September 10, 2001

Fusion's WiZIT: the Virtual ISP Service that Offers Affordable Service Rates Comparable to Local Calls

On September 10, Fusion Communications Corporation launched WiZIT, an Internet proxy connection service for ISPs (Internet Service Providers). WiZIT gives partner ISPs access to the Fusion-IP Network, which fuses telephone and data communications into a single environment. Fusion assigns individual access numbers (10-digit numbers that begin with 0037-3) to ISPs and provides each of these partners with an environment that allows dial-up connections via a single number at uniform rates for subscriber lines in homes and businesses throughout Japan.

Until now, increased customer volume and service-area expansion have forced ISPs to undertake hefty investments in order to add access points and accommodate growth in other ways. But WiZIT presents them with an economical alternative, for it includes all communications equipment, such as RASs (Remote Access Servers) and routers, as well as backbone circuits, Internet host connection costs, and expenditures for network operations. Aside from the cost of a server for user confirmation, an ISP that chooses WiZIT does not need to carry out any new investment related to Internet access or face any additional outlays for operations and so forth. As a result, ISPs whose access points have previously been limited and ISP newcomers can now deploy Internet connection services with comprehensive nationwide coverage for a minimal sum.

WiZIT offers a choice of three end-user rate plans: 8.5 yen for 3 minutes (this option requires the ISP to pay a portion of costs), 10 yen for 3 minutes, and 4 yen for 1 minute. Partner ISPs are able to select a different plan for each access number. WiZIT enables these ISPs to provide their end users throughout the country with access at low rates that are comparable to the cost of a local telephone call.

Furthermore, in addition to a point-of-origin billing system whereby Fusion bills end users and processes their payments, partner ISPs have the option of choosing a billing system based on incoming traffic, that is, at the ISP end. Under this system, Fusion bills the ISP for all communications charges, and the ISP sends each of its own subscribers a single bill for a package of services that includes e-mail and then processes the payments that are received. Thanks to this feature, ISPs can use WiZIT to reduce the cost of offering integrated charging services (inclusive of phone charges), which are becoming the main trend in the field of dial-up Internet connections.

With Fusion's inauguration of this new service, freeserve Corporation has decided to utilize WiZIT for provider operations that it offers free of charge. This Tokyo-based company plans to provide services that allow Internet access from locations nationwide at a telecom rate of just 8.5 yen for 3 minutes. Several other major ISP companies are also considering specific details related to their own future utilization of WiZIT.

With WiZIT, Fusion plays a proxy role in terms of virtually all of the equipment and operations that are required for Internet connection services. Consequently, even a company without any Internet infrastructure and expertise can deploy ISP services without having to undertake any substantial capital investment. WiZIT thus presents an attractive option not only for existing ISPs but also for businesses that are exploring the possibility of using the Internet as an avenue to reach customers in such realms as net banking and on-line brokerage operations.

Although WiZIT is presently a dial-up service targeted toward subscriber lines, Fusion recognizes the subsequent need for services capable of mobile connections. It is thus making preparations to equip WiZIT to handle Internet connections from PHS units and mobile phones. Furthermore, the company has plans related to such permanent connection services as ADSLs, which are expected to play a major role in the telecom industry in the future. Toward this end, Fusion is proceeding with preparations that will allow partner ISPs to offer comprehensive services for a minimal amount of money.