As profits come under pressure from falling bandwidth prices and growing fixed network competition, Seednet is shifting its enterprise strategy for 2025. Instead of chasing user numbers, the company will focus on technology-driven, value-added services.
The goal is to reduce the share of revenue from basic access services—from the current 80% to 60%—out of its projected 1.3 billion yuan in annual enterprise revenue. The remaining 40% is expected to come from high-value services.
Liu Wensen, Vice President of Seednet’s Operations Center, said that enterprise virtual networks (VPNs) will be a core focus this year. The company will also roll out a range of services such as network security consulting, email hosting, and system integration.
Seednet has already invested over 50 million yuan into VPN services. Since launching its cross-border VPN offering in the third quarter of last year, more than 30 companies—mostly Taiwan-based firms operating across mainland China and Hong Kong—have signed up. Each client typically sets up 3 to 4 connection points, with an average revenue per user (ARPU) of 100,000 yuan.
In mainland China, Seednet is partnering with second-tier telecom provider Huandao Group to expand VPN services. To support connectivity, it rents E1 bandwidth lines from Chunghwa Telecom, AGC, and C&C to Shanghai and Shenzhen, costing NT$3 million per month. Seednet has also established server rooms in Shenzhen, Dongguan, Guangzhou, Kunshan, Suzhou, Shanghai, and Beijing, with a local support team of 15 employees.
In Taiwan, Seednet is targeting the retail and franchise sectors. It is close to signing a major contract with a convenience store chain that has thousands of outlets across the island. This deal is projected to bring in over NT$10 million in revenue within a year.
Beyond VPNs, Seednet is pushing into system integration services. According to Liu, the company’s integration projects focus mainly on internet-based applications, rather than IT infrastructure for specific industries. Seednet has already secured several major government contracts, including:
- The national government portal website,
- Phase one of the Industrial Bureau and industrial park intranet project (worth over NT$4 million),
- Maintenance of Taipei City Government’s internal and external networks, valued at over NT$10 million annually.
With these shifts, Seednet aims to strengthen its presence in the enterprise market by offering advanced services that go beyond simple connectivity.
