FCC APPROVES AOL TIME WARNER MERGER
The FCC approved the America Online Time Warner merger with the following conditions:

• AOL Time Warner shall not restrict the ability of any current or prospective ISP customers to select and initiate service from any unaffiliated ISP
  
• AOL Time Warner must permit each participating ISP to determine the contents of its subscribers’ first screen
  
• AOL Time Warner must permit each ISP to have a direct billing arrangement with subscribers
  
• AOL Time Warner must provide the same Quality of Service mechanisms, caching services, technical support customer services, multicasting capabilities, address management and other technical functions of the cable system to affiliated and non-affiliated ISPs
  
• AOL Time Warner may not offer an AOL Instant Messaging application that uses a names and presence directory ("NPD") beyond those offered in current offerings such as AIM 4.1 or ICQ 2000b, unless it has implemented a standard for server-to-server interoperability of NPD-based services that has been promulgated by the IETF or a widely recognized standard-setting body.

The FCC will initiate a separate proceeding to seek comment on interactive television services.
http://www.fcc.gov/aol_tw.html
FCC, January 11, 2001

On December 14, 2000, the The Federal Trade Commission (FTC) approved the proposed merger with several conditions.  The FTC ruled that AOL Time Warner is:

• required to open its cable system to competitor ISPs;
• prohibited from interfering with content passed along the bandwidth contracted for by non-affiliated ISPs and from interfering with the ability of non-affiliated providers of interactive TV services to interact with interactive signals, triggers or content that AOL Time Warner has agreed to carry;
• prevented from discriminating on the basis of affiliation in the transmission of content, or from entering into exclusive arrangements with other cable companies with respect to ISP services or interactive TV services;
• and required to market and offer AOL's DSL services to subscribers in Time Warner cable areas where affiliated cable broadband service is available, in the same manner and at the same retail pricing as they do in those areas where affiliated cable broadband ISP service is not available. 
• AOL and Time Warner first announced their intent to merge on January 10, 2000.

SPHERA OPTICAL NETWORKS ACTIVATES SERVICES IN FIVE NEW CITIES
Sphera Optical Networks activated its metropolitan optical equipment in Boston, Dallas, Miami, Los Angeles and London.  The company is providing Optical Virtual Private Networks (OVPN), hub and point-to-point connections and wavelength services.  Sphera was already operational in New York and northern New Jersey.  http://www.spheranetworks.com
Sphera Optical Networks, January 11, 2001

• Sphera Optical Networks (previously Millennium Optical Networks) has previously disclosed $70 million in funding from the Mayfield Fund, Soros Private Equity Partners, Pequot Capital Management, Oak Investments Partners and Worldview Technology Partners.  Sycamore Networks has previously announced a contract to supply its optical transport platform to the company.

TERAWAVE RECEIVES $73 MILLION IN NEW FUNDING FOR ITS OPTICAL ACCESS
Terawave Communications, a start-up developing optical access solutions, raised an additional $73 million in strategic financing, bringing its total raised to date to more than $133 million.  The company's optical access platform uses Passive Optical Networking (PON) and DWDM technology.  New investors include ABB, EDB Investments, KTB Network, Presidio Venture Partners, Samsung America, Samsung Corp., Shaw Ventures Inc. and others.  http://www.terawave.com
Terawave Communications, January 11, 2001

• Terawave's passive optical networking (PON) is protocol agnostic, can operate symmetrically at 622 Mbps, and can leverage DWDM for scalability. Terawave's custom ASICs and Service Adaptive Lightpath Switching Architecture make QoS and lightpath switching decisions across the PON, allowing any granularity of bandwidth to be statistically shared among subscribers while guaranteeing a specified amount of bandwidth for each stream.
  

• Terawave is led by Ray Lin, the former co-founder and CEO of Premisys.  The company is based in Hayward, California.

SORRENTO NETWORKS AWARDED PATENT FOR OPTICAL MULTIPLEXING
Sorrento Networks was awarded a US patent for its Electronic Photonic Concentrator sub-rate multiplexing technology, which allows the aggregation of several lower speed electrical signals through time division multiplexing into one higher speed optical signal.  The company is currently shipping an EPC that multiplexes up to eight lower speed signals (Fast Ethernet, FDDI, OC-3/STM-1 or ESCON channels) onto one wavelength.   http://www.sorrentonet.com
Sorrento Networks, January 11, 2001

PROCKET NETWORKS BEGINS BETA TRIALS OF ITS INTERNET ROUTING SOFTWARE
Procket Networks announced the shipment of the first beta release of its Internet infrastructure software.  Metromedia Fiber Network was the first to begin testing.  Six other have agreed to test the software.  Product specifics have not been disclosed.  The company is based in Milpitas, California.  Investors include US Venture Partners, Redpoint Ventures, Institutional Venture Partners, and New Enterprise Associates. http://www.procket.com
Procket Networks, January 11, 2001

• Procket Networks was founded in March 1999 by Dr. Sharad Mehrotra and Dr. William Lynch, both of whom were lead designers of Sun Microsystems' latest UltraSPARC processor designs; as well as Dr. Tony Li, who previously served as a Distinguished Engineer and Project Lead at Juniper Networks.

QUALCOMM SHIPS 3G CDMA2000 1X SOFTWARE
QUALCOMM released its CDMA Technologies MSM5105 Mobile Station Modem integrated circuit and system software for 3G cdma2000 1x handsets and wireless devices, providing network operators with up to two times the voice capacity compared to IS-95A/B networks and the ability to deliver up to 153 kbps in the downlink. The first consumer products incorporating the MSM5105 solution are expected to be commercially available in the middle of calendar 2001.
http://www.qualcomm.com/cda/pr/view/0,1800,488,00.html
QUALCOMM, January 11, 2001

CANADA'S BELL MOBILITY TO TEST PACKETVIDEO'S WIRELESS MPEG-4
Bell Mobility, Canada's leading provider of wireless voice and data services, is set to launch a consumer trial of wireless multimedia services based on PacketVideo's MPEG-4 encoding, distribution and decoding software.  Trial participants will use Bell Mobility devices to receive audiovisual content, including news updates, courtesy of CTV and Sympatico, as well as content from PacketVideo's existing partners, such as music videos and movie trailers.  PacketVideo is based in San Diego, California.  http://www.pv.com/press/pr01112001.htm
PacketVideo, January 11, 2001

MOTOROLA MAKES MULTI-MILLION DOLLAR INVESTMENT IN PACKETVIDEO
Motorola Ventures made a multi-million dollar equity investment in privately held PacketVideo.  Motorola also agreed to collaborate with PacketVideo to bring full-motion video and audio content to mobile devices, including Internet-enabled wireless phones, smart phones, handheld devices, wireless personal digital assistants.   Motorola and PacketVideo intend to deliver these innovative capabilities based on the Java 2 Platform, Micro Edition (J2ME).  http://www.pv.com/press/pr01082001.htm
PacketVideo, January 8, 2001

• More than forty media and Internet companies are now showcasing their content on PacketVideo's PVAirguide. http://www.packetvideo.com/pvairguide/
  

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