1. GlobeSpan to Acquire iCompression for its Voice/Packet DSPs
2. Efficient Acquires Network TeleSystems for its DSL Provisioning Software
3. A List of DSL Acquisitions to Date
4. Copper Mountain Enhances VoDSL with IP Address Separation, Adaptive Fragmentation
5. Mpower Selects Copper Mountain for VoDSL Network
6. Broadcom Delivers EuroDOCSIS Cable Modem Chip
7. Cegetel Completes First GPRS Calls in Paris
8. Ellacoya Develops Broadband Service Management Architecture
9. Dynarc to Supply its Optical IP Routers to Swedish City Carrier Alliance
10. NetChip and Seiko Epson to Offer USB 2.0 Chips (480 Mbps) 
11. Envoy Networks Targets 3G Wireless Equipment

GLOBESPAN TO ACQUIRE iCOMPRESSION FOR ITS VOICE/PACKET DSP s
GlobeSpan will acquire iCompression Inc., a start-up developing a voice over packet technology, for approximately $389 million (4.0 million shares of GSPN).  iCompression, which is based in Santa Clara, California, has developed a unique application-specific programmable processor architecture that combines dedicated cores for hardware acceleration with customizable programmable digital signal processors (DSPs).  The solution is targeted at the VoDSL and VoIP markets.  GlobeSpan said the acquisition would further enable it to achieve highly integrated solutions for voice, video and data applications for DSL equipment vendors.
http://www.globespan.net/  http://www.icompression.com/
GlobeSpan, May 16, 2000

  • Last month, GlobeSpan announced plans to acquire T.sqware, a start-up developing programmable network processors, for approximately $200 million in stock.  T.sqware's programmable network processing chipset and integrated software suite is designed for switches, routers, remote access concentrators, and DSLAMs. 

EFFICIENT ACQUIRES NETWORK TELESYSTEMS FOR ITS DSL PROVISIONING SOFTWARE
Efficient Networks will acquire Network TeleSystems, a start-up developing a broadband client software platform, for approximately $19.4 million (400,000 shares of EFNT).  NTS client software simplifies installation and provisioning of DSL and other broadband services.  It integrates PPPoE, PPTP, L2TP, DHCP and client management. The software is currently being used by Bell Canada, BellSouth, Cable and Wireless HKT, China Telecom, Chungwa Telecom, Covad, France Telecom, KPN Royal Dutch Telecom, Korea Telecom, MindSpring, Prodigy, PSINet, SBC (Pacific Bell, Nevada Bell, Southwestern Bell, Ameritech and SNET), Telecom Italia and Telstra.  Network TeleSystems is based in Sunnyvale, California.  http://www.nts.com/ 
http://www.efficient.com/news/200005161.html
Efficient Networks, May 16, 2000

  • In March, Efficient Networks announced plans to acquire NetScreen Technologies, a start-up developing ASIC-based products for network security, for $905 million in stock (Mar 27 prices).  NetScreen’s ASIC-based products integrate wire-speed firewall, Virtual Private Network (VPN) and traffic-shaping features. 

DSL ACQUISITIONS

Summary Buyer Target Valuation Date

Efficient Networks Network TeleSystems $19 million May 00

Infineon Technologies Savan Communications $120 million Apr 00

Efficient Networks NetScreen $905 million Mar 00

Virata Inverness Systems $105 million Mar 00

CopperCom DTI Networks not disclosed Mar 00

ADC PairGain $1.6 billion Feb 00

Intel Ambient $150 million in cash Feb 00

Terayon ANE $90 million Feb 00

GlobeSpan Ficon Technology $90 million Jan 00

Nortel Networks Promatory Communications $778 million in stock Jan 00

Terayon Radwiz $50 million Oct 99

Nokia Diamond Lane $125 million Feb 99

Cisco Systems NetSpeed $236 million Mar 98

Price reflects valuation at the time the deal was announced.

COPPER MOUNTAIN ENHANCES VODSL WITH IP ADDRESS SEPARATION, ADAPTIVE FRAGMENTATION
Copper Mountain Networks announced a number of enhancements for supporting voice services over its CopperEdge DSL concentrators, including an adaptive fragmentation technique that segments voice packets into smaller units.  Copper Mountain’s enhanced service support will be based on an "IP IQ" voice functionality that separates voice traffic from data traffic for each DSL subscriber, allowing separate, secure private IP address space for voice services.  A DSL enabled Integrated Access Device (IAD) such as the CopperRocket 408 would be used to integrate voice and data traffic onto separate virtual circuits. Copper Mountain's DSLAM then enables multiple voice service subscribers to be joined in a service provider group, and their traffic aggregated into a single high-QoS ATM virtual circuit for transport to an IP telephony service switch or PSTN gateway device further upstream in the service provider network.  Copper Mountain said its design enables a secure IP voice network that prevents IP masquerading and ensures toll-quality voice by mapping packets to ATM virtual circuits.  

Copper Mountain is also introducing an Adaptive Fragmentation technique to reduce the jitter and latency of voice services over Symmetric DSL (SDSL) and ISDN DSL (IDSL).  Unlike ATM, the Copper Mountain technique performs packet fragmentation into smaller units only when voice traffic is present, and only to the extent needed to meet voice delay tolerances.  The Adaptive Fragmentation is dynamic, employing a look-ahead buffer to see voice traffic coming and then fragmenting data from the subscriber's Ethernet LAN into variable-sized packets.  The technology will be implemented in Copper Mountain customer premise equipment and central office DSLAMs as a standard feature beginning in July.  http://www.coppermountain.com/news/05162000pr.html
Copper Mountain, May 16, 2000

MPOWER SELECTS COPPER MOUNTAIN FOR VODSL NETWORK
Mpower Communications will use Copper Mountain’s Symmetrical DSL concentrators and integrated access devices as part of its large-scale deployment of Voice over SDSL (VoSDSL) service across the US.  For its most recent fiscal quarter, Mpower reported that VoSDSL accounted for 12% of its lines sold and 4% of lines provisioned.  The company currently had VoSDL available in 15 cities in Georgia, California, Illinois, Southern Florida and Nevada.  http://www.mpowercom.com
http://www.coppermountain.com/news/05162000bpr.html
Copper Mountain, May 16, 2000

BROADCOM DELIVERS EURODOCSIS CABLE MODEM CHIP
Broadcom introduced a single-chip cable modem solution supporting the EuroDOCSIS standard.  Broadcom said the key difference between the EuroDOCSIS and the North American DOCSIS standard is a change in the physical layer to support the European cable Digital Video Broadcasting (DVB) specifications.  The company is offering a EuroDOCSIS cable modem reference design supporting direct connections for 10/100 Mbps Ethernet, USB and HomePNA 2.0 networks.  http://www.broadcom.com
Broadcom, May 16, 2000

CEGETEL COMPLETES FIRST GPRS CALLS IN PARIS
Cegetel, one of the leading mobile operators in France, completed the first GPRS (General Packet Radio Service) call over its live network in Paris.  Cegetal is using Nokia equipment in its network.  GPRS supports data rates of over 100 kbps.  Nokia expects GPRS will be a superb bearer for WAP-based information retrieval and database access.  Cegetel plans to begin offering GPRS Mobile Internet services in September.  http://press.nokia.com/PM/781448.html
Nokia, May 16, 2000

ELLACOYA DEVELOPS BROADBAND SERVICE MANAGEMENT ARCHITECTURE
Ellacoya Networks, a start-up based in Merrimack, New Hampshire, outlined its plans for a Broadband Service Architecture that would leverage directory technologies to scale and add intelligence to service provider networks.  The company will build scalable hardware broadband service platforms using custom ASICs, distributed packet processors and a suite of provisioning and management software with XML, JAVA and CORBA interfaces.  Further product details have not yet been disclosed.  Ellacoya said its mission is to enable carriers to adopt a Service Agency business model in which their roles will be to manage customer relationships rather than managing their networks.  http://www.ellacoya.com/
Ellacoya, March 16, 2000

  • Ellacoya Networks was founded by Kurt Dobbins and Dan Hullette, both of whom formerly worked for Cabletron Systems.  The company has raised $34 million in initial funding from Bessemer Venture Partners, Weiss, Peck & Greer Venture Partners, Centennial Ventures and Lighthouse Capital Partners.

DYNARC TO SUPPLY ITS OPTICAL IP ROUTERS TO SWEDISH CITY CARRIER ALLIANCE
RegNet/Norrsken, an alliance of 40 municipalities and seven councils in the north of Sweden, will use Dynarc's optical IP platform to deliver advanced services to businesses and residences.  The RegNet/Norrsken alliance aims to build a service-provider independent optical network for delivering telecom and datacom services in the region at a low cost.  Financial terms were not disclosed.  http://www.dynarc.com/
Dynarc, May 16, 2000

  • Dynarc's optical IP routers are based on dynamic synchronous transfer mode (DTM), a circuit-switched architecture that leverages time and space division multiplexing to deliver IP-based services with guaranteed QoS over metropolitan fiber rings.  The system has the ability to reuse bandwidth on free links while offering resiliency features.  The company has offices in Sunnyvale, California and Kista, Sweden.  

  • Earlier this month, Dynarc announced a two-year, $4 million contract to supply its optical platform to Tele1 Europe for deployment across the Nordic region.

NETCHIP AND SEIKO EPSON TO OFFER USB 2.0 CHIPS (480 MBPS)
NetChip Technology, a start-up based in Mountain View, California, and Seiko Epson Corp. will jointly develop USB 2.0 transceivers aimed at high-speed peripheral devices.  USB 2.0 has a target speed of 480 Mbps, compared with 12 Mbps for current USB 1.1 connections. The first chips will be ready for beta testing in Q3 2000. http://www.netchip.com
NetChip, May 16, 2000

  • More information on the USB 2.0 specification is available from the USB Implementers Forum http://www.usb.org

ENVOY NETWORKS TARGETS 3G WIRELESS EQUIPMENT
Envoy Networks, a start-up developing infrastructure equipment for 3G networks, raised $7 million in first round financing from Commonwealth Capital Ventures, Highland Capital Partners and Bessemer Venture Partners.  The company is led by Dr. Triveni Upadhyay, who previously was CEO of Mayflower Communications, a developer of wireless communication equipment and Global Positioning System (GPS) receivers for the government.  http://www.envoynetworks.com/
Envoy Networks, May 16, 2000

 

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