Evan Carmichael Top Header about About About facebook Twitter YouTube Google+

The Telecommunications Tycoon: Terry Matthews Takes Off

Terry Matthews Quote


Staff post about: Terry Matthews
Become an Author

Free PDF Download
Terry Matthews Quotes - By Terry Matthews

Name: Email:


"The ability to communicate in broadband is a dramatic instigator of change in everything we do in life and I'm not going to miss out on it," said Matthews recently, indicating his reluctance to retire anytime in the near future. In 1972, Matthews and friend Michael Cowpland thought they had stumbled onto a unique business idea that had yet to be realized by anyone else. They decided they were going to import electric lawnmowers to Canada. But, when their transatlantic cargo got lost in the voyage, Matthews knew their idea might not have been as brilliant as it first seemed. "Our shipment of mowers was lost at sea," he said, "and while we waited, winter descended and covered our green lawns with snow."

Acknowledging that importing lawnmowers was not going to be his ticket to success, Matthews shifted Mitel's focus. Now, the company was going to make integrated circuits and private switchboards (PBX), based off of Cowpland's PhD thesis. With the introduction of the touch tone receiver, as well as the PBX call routing system, Mitel revolutionized the telecommunications industry.

"We set it up with $4,000 of borrowed money and now it's making $1.5 billion revenues," says Matthews. "It doubled its revenues every year for the first 11 years and generally in electronics a successful company can do that and remain stable. Anything above that can be unstable."

In 1982, after the breakup of AT&T, Mitel began to suffer. Matthews sold 51 percent of the company to British Telecom, but by that time he was already a multi-millionaire. Still, Matthews saw the potential growth in data networking over voice networking and wanted to take the company in that direction. BT, however, was not so sure and, with the majority stake in Mitel, effectively forced Matthews out of the very company he had founded. Ironically, Matthews would return to Mitel in 2000 and turn it into a successful broadband communications company.

Not one to waste any time, Matthews founded Newbridge Networks just a year later. Newbridge quickly went to work in becoming experts in the field of voice switching and software engineering. In 2000, Newbridge would be purchased by Alcatel for over seven billion in stock, making Matthews the single largest shareholder in Alcatel.

"In my career, I have started up around 40 companies and I have lost only two," Matthews once said, "when the normal success rate is one in 10, and some of them have had absolutely staggering success." Indeed, over the past 40 years, Matthews used a unique strategy of building up his own technology and telecommunications businesses and selling them on, on top of providing the seed money and expertise for other spin-offs and start-ups.

Now, as a British Knight as well as a billionaire, Matthews continues to serve as founder and chairman of Wesley Clover, an investment firm with investments in telecommunications, real estate and leisure, as well as being directly involved in a handful of other companies - all focused on next generation technologies that Matthews believes will give him his next success.


Related Articles

  The Entrepreneurial Engineer: The Early Years of Terry Matthews
  Lesson #1: “Persistence is the single most important thing for success"
  Lesson #2: “You can’t cut grass when it’s covered with snow”
  Lesson #3: “Develop a tight team relationship and a fighting spirit that wins”
  Brokering Broadband: How Matthews Achieved Serial Success
  Lesson #5: “Where’s the extra value?”
  Interview With A #1 Salesperson
  Lesson #4: “This is such a titchy bit of the iceberg”
  Why Should I Buy it From YOU
  The Difference Between Consultative Selling and Consultants
  Help - How Do I Fire My Employee?
  What is Telecommunications?
  How To Answer Today's Behavioral Interview Question
  Blame Games Cost Companies
  Coin Laundromats - Secret to Getting More Customers and Business
  Make sure you know whats hot and whats not with your marketing
  Goal Setting Success is a Hand Eye Coordinated Event
  Women Business Owners Continue to Thrive
  IRS Chases Taxpayers With Overseas Accounts
  Canada Boosts 911 Services for Hearing, Speech Impaired

Home > Famous-Entrepreneurs > Terry Matthews > The Telecommunications Tycoon Terry Matthews Takes Off >

Free PDF Download
Terry Matthews Quotes - By Terry Matthews

Name: Email:


Related Forum Posts

Re: Keeping up wtith the (super rich) Joneses Re: Keeping up wtith the (super rich) Joneses
Building credit Building credit
Re: Job market slump is a guy thing Re: Job market slump is a guy thing
Book: The System Book: The System
Re: What are some fun games for small business owners? Re: What are some fun games for small business owners?

Share this article. Fund someone's dream.

Share this post and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.
Share for a Cause
Like this page? PLEASE +1 it! Evan Signature
Bottom Footer



Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!
Name:
Email:
Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.