Ekno has travellers' number

By Chris Barton


Former Telecom Xtra marketing manager Bryan Rowe is now chief executive and founder of Ekorp.com, a San Jose-based start-up that has just launched a multi-million joint venture with Melbourne-based travel guide publisher Lonely Planet.

The two companies have teamed up to provide Ekno (www.ekno.lonelyplanet.com), a global communication service for travellers which Mr Rowe expects to generate revenues of about $10 million this year, $50 million in 2000 and $100 million in its third year.

Ekno provides travellers with 0800 or free local call phone numbers in 35 countries from which they can place low-cost, long-distance calls with a user ID and PIN number. It also provides a voicemail box and is integrated with the Web site and an e-mail account from which travellers can review messages and recharge their accounts.

What does Ekno mean? Apparently Ek means "one" in most Asian countries - hence, one number.

Mr Rowe said the business valuation based on funds raised to date was around $7 million and that the joint venture would spend $20 million over the next three years developing the Melbourne-based operations and R&D centre. Of the 30 staff employed at present, he said 10 were New Zealanders including a few other Xtra refugees.

Mr Rowe said the first round of funding came from Australian-based Eric Smorgon Corporation and the second round from venture capitalist in the United States. Ekorp.com's international communications hub is in Los Angeles and uses international carriers such as MCI Worldcom, Pacific Gateway Exchange, Sprint, Voicenet and IDT, to carry much of the voice and data traffic.

Mr Rowe, who left Telecom Xtra in 1997 to work for Australian Internet service provider Access One followed by a brief stint with Ozemail, said Ekorp was also working on relationships with voiceover IP (Internet protocol) carriers to try to further reduce telecommunications costs.

At present, international calls priced in $US are not cheap when compared with Telecom peak rates. Best prices are from local free calling numbers. For example, Auckland to United States is $US0.27 per minute and from elsewhere in New Zealand $US0.65 compared with $0.59 from Telecom. But Mr Rowe pointed out the service was very competitive when compared with similar global roaming services such as Telecom's NZ Direct service which has a $2.80 surcharge a call.

Lonely Planet will promote the Ekno service on its Web site and provide travel-related information to users. Later this year it will provide prepaid phonecards distributed with Lonely Planet guide books and through its various distribution channels.