Synchronoss Technologies, Inc. (SNCR), the leading software provider of electronic order management solutions to the communications services marketplace announced today that its ActivationNow platform has been selected by Cingular to provide transaction order management to activate and provision the new Apple iPhone.
The ActivationNow software platform automates, synchronizes and simplifies electronic service fulfilment and order management of advanced converged devices and network services, wireless, IP, and wireline services across communication service provider networks.
Stephen Waldis, president and CEO of Synchronoss Technologies, said in the press release, “Providing the software enablement platform that connects the must have device for music fans with the largest wireless carrier in the United States is a significant milestone. Both of these companies are known for outstanding and easy-to-use products and services, and we are excited to be involved in this powerful combination.”
Waldis added, “As part of what could be one of the most important developments for the wireless industry in 2007, Synchronoss is enabling the launch of convergent devices and network services via our ActivationNow platform. This is significant for Synchronoss because it not only represents an additional driver to our Cingular-related revenue, but also because it is a major step forward in our efforts to move our ActivationNow platform up the stack.”
Based on continued progress at existing customers and a solid pipeline of new opportunities, the company also announced that it is reiterating its forecast for 2007, which calls for total revenue of approximately $99 million to $100 million, or growth of approximately 37-38%, and non-GAAP earnings per share of $0.44 to $0.48. The respective growth rates in 2007 assume fourth quarter 2006 revenue of $20.2 million to $20.5 million, or growth of approximately 35-37%, and non-GAAP earnings per share of approximately $0.11 to $0.12.
Fourth quarter 2006 estimates are preliminary in nature and subject to change based on the completion of the company’s quarterly close process. Non-GAAP earnings per share estimates for the fourth quarter 2006 and full year 2007 exclude the impact of stock-based compensation.
Larry Irving, chief financial officer of Synchronoss, said, “Our fourth quarter performance was solid, highlighted by strong revenue growth and efficiency levels that were again better than our expectations. We are optimistic about our expanding market opportunity and today’s announcement increases our confidence in the robust growth and profitability forecast that we previously provided for 2007.” Irving added, “We currently plan to update our 2007 financial guidance on our fourth quarter conference call in February, at which time we expect to have a better understanding of how this relationship will impact our business.”
Conference Call Details
In conjunction with this announcement, Synchronoss will be hosting a conference call at 5:30 EST on Tuesday, January 9, 2007 to discuss the details of this press release. To access this call, dial 800-638-5439 (domestic) or 617-614-3945 (international). The pass code for the call is 90683101. Additionally, a live web cast of the conference call will be available on the “Investor Relations” page on the company’s web site http://www.synchronoss.com.
A replay of this conference call will be available beginning at 7:30 p.m. EST on Tuesday, January 9, 2007 at 888-286-8010 (domestic) or 617-801-6888 (international). The replay pass code is 88303635. An archived web cast of this conference call will also be available on the “Investor Relations” page of the Company’s web site, http://www.synchronoss.com
Synchronoss Technologies (SNCR) is the premier provider of on-demand transaction management software to Tier One communications service providers. Synchronoss enables service providers to drive growth in new and existing markets while delivering an improved customer experience at lower costs. The company’s flagship ActivationNow software platform automates, synchronizes and simplifies electronic service creation and management of advanced wireline, wireless and IP services across existing networks. Tier One Synchronoss clients include AT&T, Cablevision Systems Corporation, Cingular Wireless, Level 3 Communications, Time Warner Cable, Verizon Business Solutions, and Vonage. For more information, please visit http://www.synchronoss.com
SNCR is up over 9% today on this news. That’s (slightly) better than AAPL. I wish I knew this earlier. Still, I got mine.
I hope that cingular does not cripple the iPhone like Verizon does to the phones they dish out.
Looking at the news release above, I was left with one small question: just what the freak were they trying to say? It would be nice if this were written in a unique language called English instead of the corporatespeak gibberish we see here, all too typical of so many news releases. As someone once told me, “if your grandmother can’t read this and understand it, then rewrite it!”
This is why I use a Mac. News releases with opaque writing like this are typical to the Windows world. What Apple did today was to make a device that is often needlessly complex and in a manner that only Apple can do, make it instantly comprehensible and easy to use. If the news release above were written like that, and it’s not, it would be far more effective.
Somehow, Bill Gates would disagree. Instead of what Steve announced today, Bill announced a Windows HOME server. No doubt, in his perfect world, Bill would have every family around the world beholden to some Windows Nazi family System Administrator. How he ever came to be so successful with a mentality like that is beyond me.
Reading literary abortions like the news release above makes me fear for the future of the English language. That led me to an idea: translate the news release above in Gizoogle (http://www.gizoogle.com). Once I did, it made MUCH more sense. Try this link:
http://sites.gizoogle.com/index2.php?url=http://macdailynews.com/index.php/weblog/comments/12225/
This version is MUCH better!
Anita, right on. The internet is dumbing down writing skills and I hate it too.
What I wanna know is what advantages Apple gets for making iPhone Cingular exclusive.
cbstottie:
“I hope that cingular does not cripple the iPhone like Verizon does to the phones they dish out.”
While a lot of people have griped about Cingular being chosen by Apple as the exclusive provider for the iPhone, I’m absolutely convinced that they were chosen because they let Apple be Apple, and are not interfering with the design or functionality of the iPhone in any way.
I think Cingular knows that this new product could drive significant demand by a loyal group of customers to their network, and at the same time it certainly drives up the cache of Cingular as “the company with THE cool product of 2007.” At the same time it makes other carriers (like Verizon) look decidedly LESS cool.
I think Apple is going to demand that Cingular keep its iPhone customers happy with solid customer service too. Apple is not going to let its reputation for customer service slip due to Cingular, I expect the bar to be raised by Apple, not lowered by Cingular (ie AT&T). But we’ll see in time.
What Apple gets out of making this “Cingular exclusive”..
Good question, but here’s some solid guesses:
1. Nation’s largest wireless network provider.
2. Large number of stores to sell the product in.
3. A company that “gets it” regarding wireless device technology (ie. Verizon may have better networks.. maybe, but they DO NOT get wireless device technology.. at all).
4. By making it exclusive, Apple might also get better deal on subsidizing the cost of the device via Cingular absorbing more of the costs up front, and more freedom for Apple to build the device how they see fit rather than how the carrier wants it to be to maximize product fees (such as crippling bluetooth, etc.).
Those are just some ideas, I’m sure there are plenty more I haven’t even thought of.
Anita,
I was refreshed after reading your post. What a well written and thoughtful statement you made. Too bad I’m old, married and thirty pounds overweight, otherwise I would be after your phone number.
Microsoft’s Bill Gates opines about partners.
I got partners for you Microshaft.
Intel
Google
yahoo
At&t – Cingular
How about them Apples.
Hahahahaha.
BTC
Little Billy saying Apple isn’t nice to its partners was very funny. Just ask any of the PlaysForSure partners how much they liked being PlayedForSure, or in other words zuned on by MS
MW=himself Billy Zuned the PFS partners, just being himself
twilightmoon@mac.com: Those are just some ideas, I’m sure there are plenty more I haven’t even thought of.
I am not sure if reasons 1-3 are enough to make it Cingular exclusive. After all, by not making it exclusive, Apple could sell it in even larger number of stores and could make deals with 2nd and 3rd largest wireless providers as well. I can see #4, though I can’t imagine CEOs stupid enough to not want to work with Apple on iPhone by trying to impose crippling requirements.
Reading some articles, it also seems that the visual voice messaging Jobs was proud about requires major changes by the wireless providers on their systems. Perhaps Cingular is the only one brave enough to bet on it without ever seeing a prototype of iPhone.
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@anita
I have ta completely agree wit yo thoughts, n comments . Listen to how a motherfucker flow shit. Its a rizzle shame tizzy thugz dizzy quite understand that its tha gangsta use of language thizzat really keeps us civilizzles n able ta communicate wit each gangsta.
On tha Cingular front… I do have mah reservizzles `bout tha iPhone only being available wit these guys wit da big Bo$$ Dogg. Looks like Ill be mak’n tha switch, a bit reluctizzles come June…
Thanks, Anita.
I quite agree.
John
Anita
Rest assured this is one of those technologies that are better left behind the curtain. Unfortunately, this story and the products and services surrounding it have been thrown into the spotlight by the Apple/Cingular relationship.
For the very same reason Apple doesn’t allow its scientists to take the stage at MacWorld and risk putting us all to sleep, it makes Jobs’ role all the more important.
After parsing the article above I can say for certain that what these folks bring to the table is security. Everyone, from consumer to enterprise service providers, can interact within the Cingular network, conduct business transactions, share personal information, and preserve data with impunity. Well, in theory anyway.
The market needs to hear from, and about these people and the services they provide to protect us from data thieves.