Broadband from TeliaSonera Denmark cut costs of card pay-ments by millions for retailers

Retailers may now look forward to saving millions on their phone bills by process-ing their card payment transactions via broadband and IP telephony. ALDI and Hy-dro Texaco have recently switched to an IP/VPN solution supplied by TeliaSonera Denmark

Up until 1 January 2005, TDC had the monopoly of delivering the lines that connects the stores to PBS (Payment Business Services). This monopoly has now been broken, and the stores are free to choose an alternative telephone company and telecommunication solution.

Two companies who have already taken the opportunity and switched to another telephone com-pany are the supermarket chain ALDI and the energy company Hydro Texaco. They have both chosen an IP/PVN solution from TeliaSonera Denmark and in the coming years they will be able to profit from sending millions of payment transactions from their 230 stores and 410 service sta-tions via broadband at a low, fixed IP rate.

“There is no doubt that retailing will be one of the areas that will seriously benefit from the advan-tages of IP/VPN. With this solution the stores will be offered a fixed price for bandwidth, they do not have to pay for each call and they will also have the added benefit of being offered the best security via the network. At the same time they will have an online connection with so much ca-pacity that the risk of overload is actually non-existent. They may also look forward to saving up to 50 % on their costs for PBS calls,” said Jesper Zerlang, Sales and Marketing Director of Telia Networks.

Telia’s solution is not only a question of cutting costs for payment transactions; the IP/VPN also gives the stores a secure data connection which they can apply for all their data communication.

“Hydro Texaco’s project has been driven by savings on the basic operating costs and the IP based services, e.g. credit card transactions, online generation of price tags, online support and online cash registers which ensure better information between the service stations and HQ. The network also provides new services, such as IP-telephony, surveillance, E-learning and Hot Spots, for instance,” said Henrik Binger, Deputy Managing Director and IT Manager of Hydro Texaco.

The network and communication company, Axcess A/S has supplied all implementation of the router, surveillance and firewall and has been in charge of the overall roll out and project man-agement of Hydro Texaco.
It was primarily the cash telephone bill savings that made ALDI select IP/VPN from Telia.

“We have been supplied with a data communication solution that provides us with a secure con-nection between the card payment terminals in our 230 stores and PBS. By sending our payment transactions via IP/VPN in the future we achieve annual savings of more than DKK 500,000,” said ALDI.

IP-VPN is an abbreviation of Internet Protocol – Virtual Private Network. TeliaSonera Denmark’s VPN solu-tion connects the stores and PBS in a virtual private network based on the well-known IP platform. The stores may send and receive data within the network preventing confidential information being read outside the network.

For further information journalists can contact:
Sales- and Marketing Director Jesper Zerlang, Telia Networks, TeliaSonera Danmark, +45 28 27 58 18
Communications Manager Robert Neimanas, TeliaSonera Danmark, +45 28 27 51 82

Forward-Looking Statements
Statements made in the press release relating to future status or circumstances, including future performance and other trend projec-tions are forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. There can be no assurance that actual results will not differ materi-ally from those expressed or implied by these forward-looking statements due to many factors, many of which are outside the control of TeliaSonera.