WORLDWIDE AOL MEMBERSHIP TOPS 30 MILLION
America Online doubled its subscription base over the last 2 1/2 years and surpassed the 30 million member milestone.  AOL membership outside the US now exceeds six million members. Last month, AOL Latin America's membership surpassed 750,000, and the AOL service in France topped the million-member milestone.  http://media.aoltimewarner.com/media/press_view.cfm?release_num=55252019
AOL, June 25, 2001

WILLIAMS TO ACQUIRE 49% OF IBEAM FOR ITS CONTENT DELIVERY NETWORK
Williams Communications will acquire a 49% stake in iBEAM, a provider of streaming media content delivery services.  Under the agreement, Williams will provide iBEAM with $20 million in cash plus $10 million worth of telecommunications services, including IP transit.  iBEAM will receive an additional $10 million from other investors.  Following the completion of the investment, Williams Communications will control 49% of iBEAM's voting stock, and will control four of iBEAM's nine seats on its board of directors.  The other new investors will hold approximately 16% of voting shares following the transaction.  Williams and iBEAM said that they plan to jointly develop new services for the streaming media market and Williams will continue to provide reselling services for iBEAM products. The companies expect the agreement to close within a few weeks.  http://www.ibeam.com/ http://www.williamscommunications.com/newsroom/newsreleases/2001/062501.html
iBEAM, June 25, 2001

• iBEAM delivers more than 100 million audio and video streams per month across its distribution network of satellite connected servers located in more than 210 networks worldwide.  iBEAM's customers include CNBC, MTVi, IBM/Lotus, Bristol-Myers Squibb, and Merrill Lynch.  IBEAM was founded in 1998, and is based in Sunnyvale, California.
• Last month, Cable & Wireless agreed to acquire Digital Island and its content delivery network for approximately US$340 million, including approximately US$49 million of net debt.  Digital Island’s corporate customers include E*TRADE, UBS Warburg, FT.com, SONY, Cisco and Microsoft.  Earlier in May, the Microsoft Network (MSN) selected Digital Island to deliver all of its online advertisements. 

FOUNDRY NETWORKS READIES ITS 3^RD GENERATION CHIPSETS
Foundry Networks announced its third generation ASICs that will power its next-generation enterprise and service provider lines, which are scheduled for introduction next month.  The new switching and routing chipsets feature integrated support for IP and IPX, Policy-Based Routing (PBR), multicast, and the ability to configure dynamic VLANs based on port, protocol or IP-subnet.  Integrated granular bandwidth management features include the ability to apply bandwidth policies at wirespeed based on port, port plus priority, or Layer 4 session flows identified by source or destination IP address, source or destination TCP/UDP port numbers and protocol type.  Foundry’s chips also include Committed Access Rate (CAR)-like bandwidth control features, and support for wire-speed rate limiting at any frame size.  HP’s Extended RMON (XRMON) technology is also integrated into the chipset to provide network monitoring, accounting and statistics capabilities.  The devices will be built using 0.18 micron technology.
http://www.foundrynetworks.com/about/newsevents/releases/pr6_25_01b.html
Foundry Networks, June 25, 2001

LEVEL 3 SIGNS EARTHLINK FOR ITS INTERNET ACCESS SERVICE
Level 3 will provide its (3)CrossRoads Internet access service to EarthLink in North America.  The Level 3 IP transit service features Destination Sensitive Billing (DSB), the industry's first pricing based on the destination of Internet traffic.  Financial terms were not disclosed.  http://www.level3.com/us/services/crossroads/
Level3, June 25, 2001

IBM BUILDS FASTEST TRANSISTOR IN SILICON GERMANIUM (SIGE)
IBM has built the world's fastest silicon-based transistor by using silicon germanium (SiGe) technology and an improved design in which electrical flow is vertical.  The “heterojunction bipolar transistor" device is expected to result in communications chips at speeds of 100 GHz within two years.  http://www.ibm.com/news/2001/06/25.phtml
IBM, June 25, 2001

BT EXTENDS REACH OF ADSL SERVICE TO 5.5 KM, SUBSCRIPTIONS AT 65,000
BT is using rate adaptation technology to extend the reach of its ADSL service to 5.5 km.  Previously, ADSL service was only available to customers within 3.5 km of an ADSL-equipped central office.  Subscribers living between 3.5km and 5.5km from the exchange will still receive the same level of service downstream (i.e. up to 500kbs) but the upstream bandwidth will vary according to the distance from the local exchange (typically from 64kbps to 250kbps).  http://www.groupbt.com/mediacentre/releases/2001/nr0140.htm
BT, June 25, 2001

• Since launch one year ago, BT has signed up 170 wholesale customers and 65,000 ADSL subscribers.
• On June 1 2001, BT Wholesale took over the end to end management of DSL.  BT Wholesale provides network services within the UK to BT Retail, BT Ignite, BT Wireless and Btopenworld, as well as to competing communication companies, network operators and service providers.

SPRINT EXPANDS DSL FOOTPRINT, TARGETS SMALL BUSINESSES
Sprint launched DSL services for small businesses in 10 additional markets, which nearly doubles Sprint's current footprint reaching a total of 22 metro areas across the US.  The company is offering a 45-calendar day installation and a 99.9% network performance guarantee.  http://www3.sprint.com/PR/CDA/PR_CDA_Press_Releases_Detail/1,1579,2880,00.html
Sprint, June 25, 2001

SIEMENS OFFERS TOOL FOR DSL SERVICE ACTIVATION
Efficient Networks, a wholly owned Siemens subsidiary, introduced several software applications to help carriers provision new DSL services.  One application analyzes the new subscriber’s computer configuration, determines compatible broadband kits from customizable parameters and initiates a broadband service order automatically.  Another application automates the tasks involved in client-side broadband service installation, and guides subscribers through the process with professionally produced videos.  http://www.efficient.com/pressroom/200106251.html
Efficient Networks, June 25, 2001

INTERNATIONAL SOFTSWITCH CONSORTIUM (ISC) OPENS INTEROPERABILITY TEST LAB
The International Softswitch Consortium (ISC) opened a lab in Santa Rosa, California to allow its members to test the interoperability of softswitches, media gateways, controllers, media servers, parsers, test boxes, OSS's and network management systems.  In addition, the Lab will be used to test within a wide variety of relevant standards including MGCP, MegaCo/H.248, SIP, H.323, MPLS, SS7, SIGTRAN and ATM.  The first interoperability event is expected to occur in Q3.  The facility is provided under a multi-year agreement with Advanced TelCom Group (ATG).  http://www.softswitch.org/
The International Softswitch Consortium (ISC), June 25, 2001

• The International Softswitch Consortium was launched in May 1999 and now claims 180 members.

UNH COMPLETES MPLS RSVP-TE TEST EVENT
Ten vendors participated in the University of New Hampshire InterOperability Laboratory’s (UNH-IOL) latest MPLS testing event.  The interoperability testing focused on the proposed IETF specification for extensions to RSVP for LSP tunnels (RSVP-TE).  Participants included Agilent, Data Connection Ltd., Foundry Networks, NetTest, NetPlane Systems, Network Associates, Riverstone Networks, Spirent Communications, Unisphere Networks and Virata.  http://www.iol.unh.edu/
UNH, June 25, 2001

MESSAGEMACHINES INTRODUCES MESSAGE SWITCH FOR CROSS-DEVICE ROUTING, ALERT AND NOTIFICATION
MessageMachines, a start-up based in Boston, introduced a messaging application server designed for cross-device routing, alert and notification across mobile phones, pagers, PDAs, e-mail, voice mail, Session Initiation Protocol (SIP) applications, Short Messaging System (SMS) messages, and instant messaging services.  The software-based MessageMachines server aims to empower users with mobile remote control of their messages.  Essentially, the product accepts text messages from, and delivers them to, a wide range of real-time communications devices and systems.  Protocol support includes WAP, SMS, SMTP, SIP, and others.  MessaMachines’ servers augment the functionality of both softswitch technology (such as IP Centrex solutions) and conventional switches on the public phone network.  http://www.messagemachines.com
MessageMachines, June 25, 2001

• MessageMachines is led by Christopher Herot, formerly Senior Director of the Mobile Communications Group at Lotus Development, where he was responsible for Lotus' Pervasive Computing strategy, Mobile Services for Domino, and extending Lotus Notes to incorporate audio, video, fax, and wireless messaging.
• MessageMachines’ technical team is led by Dr. Pascal Chesnais, formely a researcher at the MIT Media Lab, and Imran Qidwai, previously Vice President of Engineering at SoftLinx, a provider of computer telephony platforms.

SHORELINE CLOSES $30 MILLION IN NEW FUNDING FOR ITS ENTERPRISE IP VOICE
Shoreline Communications, a provider of enterprise-class IP voice systems, announced the closing of a $30 million private placement.  The company has raised $78 million since its inception in 1996.  Shoreline investors in this round, in addition to Lehman Brothers, include existing investors Crosspoint, Foundation Capital, Matrix, Norwest, JP Morgan and Charter Growth.  The company is based in Sunnyvale, California.  http://www.goshoreline.com/
Shoreline Communications, June 25, 2001

• As of March 2001, Shoreline claims 50,000 installed IP voice ports.
• Shoreline’s enterprise IP voice communication system features distributed call control software architecture that has no single point of failure.  The architecture distributes voice applications – including voice mail and automated attendant - to servers across locations, rather than centralizing applications at the network core.  Shoreline’s voice switches connect to the IP network using a 10/100Mbps Ethernet port and then communicate on a peer-to-peer basis using a Distributed Call Control Protocol (DCCP).  Shoreline provides a desktop application that integrates voice mail, calendar and database contacts with Microsoft Outlook.

SOCKEYE NETWORKS RAISES $28 MILLION FOR ROUTING BASED ON REAL TIME TRAFFIC
Sockeye Networks, a start-up based in Newton, Massachusetts, received $28 million in first round funding for its development of intelligent routing solutions that combine real-time data on global Internet conditions with proprietary local IP traffic information.  Sockeye Networks will offer a service that optimizes IP network performance, efficiency and visibility by proactively suggesting optimal paths through the Internet.  Its real-time data on global Internet conditions will be exclusively licensed from Akamai Technologies.  Focal Communications has signed up as the first trial customer.  Investors include Baker Capital, Battery Ventures, CSFB Private Equity and Polaris Ventures.  http://www.sockeye.com
Sockeye Networks, June 25, 2001

• Sockeye Networks is headed by Valeri Marks, who previously served as president and CEO of Digital Broadband Communications (DBC), a start up broadband communications provider.  Before DBC, Valeri was president and CEO of SBC Internet Services.
• Sockeye’s engineering team is led by Steven Bielagus, previously senior vice president, engineering and operations at IronBridge Networks.

LEFTHAND NETWORKS RAISES $13 MILLION FOR ITS NETWORK UNIFIED STORAGE
LeftHand Networks, a start-up developing an Ethernet based storage architecture, received follow-on funding for its Series A round, bringing the total to $13 million.  While existing networked storage solutions rely on a single network connection to a storage volume, LeftHand Networks' architecture avoids bottlenecks and increases flexibility by clustering its storage modules in parallel directly on the network itself.  Product specifics have not been disclosed.  Boulder Ventures and Sequel Venture Partners led the round, with additional funding from Ironside Ventures, Portage Venture Partners and Vista Ventures.  http://www.lefthandnetworks.com
LeftHand Networks, June 25, 2001

• LeftHand Networks is based in Boulder, Colorado in the LeftHand Valley.
• LeftHand Networks was founded by John Spiers, previously the Director of New Product Introduction at Maxtor Corporation.

CLOUDSHIELD TARGETS WIRE-SPEED PACKET PROCESSORS
CloudShield, a start-up based in San Jose, California, announced plans for a new line of packet processors capable of inspecting and managing network traffic at speeds of OC-48 and above with no significant degradation in network performance.  CloudShield’s Intelligent Packet Architecture is a combination of new network processing chip technology, custom classifiers, intelligent micro-code and proprietary fabrics.  The company has three customer beta agreements in place.  http://www.cloudshield.com
CloudShield, June 25, 2001

• CloudShield received its initial seed round funding in November 2000 from SVIC.