CISCO NAMES IPV6 PARTNERS -- IBM, MICROSOFT, HP, SUN, MOTOROLA
Cisco Systems is working with IBM, Microsoft, Hewlett-Packard, Sun and Motorola on implementing IPv6 in hardware, software and operating systems.  Early IPv6 adopters include the wireless, gaming and home networking market segments; national research networks around the globe; and military and government bodies in the US and abroad.  Demand is expected to be strongest in the Asia-Pacific region, which owns far fewer registered IP addresses than does North America.  http://www.cisco.com 
Cisco Systems, July 11, 2001

• In May, Cisco Systems announced availability of IPv6 in Cisco IOS Software (version 12.2).  IPv6 initially was being supported in the following platforms: Cisco 800 Series Routers; Cisco 1400 Series Routers; Cisco 1600 Series Routers; Cisco 1700 Series Routers; Cisco 2500 Series Routers; Cisco 2600 Series Routers; Cisco 3600 Series Routers; Cisco 4500 and 4700 Series Routers; Cisco AS5300 and AS5400 Universal Access Servers; Cisco 7100, 7200 and 7500 Series Routers.
   
• The core set of IPv6 protocols were made in an IETF draft standard in August 1998.  Updated technical information is available at http://playground.sun.com/ipng/ 
   
• The IPv6 Forum works to build market and user awareness of IPv6. http://www.ipv6forum.com/ 
   
• 6bone is a global testbed for IPv6. http://www.6bone.net 

PMC-SIERRA ANNOUNCES NARROWBAND CROSS-CONNECT ARCHITECTURE
PMC-Sierra introduced a chip set for providing high density grooming and aggregation in Multi Service Provisioning Platforms and Voice Gateways.  Emerging services such as VoIP and metro Ethernet typically use less than the 51 Mbps available in the STS-1 time slots, thereby leaving OC-3 to OC-48 metro access fibers significantly under-utilized.  PMC-Sierra’s new CHESS-Narrowband (CHannelizer Engine for SONET/SDH) chip set grooms sub-STS-1 voice and data channels prior to transport to the core of the metro network.  The four-chip solution forms a narrowband switch fabric providing simultaneous cross connection of DS-0, NxDS-0, T1, VT1.5, E1, VT2, DS-3, E3, and STS-1 channels within the same system.  It could be used to consolidate core SONET Add/Drop Multiplexer (ADMs), Digital Cross-Connects (DCS), ATM switches, Frame Relay switches and IP routers into a single metro edge traffic grooming platform.  http://www.pmcsierra.com/pressRoom/pr/2001071101.html 
PMC-Sierra, July 11, 2001

• In March, PMC-Sierra introduced its CHESS-II (Channelizer Engine for SONET/SDH) chip set, which provides an OC-192/STM-64 optical silicon architecture for consolidating SONET/SDH equipment, IP routers and multi-service switches into a single shelf platform serving metro area networks.  The CHESS-II chip set is designed to groom STS-1 pipes in such a way that multiple services can be transported over individual OC-192/STM-64 wavelengths or multiple OC-48/STM-16 wavelengths.  The product's density and power characteristics enable platform scalability to more than 640 Gbps in a single shelf. 
   
• PMC-Sierra's CHESS-I chip set (introduced April 2000) integrates IP routing, ATM/Frame Relay switching, SONET/SDH digital cross connect/add-drop multiplexing and DWDM transport at OC-48 line rates. 

CISCO TO ACQUIRE AURORANETICS FOR RPR  SILICON – FIRST ACQUISITION OF 2001
Cisco Systems agreed to acquire AuroraNetics, a start-up developing 10 Gbps silicon for Resilient Packet Ring (RPR) systems, for up to $150 million in Cisco stock.  Cisco Systems currently offers a pre-standard version of RPR with its Dynamic Packet Transport (DPT) architecture.  The Cisco solution uses a Spatial Reuse Protocol (SRP) to optimize the efficiency of IP traffic across metro fiber networks. AuroraNetics' silicon technology for RPR uses SRP and complements Cisco's DPT products by enabling the technology to scale from the current 2.5Gbps up to 10Gbps.   Cisco plans to license AuroraNetics' silicon design to companies interested in producing 10Gbps SRP RPR-based solutions.  AuroraNetics was founded in 2000 and is based in San Jose, California.  The company has 52 employees.   http://www.cisco.com  http://www.auroranetics.com/ 
Cisco Systems, July 11, 2001

• AuroraNetics was founded by Necdet Uzun, previously a full time consultant in the Multiplex & Multi-access Technology Group of Bellcore; Nader Vasseghi, formerly Vice President of Switch Fabric operations at PLX; and Louis Saadeh, previously an executive with NEC, Chips and Technologies and Philips. 
   
• AuroraNetics’ partners include Raza Foundries and Kodiak Venture Partners.
   
• Cisco’s Dynamic Packet Transport (DPT)  is based on the Spatial Reuse Protocol (SRP), a Cisco-developed MAC-layer protocol that utilizes a dual counter-rotating, ring-based network topology, where both rings carry data and control messages, concurrently, to maximize bandwidth. For each data packet the correlating control packet is sent on a counter-rotating ring.  Instead of the timeslots and provisioned connections used in TDM structures, DPT employs statistical multiplexing to maximize the ring's carrying capacity.
   
• Cisco has submitted SRP to the IEEE 802.17 Resilient Packet Ring (RPR) Working Group for consideration as an industry standard.
   
• In January, Cisco Systems, Dynarc, Lantern Communications, Luminous Networks and Nortel Networks formed an alliance to support the standardization and market adoption of Resilient Packet Ring (RPR) technology for metropolitan fiber networks.  Resilient Packet Ring technology, which is being standardized by a new IEEE working group, 802.17, provides high-speed, survivable ring networks optimized for IP and other packet data. The RPR Alliance will support the IEEE standardization efforts by promoting industry cooperation and facilitating multi-vendor interoperability.  The group is open to all interested vendors and service providers.  http://www.rpralliance.org 
   
• The IEEE 802.17 Resilient Packet Ring Working Group  http://www.ieee802.org/ 

BELLSOUTH SELECTS SONUS FOR INTERNET CALL DIVERSION
BellSouth plans to implement a packet voice solution from Sonus Networks for offloading Internet traffic from its circuit-switched voice network.  The Sonus platform will supplement BellSouth’s existing Class 5 circuit switches, offloading modem-generated Internet traffic destined for remote access servers.  The deployment will include the Sonus GSX9000 Open Services Switch, the PSX6000 SoftSwitch, the SGX2000 SS7 Signaling Gateway and the Sonus Insight Element Management System.  BellSouth could also expand beyond the initial Internet call diversion application to deliver voice services on the same packet platform.  http://www.sonusnet.com/news/press_detail.cfm?edit_id_press=120 
BellSouth, July 11, 2001

ALCATEL TO USE TI’S DSPs IN ITS VODSL SOLUTIONS
Alcatel plans to incorporate Texas Instrument’s programmable digital signal processors (DSPs) into its central office VoDSL solution.  Alcatel currently uses TI's DSPs and Telogy Software products in its Speed Touch integrated access devices (IADs).  The agreement is now extended to include Alcatel's 7300 Advanced Services Access Manager (ASAM).  The new capabilities will enable Alcatel's 7300 ASAM to support a new set of carrier class features including tone detection and generation, voice activity detection, echo cancellation up to 128 msec, comfort noise generation and fax relay.  The 7300 ASAM's integrated VoDSL gateway will also support a range of voice encoding technologies including pulse code modulation (PCM) and adaptive differential PCM (ADPCM).  In addition, Telogy Software products support the ATM Forum BLES standard.  http://www.ti.com/sc/docs/news/2001/01124.htm 
Texas Instruments, July 11, 2001

COGENT LEASES METRO FIBER FROM LEVEL 3
Cogent Communications executed a multi-faceted agreement with Level 3 Communications covering metro fiber to Level 3 data centers and other buildings in 18 major US markets.  Financial terms were not disclosed.  Cogent is currently offering services in Washington D.C., Chicago, New York, Philadelphia, Dallas, Denver, Kansas City, Boston, San Francisco and Santa Clara, California.  http://www.cogentco.com 
Cogent Communications, July 11, 2001

• Cogent has previously disclosed a 20-year agreement with Metromedia Fiber Network (MFN) valued at more than $100 million for dark fiber in New York, Boston, Philadelphia, Washington, D.C., Atlanta, Chicago, Dallas, Houston, Seattle, San Francisco/San Jose, and Los Angeles. 
   
• Cogent Communications launched its metro Ethernet services in November, promising non-oversubscribed 100 Mbps Internet access capability at $1,000 per month.  Last year, Cogent awarded a $280 million supply contract to Cisco Systems.

STORAGENETWORKS FILES LAWSUIT AGAINST MFN OVER LEASED FIBER
StorageNetworks, a provider of outsourced data storage, filed a lawsuit against Metromedia Fiber Network Services alleging the company failed to provide the fiber optic capacity required by a fiber optic lease agreement between the two companies.
http://www.storagenetworks.com/content/media_coverage/PressReleaseDetail.cfm?pressId=107.0 
StorageNetworks, July 11, 2001

• Metromedia said it did not understand why Storage Networks does not want to lease additional fiber optic capacity under the terms of the contract and that it would defend itself against the lawsuit.
   
• In October 1999, StorageNetworks announced a 20-year, $96 million dark fiber lease agreement with Metromedia Fiber Network, giving it significant fiber reach in Metromedia's major metropolitan areas.

SPRINT AWARDS $200 MILLION CONTRACT TO MOTOROLA FOR 3G UPGRADES
Motorola will supply equipment and services for the next phase of Sprint's nationwide PCS wireless network under a six-year deal valued at $200 million.  The contract covers purchase of Motorola's base station hardware and software, smart antenna technology, new vocoders and CDMA 1X enhancements to support 3G services.  The 3G upgrades to Sprint’s existing base stations are expected to begin later this year.  http://www.motorola.com 
Motorola, July 11, 2001

• Last month, Sprint awarded a three-year deal worth up to $1 billion to Lucent Technologies for its base stations, mobile switching centers, and wireless intelligent network software.  Separately, Sprint and Nortel Networks announced agreements estimated to be worth up to approximately US$1 billion over three years for upgrades to the Nortel Networks portion of Sprint’s nationwide PCS wireless network. 

EPIK DEPLOYS JUNIPER’S M160 ROUTERS
EPIK Communications is using Juniper Networks M160 and M20 Internet backbone routers to run its IP-on-Wave OC-192c/STM-64 backbone.  The network connects 11 cities in the southeast and currently encompasses approximately 20 Juniper Networks backbone routers.  http://www.juniper.net 
EPIK Communications, July 11, 2001

MITEL NETWORKS ACQUIRES E-SMITH FOR OPEN SOURCE SERVER SOFTWARE
Mitel Networks has acquired e-smith, a provider of open-source network server software.  Financial terms were not disclosed.  e-smith’s Linux-based software allows a small office to share an Internet connection while also serving as an e-mail server, an ftp server, a proxy server and a firewall.  Mitel Networks provides IP telephony solutions.  http://www.mitel.com/news_events/press_releases_view.cfm?id=124  http://www.esmith.com 
Mitel Networks, July 11, 2001

• Mitel Networks was created in February 2001 after Mitel Corporation sold its Communications Systems division to Terry Matthews in a deal valued at C$350 million.
   
• In April, Mitel Networks named Don Smith as its chief executive officer (CEO).  Smith most recently served with Nortel Networks as president, Optical Internet Solutions. 

ECHOSTAR TAKES CONTROLLING EQUITY STAKE IN STARBAND
EchoStar Communications, the parent company of DISH Network, will invest an additional $50 million in cash in StarBand, increasing its equity stake to 32%.  EchoStar’s ownership will further increase to 60% upon commencement of the construction of StarBand's next generation satellite. EchoStar said its strategy is to offer a complete bundled package of Internet, programming and interactive television services.  http://www.dishnetwork.com 
EchoStar, July 11, 2001

• EchoStar's direct broadcast satellite TV network (DISH) currently has more than 6 million US customers. 
   
• StarBand Communications introduced a new consumer-oriented modem for its two-way satellite Internet access service in the US.  The product is multicast-enabled, allowing consumers to receive multicast-encoded data streams initially of up to 3 Mbps in addition to high-speed Internet browsing.  In the future, the multicasting capacity will increase to up to 48 Mbps.  StarBand is also changing to a wholesale distribution model under which its channel partners would take up the marketing and sales efforts to end users.  The company claims 40,000 installations since the service was introduced last year.
   
• The StarBand Internet service is currently being provided over one of two different satellites: the GE-4 satellite located at 101° west longitude (W.L.) or the Telstar 7 satellite located at 129° W.L.
   
• StarBand's other investors and strategic partners include Gilat Satellite Networks Ltd., Microsoft Corporation and ING Furman Selz Investments.

SONUS REPORTS Q2 REVENUE OF $53 MILLION, UP 27% OVER Q1
Sonus Networks reported Q2 revenues of $52.6 million, up 27% from the $41.5 million reported for Q1 2001.  Adjusted net income for Q2 was $1.2 million or $0.01 per share, excluding stock-based compensation and amortization of goodwill and purchased intangibles.  The company characterized its fiscal performance as exceptionally good, particularly in light of the currently challenging telecommunications market.  http://www.sonusnet.com/news/press_detail.cfm?edit_id_press=122 Sonus Networks, July 11, 2001

YAHOO! REPORTS RECORD TRAFFIC, FLAT REVENUES, NET LOSS
Yahoo! reported its results for its second quarter ending June 30, 2001.  During June, total unique users reached a record 200 million, and worldwide daily page views averaged 1.2 billion.  Average daily page views at Yahoo! Japan and Yahoo! Europe were 165 million and 67 million, respectively.  Globally, users spent an average of 63 minutes per month on Yahoo!, up from 47 minutes in the previous quarter.  Voice traffic on the Yahoo! network increased 7% to 1.8 billion minutes.  The company’s revenues for the quarter were $182 million compared to $273 million for the second quarter in 2000 and $180 million in the first quarter of this year.  Yahoo! reported a net loss of $49 million for the period, including $45 of restructuring and acquisition-related charges.  In the previous quarter, Yahoo! reported $8 million of net income.  http://docs.yahoo.com/docs/pr/release794.html Yahoo!  July 11, 2001

COVAD REACHES 333,000 DSL ACCOUNTS, UP 4% OVER Q1
As of June 30, Covad Communications had 333,000 DSL lines in service, up 4% over the end of Q1.  This figure does not include lines deployed on the BlueStar network, which are no longer included in Covad's line count. It also reflects the continued disconnection of subscribers as Covad ended its relationships with some of its financially troubled resellers.  The company said it continues to make progress in cleaning up the issue of distressed accounts.  http://www.covad.com/companyinfo/pressreleases/pr_2001/071101_press.shtml 
Covad Communications, July 11, 2001