Understanding the Real Cost of Ownership

The most obvious aspect of Total Cost of Ownership (TCO) is the initial purchase price. But the purchase price often has no bearing on long-term costs of operation. It is highly important to understand all the costs of ownership to make the best possible purchase decision.

cash-in-wallet.jpgSignificant post-purchase costs include:

  • Installation
  • Operation, Administration and Maintenance (OA&M)
  • Mandatory hardware upgrades
  • Software upgrades
  • Service contracts
  • The need for vendor technical services
  • Expansion and addition expenses
  • Replacement cost (due to end of product life or discontinued product support)

Considering the post-purchase cost of each of these factors and the high cost of post-sale service, the total cost of ownership is often raised to unacceptable levels.

There are no mandatory service agreements with REDCOM

REDCOM believes that our customers have the right to estimate the total cost of ownership during the purchase process, not after the sale when it is too late. We front-load most of the cost into the initial price of our systems. While this may result in a higher initial price than some competitive solutions, the savvy customer recognizes that they do not have to sacrifice future revenues to pay for a solution that they need today.

REDCOM solutions protect your future revenue and help reduce operational expenses by offering:

  • NO mandatory upgrades
  • NO mandatory maintenance requirements
  • NO mandatory annual maintenance contracts
  • Technical support that you pay for only when you need it

REDCOM offers several other key benefits that enhance your profitability and productivity:

Easy installation. REDCOM systems are delivered pre-programmed, and are operational within seconds of power-up—just make the connections and the switch is ready to provide service.

Simplified Operations, Administration and Maintenance (OA&M). REDCOM systems are designed for ease of use. REDCOM’s MAUI (Maintenance Administration and User Interface) provides a single point of OA&M. MAUI is a an intuitive GUI that simplifies the configration and maintenance of your REDCOM network.

REDCOM systems have no required maintenance schedule. If something breaks within a REDCOM product, it can be easily replaced. All boards can be replaced while hot as there is no need to power down the system, turn off programs, or disable any services. Simply remove the suspect board and replace it with a like unit from the spares pool.

No required maintenance schedule means there is no mandatory maintenance contract. This results in significant savings each year to each of our customers. Rather than a mandatory annual maintenance contract, we offer pay-as-you-use-them technical services and repairs.

System additions are easily accomplished due to REDCOM’s distributed architecture. When an existing system is full, simply add one or more MSU equipment shelves. This requires no great jump in system capacity and expense, but rather a simple, predictable growth by adding additional MSUs as you need them.

There are no mandatory upgrades. Customers are free to operate their REDCOM systems as they purchased them. Hundreds of REDCOM switches have operated for years with no upgrades—by customer choice. With REDCOM, if a customer does not require an upgrade for technology reasons, then there is no reason to upgrade.

 
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