resulted in Diyixian’s steady performance in a year where the global telecoms industry is seeing a significant reduction in earnings,” added Mr. Man. “Our nationwide presence in 12 major cities across the region, together with constructive relationships with our strategic partners, makes us the network of choice for foreign companies galvanized by China’s entry into the WTO. We expect more foreign companies will rush into the market looking for business and investment opportunities. Their strong demand for state-of-the-art IP communication facilities will ultimately benefit our strong competitive position, giving us the momentum to achieve our earnings target.”
