Omnitel and Infostrada in Sales Agreement
Infostrada products to be distributed through Omnitel sales channels
March 8, 1999
Milan, Italy -- Omnitel Pronto Italia today announced it signed an
agreement to sell Infostrada products through Omnitel's sales network.
Omnitel's more than 100 Spazio Omnitel shops and independent sales
points will now also sell Infostrada's fixed network and Internet products.
This is the maiden agreement between the first alternatives to the former
Italian telecommunications monopolies; Omnitel in the cellular market
and Infostrada in the wireline sector. Omnitel and Infostrada believe that
even though they continue to operate independently in their respective
markets, potential operating synergies can be exploited between the two
Omnitel's capillary sales network is one of the keys to the success of the
Italian cellular company, which is now the second largest mobile operator
in Europe with 6.5 million customers in just over three years of operation,
making it one of the fastest-growing start-ups in telecommunications
Infostrada, a major new player in the wireline sector, is the fastest growing
of last year's new European wireline operators, reaching one-and-a-half
million customers at the end of February, averaging over 8,500,000
minutes of traffic daily.
Omnitel has about 2,000 dealers in Italy, in addition to more than 100
Spazio Omnitel outlets, its network of franchising shops. The Spazio
Omnitel shops are located in all major Italian cities, with a significant
increase in locations expected during 1999. In three years of operations
Omnitel's sales network has provided commercial services, information,
and technical assistance to tens of thousands of customers every day,
completing the transition to a new sales concept in Italy that puts the
customer at the center of all the company's activities.
"This agreement is the first example of issues we have often discussed,"
says Vittorio Colao, Omnitel's Chief Operating Officer. "We believe that
the agreement will guarantee increased sales efficiency for both
companies. Omnitel's sales network has been essential for the company's
success and will definitely benefit from expanding its offer to include
"As we have often said, we have been seeking synergies with Omnitel,"
says Riccardo Ruggiero, Managing Director of Infostrada. "I am sure that
this agreement, together with the opening up of new sales channels, will
make it easier for Infostrada's customer to find our products, improving
the quality of services offered and strengthening the already huge success
achieved by Infostrada."