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Industry`s first open source-based prepaid voucher solution for the African telecoms industry

By BE Agency
Johannesburg, 28 Nov 2003

Telecommunications company Isis Information Systems, part of the JSE Securities Exchange-listed Altech Group, has launched VoucherSure - the first Linux-based open source prepaid voucher solution for the burgeoning prepaid air-time recharge market in SA and Africa.

Ben Coetzer, new business development manager at Isis, said the African telecoms market is booming, adding that this will be the company`s "fundamental focus" with its industry-first open source prepaid voucher solution.

He said VoucherSure, which is 100% locally developed - and developed after a cost of R1.2 million - provides a means for managing and distributing products that can be transmitted over telecommunications networks.

"This product is well-suited to SA but it is even better-suited to Africa because it is based on open source software, meaning there are no licence fees payable. With costs a big concern in African countries, this is a major plus point. In addition, it is a single box solution and can run on any network or hardware device, including all makes and types of point of sale devices, making use of PCs or POS devices. VoucherSure can also seamlessly link into any established retailer`s network - meaning the voucher system, therefore, can run off the existing POS infrastructure. This means that for retailers and other service providers, there is no need to purchase and install additional hardware.

Host of other applications

While VoucherSure is aimed at prepaid airtime recharge vouchers, it can be used for a host of other applications, including electricity vouchers, water vouchers and vouchers for school feeding schemes.

Explaining VoucherSure further, Coetzer said that products - typified by a product ID, a value, a serial number and a PIN - are loaded onto the VoucherSure system. Merchants who want to purchase products can be allocated credit on the VoucherSure server and can then purchase products and pay for them with their available credit. A merchant sends a purchase request by means of a POS device. VoucherSure confirms the identity of the merchant and returns a list of products that are available to the merchant. The merchant selects the required products and the required amount. Having confirmed that credit is available to the merchant, VoucherSure securely sends the requested products to the merchant`s POS device.

Coetzer said the solution transparently sells all types and kinds of electronic vouchers. He believes the fact that the company`s solution runs on Linux is a very strong "unique selling point".

"One of the most important reasons why Linux is so popular is because of its low entry cost compared to traditionally licensed software. Users can install Linux on one machine and replicate their software on thousands of other systems without incurring additional costs for licences.

According to a recent Gartner report, businesses "regard Linux as a worthy alternative to Unix and Windows despite copyright issues that threaten momentum". The report further states that vendors, in response, are expanding Linux activities with hardware, software and integration services.

Coetzer said he believes Linux is going to become "increasingly popular" in the business world and this is one of the reasons why his company opted to run VoucherSure on Linux.

In addition, he said because Isis owns the intellectual property rights to VoucherSure - as well as the open source - it is in an "enviable position" because it can structure its pricing model to suit its customers. "We can look at our customer`s needs and at his budget - especially in Africa - and tailor a solution to suit these needs.

"We don`t have to adhere to a licensing and payment business model stipulated by a US conglomerate. We can allow our users to grow with the system and not demand huge payments up-front. And, of course - very importantly - there are absolutely no licence fees. This fits in snugly with the drive in this country, and other African countries, not to pay huge licence fees to large offshore companies."

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Editorial contacts

Ben Coetzer
ISIS Information Systems
(012) 643 6700
bwc@isis.co.za