We get many questions that we just can't answer to one individual - that wouldn't be fair or appropriate. So to get the information out, and to give answers we can do so if we provide the information to everyone. A popular question has been "What are the expansion plans for the Company?" That's also an important question and one that investors can use to judge the suitability of an investment in the Company.
USNT is a growing collection of investments in small companies, and we think this makes sense. So far, each company, division or subsidiary is in a slightly different, although related, marketspace.
The different markets allow the Company to be involved in slightly diverse marketspaces, to hedge it's bet a little, and take advantage going forward of any increase in one market over another.
The related aspects of the committed investment in each company allows us to be able to build upon our knowledge and experience in the same field - in this case, VoIP and telco technology.
The benefits of this strategy also include the fact that we start to gain excellent economies of scale, which will reduce our costs over time. For example, we can use the same Mexican telecom company as provider for both Vitelity and oneWorld (wholesale). As volume increases to any one supplier we can expect that our overall cost per minute to that supplier will be reduces. Volume discounts.
INTERNATIONAL EXPANSION
Vitelity.com offers low-cost retail accounts, and wholesale voice traffic. Until late 2007, Vitelity was mostly interested in handling voice traffic (minutes) to the USA and Canada - a very large and growing market. Vitelity did offer international termination, but not very much of the business revenue was tied to international.
However, late in 2007, Vitelity started to promote the use of their network for international voice traffic. This has increased the volume of such traffic, and helped to increase revenues.
But in order to separate the the busienss of selling to hundreds of smaller resellers, and the market geared to very high volume international voice traffic, it was decided to create a "high volume wholesale" entity called oneWorld Networks. Under this new name, oneWorld can offer huge discounts to high volume customers - many of whom spend $10,000 and much more, per month. But they will only do so if given extra special discounts.
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