{"id":119,"date":"2009-03-11T00:35:22","date_gmt":"2009-03-10T18:35:22","guid":{"rendered":"http:\/\/blog.worldline.ca\/blog\/?p=119"},"modified":"2013-08-14T10:04:29","modified_gmt":"2013-08-14T14:04:29","slug":"recession-is-opportunity","status":"publish","type":"post","link":"https:\/\/www.worldline.ca\/blog\/recession-is-opportunity\/","title":{"rendered":"Recession is Opportunity"},"content":{"rendered":"<p style=\"text-align: left;\"><a href=\"http:\/\/blog.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/bt.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-120\" alt=\"bt\" src=\"http:\/\/www.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/bt.png\" width=\"860\" height=\"251\" srcset=\"https:\/\/www.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/bt.png 860w, https:\/\/www.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/bt-300x87.png 300w, https:\/\/www.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/bt-624x182.png 624w\" sizes=\"auto, (max-width: 860px) 100vw, 860px\" \/><\/a>It wasn\u2019t that the founders and owners of Fibernetics planned to launch during the first major recession of the new millennium. But, honestly, they couldn\u2019t have picked a better time.<\/p>\n<p style=\"text-align: left;\">John Stix, co-founder, co-owner and executive vice-president for sales and marketing of the fledgling telecom firm says that it\u2019s because of the recession that many corporations are eager to check out the cost savings that Fibernetics has to offer.<\/p>\n<p style=\"text-align: left;\">You may not have heard about Fibernetics yet, but that&#8217;s going to change. The Kitchener-based company has joined the hallowed ranks of CLECs (competitive local exchange carriers). There are only three in Ontario and the other two are Rogers and Telus. CLEC is the highest designation a phone company can reach in Canada. That designation given by the CRTC \u2013 which also regulates CLECs \u2013 gives Fibernetics the same rights and privileges as Bell Canada, and gives Fibernetics \u201ca fibre connection into the heart of Bell,\u201d explains Stix. \u201cVonage and companies like that buy Internet backbone from companies like us so they can provide customers services and charge for them.\u201d<\/p>\n<p style=\"text-align: left;\">It hasn\u2019t been easy. Stix and long-time friend Jody Schnarr, who is also Fibernetics president, CEO, and co-founder, have worked in the telecom industry since they left school. Stix describes it as an \u201carduous journey\u201d of close to 15 years in a very capitalintensive industry. He says they flew under the radar for a long time, until the February launch of Fibernetics&#8217; new services.<\/p>\n<p style=\"text-align: left;\">It starts with a box-like device that they designed and manufacture. It is packed with proprietary software. Plug a DSL connection into the back of it and your phone lines are on Fibernetics dedicated Internet connection. That gives you access to the Bell fibre optics system. It\u2019s a closed network which allows Fibernetics to ensure call quality.<\/p>\n<p style=\"text-align: left;\">Stix estimates it cost about $10 million to develop the device and software, for which businesses pay a one-time fee of $1,295 that will get them two phone lines. Each additional phone line costs $295. Businesses can keep all their phone numbers \u2013 only their provider changes \u2013 and the cost.<\/p>\n<p style=\"text-align: left;\">\u201cBusinesses accept the cost of phone lines as a natural cost like heat and hydro,\u201d says Stix. Transferring to Fibernetics dramatically reduces the cost of phone lines for everything from mom-and-pop pizza shops to major\u00a0corporations.<\/p>\n<p style=\"text-align: left;\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-121 alignright\" alt=\"BT1\" src=\"http:\/\/blog.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/BT1.png\" width=\"252\" height=\"310\" srcset=\"https:\/\/www.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/BT1.png 420w, https:\/\/www.worldline.ca\/blog\/wp-content\/uploads\/2013\/01\/BT1-244x300.png 244w\" sizes=\"auto, (max-width: 252px) 100vw, 252px\" \/>They ran a pilot program in Kitchener, Waterloo and Cambridge this year with 40 companies and the response was big. \u201cFrom small companies to a very large developer it worked beautifully,\u201d says Stix. \u201cThe buzz is just amazing.\u201d<\/p>\n<p style=\"text-align: left;\">Long distance calls, especially overseas, do cost, but a lot less than any other phone carrier, and in this economic climate that\u2019s a huge plus. \u201cIt\u2019s a fully sustainable business model,\u201d explains Stix. Their continuing income comes from providing Internet services to clients. For $89.95 per month a business can get a DSL connection that will accommodate up to 20 phone lines. \u201cWe\u2019re a new age telecom company,\u201d he explains.<\/p>\n<p style=\"text-align: left;\">The $10 million investment it took to set up Fibernetics was self-generated private money. Stix and Schnarr already had steady revenue from a residential phone internet service company they had called Worldline. Actually the network for Fibernetics is paid for by that residential service \u2013 a network that has unlimited bandwidth available. They haven\u2019t even fully rolled out their marketing campaign and they\u2019re swamped with orders and inquiries &#8211; a major player in the financial industry that has 500 phones in 48 offices across Canada wanted to meet with Stix pronto. He believes that getting that meeting would have been a lot tougher before the economic downturn. Over the next year to year and a half, Stix fully expects they\u2019ll be hiring 100 to 150 people. The future looks so bright they\u2019re thinking of hiring a consulting firm to help them manage growth.<\/p>\n<p style=\"text-align: left;\">\u201cWe\u2019re the first one-stop shop in the history of Canada for phone systems,\u201d crows Stix. \u201cWe manufacture the phone system, we are the phone system provider, we are the telecom company that provides the phone lines, and we are the Internet service provider. We believe we\u2019re on our way to being the next Bell.\u201d<\/p>\n<p style=\"text-align: left;\">Currently Fibernetics has about 120 employees world-wide, about 25 are at their head office in Kitchener. They have Fibernetics offices in Toronto and in London, Ontario. They also have a call centre in the Dominican Republic and a software development firm in Sofia, Bulgaria. But it\u2019s here that they need to hire, starting with developing a larger HR department to hire the computer science grads, customer service people, installers, sales people etc. they will need in the coming months.<\/p>\n<p style=\"text-align: left;\">Stix is determined to preserve their youth-oriented, open corporate culture through all this expansion. He really\u00a0doesn&#8217;t\u00a0want to lose the advantage of size that the company has now, so they\u2019re keeping infrastructure costs down. \u201cWe can turn on a dime and we want to retain that in our company culture. We\u2019re the Google of telecom.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>It wasn\u2019t that the founders and owners of Fibernetics planned to launch during the first major recession of the new millennium. But, honestly, they couldn\u2019t have picked a better time. John Stix, co-founder, co-owner and executive vice-president for sales and &hellip; <a href=\"https:\/\/www.worldline.ca\/blog\/recession-is-opportunity\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-119","post","type-post","status-publish","format-standard","hentry","category-worldline"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Recession is Opportunity - Worldline Canada<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.worldline.ca\/blog\/recession-is-opportunity\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Recession is Opportunity - Worldline Canada\" \/>\n<meta property=\"og:description\" content=\"It wasn\u2019t that the founders and owners of Fibernetics planned to launch during the first major recession of the new millennium. But, honestly, they couldn\u2019t have picked a better time. 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