The ATSI Communications, Inc. Board of Directors approved a corporate rebranding initiative and name change to Digerati Technologies, Inc. The name change aligns the corporate identity with its primary brand, Digerati Networks, Inc., which generates a majority of revenue. Shareholders will vote on approving an amendment to change the corporate name. The rebranding is intended to increase visibility, exposure, and positioning within the industry as the company focuses on cloud-based VoIP services delivered over the Internet.
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This case reveals the complex problem of protecting corporate heritage while
managing product and corporate brands to keep them aligned with contemporary
market requirements. A dynamic brand building model is presented which
simultaneously addresses the different audiences for the products and the
corporate brand. The paper concludes that a new concept of ‘business branding’,
distinct from ‘consumer/product branding’, may allow corporations to reconcile
the need for both corporate accountability and risk limitation while maintaining
an effective brand management programme.
Companies changing their brand names are frequently reported in the business press but this phenomenon has as yet received little academic attention. This paper sets out to understand the
drivers of the corporate rebranding phenomenon and to analyse the impact of such strategies on
corporate brand equity.
A decision to rebrand is most often provoked by structural changes,
particularly mergers and acquisitions, which have a fundamental effect on the corporation’s identity
and core strategy. A change in marketing aesthetics affects brand equity less
than other factors such as employees’ behaviour.
This paper is of value to anybody seeking to understand the rebranding
phenomenon, including academics and business managers.
Have a look at what Care Tech have achieved with Citycom. Overall 27% reduction in mobile spend with Citycom solutions. One word is AMAZING. Get in touch for a free consultation
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Corporate Rebranding Approved by ATSI Board of Directors
1. NEWS RELEASE
Contact: Jack Eversull
The Eversull Group
972-571-1624
214-469-2361 (fax)
E-mail: jack@theeversullgroup.com
Web Site: www.atsi.net
Corporate Rebranding Approved by ATSI Board of Directors
San Antonio, Texas – December 21, 2010 – ATSI Communications, Inc. (OTCBB:ATSX)
(OTCQB:ATSX) today announced that its Board of Directors approved the Company's rebranding
initiative and corporate name change to Digerati Technologies, Inc. The Company will solicit consents
from its shareholders to approve an amendment of its Articles of Incorporation to reflect the new name.
The Company has set January 17, 2011 as the record date for determination of the shareholders entitled
to give consent to the name change. Upon approval by the shareholders, the Company will proceed with
changing its stock symbol.
After approval, the parent company will conduct business as Digerati, a brand associated with a majority
of the Company's revenue sold through the Company's wholly-owned subsidiary, Digerati Networks, Inc.
Aligning the corporate name with its primary brand is expected to increase the Company's visibility with its
customers, heighten exposure for its accomplishments in the marketplace, and allow for greater
positioning within the industry. The Company has also formed a subsidiary named Digerati Broadband,
Inc. to pursue broadband opportunities in strategic markets.
Arthur L. Smith, President and CEO, commented, "Our corporate name change and re-branding will
reflect the recent diversification of our business. Our products, including our global transport services, are
now delivered only in the cloud or over the Internet as we continue to invest resources in our cloud-based
VoIP services. This re-branding strategy will encompass both investor and public relations initiatives and
is intended to align us more appropriately with the cloud-based services industry, an industry sector that
is experiencing dramatic growth."
ATSI Communications, Inc., through its wholly owned subsidiary, Digerati Networks, Inc., has emerged as
a premier provider of global cloud-based VoIP services serving rapidly expanding markets in Asia,
Europe, the Middle East, and Latin America. Over the course of a decade, Digerati has established over
200 global partnerships with foreign carriers and emerging operators in more than 50 countries. In
Mexico, the Company's minority-owned subsidiary operates under a 30-year government issued
telecommunications license. In addition to global cloud-based VoIP transport, Digerati provides
enhanced VoIP applications including a fully hosted IP/PBX service, SIP trunking, and customized VoIP
solutions for specialized applications. The Company's customer base includes traditional
telecommunication carriers, mobile operators, VoIP service providers, calling card companies, Internet
service providers, and data service integrators.
Nothing in this press release is a solicitation of consents. The Company will distribute a proxy statement
relating to the adoption of its new name. Shareholders should read the Company’s proxy statement when
it becomes available as it will include important information. A copy of the Company’s proxy statement,
when filed, can be obtained at the Commission’s website or by contacting the Company.
The information in this news release includes certain forward-looking statements that are based upon
management’s expectations and assumptions about certain risks and uncertainties that can affect future
events. Although management believes these assumptions and expectations to be reasonable on the
date of this news release, these risks and uncertainties may cause actual events to differ from those
contained in this news release. The risks and uncertainties include, but are not limited to, continuing as a
going concern, availability and cost of our present vendors and suppliers, and absence of any change in
government regulations or other costs associated with data transmission over the Internet or termination
of transmissions in foreign countries.