Sunday, July 20, 2008

Rohati Employs Cavium's OCTEON Plus processors

Rohati Systems is using multiple Cavium OCTEON Plus MIPS64 CN58XX 4-core to 16-core processors to power its new TNS Platform. The multiple Cavium OCTEON CN58XX 4-core and 16-core processors are used for different purposes including control-plane, data-plane, security and services acceleration. The system consists of OCTEON processors as the only programmable components connected with a low-latency fabric in appliance and modular-chassis form-factors. These systems deliver a scalable family of networking systems with leading performance, granularity and security for network-based entitlement control at layer 4 to layer 7 performance of up to 40Gbps with 6 Million traffic flows. Rohati's network-based entitlement control can be transparently deployed in the data center and applied across a broad range of applications and resources including Collaborative application such as Wikis and Microsoft SharePoint, unstructured data store such as CIFS file shares, packaged applications and legacy applications, in companies of all sizes.

Cavium Networks said its processors are being designed into market-leading networking equipment such as routers, switches, Unified Threat Management appliances, Layer 4+ content-aware switches, modular chassis switches, wireless infrastructure equipment, broadband router and wireless LAN access/aggregation points.http://www.caviumnetworks.com

Rohati Secures $12 Million for its Layer 7 Network-Based Entitlement Control

Rohati Systems, a start-up based in Sunnyvale, California, has secured $12 million in a second round of funding for its high-performance network-based entitlement control (NBEC) solution. Rohati aims to simplify the way that enterprises define and enforce network policies in a highly scalable way.

The Rohati Transaction Networking System (TNS) addresses this problem by using -standard XACML (Extensible Access Control Markup Language) to define and enforce per-transaction policies across all types of users and applications. , Rohati has developed a high-performance platform enables enterprises to inspect and correlate individual transactions to network policies. The platform is powered by 16-core processors capable of providing Layer 7 intelligence on thousands of simultaneous connections/flows at wire-speed. Two models are initially offered. Products are expected to debut in July.

Foundation Capital and Matrix Partners, who also participated in the company's Series A round, are significantly increasing their commitment to Rohati. The funding brings Rohati's total amount raised to $22.6 million
  • Rohati Systems was founded by a number of former engineers from Cisco Systems, including Prashant Gandhi, Abhijit Patra, Kirti Prabhu, Anant Thakar, and Nagaraj Bagepalli. The company is headed by Shane Buckley, President and CEO, who previously served as Chief Operating Officer at Nevis Networks, Inc. a leader in network access control. Previously, he was Vice President of Worldwide Operations for Juniper Networks. Rohati is backed by Matrix Partners and Foundation Capital.

Russia's VimpelCom Expands to Cambodia

VimpelCom, which operates mobile networks in Russia, Kazakhstan, Ukraine, Uzbekistan and Tajikistan, has acquired a 90% stake in the Cambodian company Sotelco, which holds a GSM 900/1800 license and related frequencies for the territory of Cambodia. The transaction was made through the purchase of 90% of Sotelco's parent company, Atlas Trade Limited, for US$28 million from VimpelCom's largest shareholder Altimo. The remaining 10% of Atlas will stay with a local partner, a Cambodian entrepreneur. VimpelCom has also acquired a call option to purchase the 10% interest of the local partner for market value at the date of exercise of the option.
  • In September 2007, VimpelCom executed a Principal Agreement to establish a mobile telecommunications joint venture in Vietnam under the name of GTel Mobile. VimpelCom expects to invest up to $1 billion over the next several years in the development of a GSM mobile network and provide technical and operational expertise to the joint venture. The other participants in the joint venture will be a company owned by the Ministry of Public Security of Vietnam and Millennium Global Solutions Group, Inc., a U.S. company. In accordance with Vietnamese investment laws, VimpelCom will own a minority voting stake in the joint venture.

FIAT Germany Selects BT for Networking Services

FIAT Group Automobiles Germany AG has selected BT to equip their new German headquarters in Frankfurt/Main with state-of-the-art telecommunications network. The project includes the installation and operation of a Local Area Network (LAN) and an enterprise VoIP system based on the Siemens HiPath 8000 IP phone exchange (PBX). The project also includes the connection of the location to the MPLS Wide Area Network (WAN) that BT already operates for FIAT Group Automobiles Germany AG, the Internet access including firewall, and a high-speed link to the BT data center in Frankfurt where the IP PBX and the firewall are hosted.

Fidelity Access Networks Selects XO for 10Gbps High-Speed IP Transit Service

Fidelity Access, a provider of digital broadband IP services, plans to use XO Communications' High-Speed IP Transit Service to serve the growing bandwidth needs of their clients -- including large organizations and companies with more than 100,000 users. Specifically, XO will provide Fidelity Access with 10Gbps IP transit port service to deliver very high-speed connectivity to the Internet.

Fidelity Access has recently expanded its clientele and is providing its services under the federal E-Rate program that makes available discounted telecommunications services to non-profit private schools, public schools and libraries.

Sun Supplies Servers for

Sun Microsystems has been selected to provide the technology platform to NBC Universal for its Olympic web site,, during the network's coverage of the 2008 Beijing Olympics. Specifically, the site is supported by 160 Sun Fire X4450 and Sun Fire X4150 servers, which are powered by Intel Xeon processors. In the lead-up to and during the games, Sun Services will provide installation, engineering expertise and support.

Ceragon Revenues Rise 47.9% YOY -- Wireless Backhaul

Ceragon Networks, which supplies high-capacity Ethernet and TDM wireless backhaul solutions, reported Q2 revenues of $55.2 million, up 47.9% from $37.3 million for the second quarter of 2007 and 17% from $47.2 million in the first quarter of 2008. Net income (GAAP) for the second quarter of 2008 was $15.5 million or $0.42 per basic share and $0.40 per diluted share, compared to net income of $2.9 million in the second quarter of 2007, or $0.10 per basic share and $0.09 per diluted share. Net income in the second quarter of 2008, included a tax benefit of $11.2 million, reflecting mainly the future benefit of the company's net operating losses. Gross margin on a GAAP basis in the second quarter of 2008 was 33.9% of revenues. Gross margin on a non-GAAP basis in the second quarter of 2008 was 34.0% of revenues.

"The global trends driving our business continue to strengthen," said Ira Palti, President and CEO of Ceragon. "Q2 revenues exceeded expectations, setting another new record. Q2 results reflected the growth in the Asia Pacific region as well as excellent demand from our OEM customers. Our book-to-bill ratio for the quarter continues to be above one, which puts us on track to grow more than 35% in 2008. We are also encouraged by the increasing interest in our IP solutions, which is building faster that we expected. We are working on numerous opportunities, including both migration to IP and new IP-based networks."

First Communications Acquires GCI Globalcom for $58.5 Million

First Communications agreed to acquire GCI Globalcom Holdings, which delivers voice and data services for business customers in Chicago, for a total cash consideration of US$58.5 million.

Globalcom provides services to small and medium sized businesses in the Chicago market over its network of over 180 fiber route miles currently deployed in downtown Chicago and an additional 2,300 fiber route miles to be deployed during 2008 and 2009 in the suburban Chicago market. Globalcom had 2007 revenues of $55.6 million.

First Communications, which was established in 1998 by FirstEnergy and Boich Investments, is a leading facilities-based telecommunications provider specializing in advanced data and voice services for commercial customers as well as residential voice service. Its major markets include Cleveland, Pittsburgh, Columbus and Detroit.

Concurrently ,First Communications also announced the closing of $50 million in incremental term loan commitments, syndicated by JP Morgan Securities Inc. as Sole Lead Arranger and Sole Bookrunner and JP Morgan Chase Bank as Administrative Agent.

TI Posts Q2 Revenue of $3.35 billion, Down 2% YoY

Texas Instruments (TI) reported Q2 revenue of $3.35 billion, net income of $588 million and earnings per share of $0.44. In total, TI's revenue in the second quarter was in the lower half of the company's range of expectations, as were earnings per share. The company said demand slowed unexpectedly in June primarily because distributors reduced inventory levels and did not replenish them late in the quarter. Additionally, Wireless revenue declined in the quarter, continuing its first-quarter weakness.

"Our core areas of Analog and Embedded Processing delivered solid revenue growth," said Rich Templeton, TI's chairman, president and CEO. "Each grew sequentially and increased 10 percent from a year ago. These technologies are critical to thousands of different types of electronic equipment, making them some of the most attractive markets in the semiconductor industry. We believe our portfolio combined with our passion to help customers solve critical problems will drive good long-term growth."

"We believe this slower demand was due to a mix of reasons, including a weaker economic environment and greater confidence in TI's ability to deliver products within short lead times," Templeton said. "Our orders were up in the quarter and backlog grew, but we are cautious given the demand environment we just experienced. If demand strengthens as quickly as it slowed, we are well-positioned to meet it."

Guangxi Telecom Selects UTStarcom for IPTV-Based Video Advertising

Guangxi Telecom, a wholly- owned subsidiary of China Telecom, is deploying UTStarcom's "RollingStream" IPTV platform to launch a new interactive advertising system. Specifically, UTStarcom will provide Guangxi Telecom with 3,600 concurrent IPTV streams for the initial deployment of the interactive advertising system in 14 Guangxi cities. In the first phase, set-top boxes will be deployed in supermarkets, department stores, office buildings and in Guangxi Telecom's facilities in Nanning, Liuzhou, Guiling, Qinzhou, Guigang, Wuzhou, Beihai and Baise.

Global IP Solutions Releases Software Development Kits

Global IP Solutions (GIPS) released its VoiceEngine and VideoEngine Software Development Kits (SDKs) targeted at application developers, IP PBX manufacturers and service providers offering real-time voice and video.

The SDKs simplify the development of full-featured Unified Communications services with real-time voice and video capabilities by providing all the components and multimedia processing technology needed by application developers.

Brocade to Acquire Foundry Networks for $3 Billion

Brocade agreed to acquire Foundry Networks in a deal valued at approximately $3 billion. Under the agreement, Brocade will pay a combination of $18.50 of cash plus 0.0907 shares of Brocade common stock in exchange for each share of Foundry common stock, representing a total value of $19.25 (based on Brocade's closing stock price on Friday, July 18, 2008 of $8.27).

The acquisition will position Brocade as a leading provider of enterprise and service provider networking solutions. Brocade currently offers a range of Storage Area Networks (SANs) and File Area Networks (FANs) solutions. The company is based in San Jose, California.

Foundry, which was founded in 1996 and held its initial public offering in September 1999, supplies a range of enterprise and service provider switching, routing, security and Web traffic management solutions, including Layer 2/3 LAN switches, Layer 3 Backbone switches, Layer 4-7 application switches, wireless LAN and access points, metro routers and core routers. The company is based in Santa Clara, California.

Brocade anticipates financing the acquisition through a combination of cash on hand (at both companies) and approximately $1.5 billion of committed debt financing from Bank of America and Morgan Stanley Senior Funding. The deal is expected to close by the end of calendar 2008. Brocade expects the acquisition to be accretive to in FY 2009.

"We believe the industry is at an inflection point in the way enterprise and service provider networks and data centers are being architected. Customers are demanding networking solutions that meet the needs for today and can address the many advances in network convergence that are still ahead," said Mike Klayko, CEO of Brocade. "Brocade has taken an important step through this acquisition in developing a networking infrastructure strategy that will serve as the foundation for capitalizing on these dynamic opportunities."http://www.brocade.com
  • In January 2008, Brocade introduced its DCX Backbone platform featuring up to 896 ports of 8 Gbps Fibre Channel and aimed at next generation data center networks. Brocade said the new DCX provides more than five times the switching bandwidth of existing SAN directors and supports eight times as many virtual servers. Deployment options including the capability to support Fibre Channel, Fibre Channel over Ethernet (FCoE), Data Center Ethernet (DCE), Gigabit Ethernet, and iSCSI protocols.

    The Brocade Adaptive Networking services features included in the Brocade DCX enable the fabric to dynamically allocate shared resources as changes occur in the requirements of virtual servers and networked storage. If congestion occurs (or is predicted), the fabric can automatically adjust bandwidth and other resources according to defined service levels -- helping to ensure that higher-priority workloads dynamically receive the resources they need.

Foundry's Q2 Revenue Rises $161 Million, up 7% Sequentially

Foundry Networks reported Q2 revenues of $160.7 million, compared to $143.2 million in the second quarter of 2007, and compared to $150.1 million in the first quarter of 2008, an increase of 12% and 7% respectively. Net income was $18.3 million or $0.12 per diluted share, compared to net income of $15.6 million, or $0.10 per diluted share in the second quarter of 2007, and net income of $13.9 million, or $0.09 per diluted share in the first quarter of 2008.

Some highlights:

  • Revenue breakdown: US Commercial = 58.2%, Federal = 17.3%, EMEA = 14.8%, Japan = 3.1%, Rest of Asia = 6.6%

  • Technology breakdown: Layer 2/3 Switching = 50.7%, Internet & Metro Routers = 24.8%, Layer 4-7 = 8.6%, Support = 15.9%

  • Chassis revenue = 71.7%, stackable revenue = 28.3%

  • Enterprise revenue = 73.0%, service provider = 27.0%

  • Total headcount as of June 30, 2008 = 1,068

One Minute Video: What is Carrier Ethernet?


One Minute Video presented by Umesh Kukreja, Atrica -- What is Carrier Ethernet?

Jargon Buster