Saturday, October 31, 2009

Video Interview: Qwest on 100G Backbone Upgrade

Thursday, October 29, 2009

Cisco TelePresence Planned for U.N. Climate Change Conference in Copenhagen

Cisco has established a Global Climate Change Meeting Platform (GCCMP) powered by a network of Cisco TelePresence and conferencing technologies to extend the reach of the United Nations Climate Change Conference in Copenhagen (COP15). Specifically, the COP15 main conference facility, the Bella Center in Copenhagen, Denmark, will feature four Cisco TelePresence rooms, specially designed to make local and remote meeting participants feel as if they are in the same room. The rooms will be connected to 77 Cisco TelePresence rooms, the Danish Ministry of Climate and Energy, and select Danish embassies around the world at no cost to COP15 participants. In addition, the Danish government is arranging access to the UNFCCC Secretariat in Bonn, UNEP in Nairobi, the United Nations' Palais des Nations, UNICC in Geneva and U.N. Headquarters in New York City.

Earlier this year, Cisco was chosen by the Ministry of Foreign Affairs of Denmark as the official technology partner of COP15, which takes place in the Danish capital between Dec. 7 and 18.

Nortel and Ericsson Expect to Close Wireless Sale this Month

Nortel Networks and Ericsson announced an amendment of their previously announced asset sale fir substantially all of Nortel's CDMA business and LTE Access assets. Under the amendment, Nortel and Ericsson have extended to November 30, 2009 the date by which to close the sale. The parties expect to close the sale prior to such date. The parties agreed to the extension in order to allow more time for the satisfaction of closing conditions, including regulatory approvals.

Alcatel-Lucent Posted Q3 Revenue of EUR 3.687 billion, down 9.3% YoY

Alcatel-Lucent reported Q3 2009 revenues of Euro 3.687 billion, down 9.3% year-over-year and 5.6% sequentially. At constant currency exchange rates, revenue decreased 11.0% year-over-year and 3.5% sequentially. The adjusted operating income was Euro (11) million or (0.3%) of revenue, and the reported net loss (group share) was Euro (182) million or Euro (0.08) per share.

Alcatel-Lucent's CEO, Ben Verwaayen, state: "Our company continues its transformation journey. This quarter demonstrates both the relevance of our strategy through key customer wins and our capacity to consistently execute our plans with significant operational progress.

We are winning in areas of differentiation such as IP transformation, next generation broadband and wireless, application enablement and services. This is demonstrated in our wins with Qwest in merging IP and optics into a combined solution, Singapore's Nucleus Connect in application enablement, and the securing of LTE trials with France Telecom-Orange, Telefonica and Etisalat, bringing our total number of LTE trials to 16.

We have achieved significant operational progress. We are rapidly reshaping our cost and expense structure, having achieved 80% of our Euro 750 million target in annualized savings year to date. We generated Euro 362 million in free cash flow this quarter by improving our operating working capital metrics. Finally, robust investor reception to our Euro 1 billion convertible bond offering allowed us to further strengthen the balance sheet.

Against what remains a challenging market environment, we reiterate our view that our addressable market should be down between 8% and 12% at constant currency and that we will achieve an adjusted2 operating income1 around breakeven this year."

Some highlights:

  • The carrier segment saw a double-digit decline in revenue, driven by 2G wireless access, TDM switching and terrestrial optics. The segment did see moderate growth in fixed broadband access, good growth in IP and strong growth in submarine optics, fixed NGN/IMS and W-CDMA.

  • Enterprise revenue continued to decline at a double-digit rate. Applications software revenues grew at a strong double-digit rate and finally Services revenues grew at a low single-digit rate.

  • From a geographic standpoint and in local currencies, revenue declined at a double-digit rate in both Europe (-13%) and in the rest of the world (-32%). On the other hand, revenue declined slightly in Asia Pacific (-1%). Finally, North America returned to moderate growth this quarter (+1%).

  • The company estimates that it has achieved approximately 80% of its plan to reduce costs and expenses by Euro 750 million on an exit run rate by the fourth quarter 2009.

  • Alcatel-Lucent reiterated its guidance for 2009. The company continues to expect the global telecommunications equipment and related services market to be down between 8% and 12% at constant currency in 2009.

NTT Comm Completes Acquisition of Pacific Crossing Limited

NTT Communications Corporation (NTT Com) completed its previously announced acquisition of Pacific Crossing, which operates the PC-1 trans-Pacific undersea cable network. The deal was first announced in May.

By combining PC-1 capacity with NTT Com's vast domestic and international network, NTT Com can offer customers, both in the enterprise and carrier markets, the highest quality network services between Asia, Japan and the United States.

NTT Com will retain the Pacific Crossing management team and Pacific Crossing will continue as a business within the NTT Com group selling network capacity in the wholesale carrier marketplace. Pacific Crossing's customers will see an immediate extension of network reach beyond PC-1 with extended domestic capability in Japan and the US as well as the ability to leverage NTT Com's international network to offer turnkey solutions for Asia to US connectivity.
  • Pacific Crossing's PC-1 network is the second-largest trans-Pacific subsea cable system, spanning 21,000 km and connecting the U.S. and Japan. The system has landings at Harbour Pointe, Washington (near Seattle); Grover Beach, California (between San Francisco and Los Angeles); Ajigaura, Japan (near Tokyo); and Shima, Japan (near Osaka and Nagoya). The network offers extensive backhaul into major U.S. and Japanese cities.

  • Pacific Crossing recently added Gigabit Ethernet access support for its carrier and ISP customers. Pacific Crossing's new service allows customers to access the PC-1 network using a standard Gigabit Ethernet interface at the company's four Points-of- Presences in the U.S. and cable landing stations in both the U.S. and Japan. For customers in Japan, Pacific Crossing also has the ability to offer access directly to a customer's premise through a domestic partner network.

  • In March 2008, Fujitsu and Pacific Crossing completed an upgrade project that more than doubles the capacity of the 21,000-kilometer PC-1 trans-Pacific fiber optic submarine cable network. The project, which began in September 2007, involved the installation of Fujitsu's FLASHWAVE S650 submarine wavelength divisional multiplexer equipment in Pacific Crossing's cable landing stations, and the upgrade of the overall capacity to 1.98Tbps, of which 1.01Tbps is available on the two Trans-Pacific segments. The six-month contract was completed without any disruption to existing network traffic.

  • In January 2007, Pacific Crossing raised $50 million in new financing to pay off its remaining debt and finance new projects. The company also announced the appointment of Robert Boss as CEO and Robert Annunziata as Chairman. Boss previously was president of Japan Telecom America. Annunziata has served in a numerous executive positions throughout the telecom industry, including as CEO of Global Crossing during most of 1999.

  • In January 2006, Pacific Crossing Ltd, Inc., a former subsidiary of Global Crossing and of the former Asia Global Crossing (now Asia Netcom), emerged from Chapter 11 bankruptcy proceedings. Over $650 million of existing debt was converted into equity and $25 million in secured debt.

Corning Cable Systems Standardizes on Bend-Insensitive ClearCurve Multimode Fiber

Corning Cable Systems, part of Corning's Telecommunications segment, has standardized on Corning ClearCurve multimode fibre as its new standard product offering for all 50 micron LANscape cables and cable assemblies.

LANscape cables with ultra-bendable performance offer a minimum bend radius as small as five times the outer diameter of the cable in some designs, compared to 10 times in traditional cables. Thus, tight bend situations experienced in LAN and data centre environments that would result in elevated attenuation with traditional 50 micron cables and adversely impact system performance, experience minimal attenuation increase with the new LANscape cables enabled by ClearCurve multimode fibre.

Corning first introduced ClearCurve multimode fibre in January 2009. ClearCurve multimode fibres are compliant and fully backwards compatible with relevant OM2, OM3 and OM4 industry standards for high-bandwidth, laser-optimized multimode fiber.

In April 2009, Corning Cable Systems introduced the Pretium Low-loss OM3 Jumpers with ultra-bend performance, which can greatly reduce outages and degradation in systems caused by severe bending situations.

In June 2009, Corning Cable Systems announced its Evolved-Density Growth-Enabled (EDGE) suite of data centre products enabled by ClearCurve multimode fibre.

UTStarcom Unveils MPLS-TP Transport Solution

UTStarcom has expanded its NetRing Transport Network product portfolio (NetRing TN), which includes new MPLS - Transport Profile (MPLS-TP) solutions designed to overhaul existing mobile backhaul networks, provide Ethernet services and deliver broadband aggregation applications. MPLS-TP is pre-standard technology being jointly defined by ITU-T and IETF.

UTStarcom's NetRing TN packet-based optical transport system is designed for applications such as carrier mobile backhaul, metro Ethernet services for enterprise and DSLAM and X-version of passive optical network (xPON) aggregation. It is capable of carrying time division multiplexing (TDM), ATM, SDH/SONET and Ethernet seamlessly over a reliable and scalable network, with resiliency at par with TDM networks. It also enables legacy enterprise services over Ethernet, providing 'wholesale' connectivity and an alternative for leased lines.

"Packet transport networks (PTN) are an emerging segment of the overall optical transport market that can specifically address the evolution of new enterprise services and the subsequent challenges of packet traffic growth, increased bandwidth pressure and the need to improve ARPU," said Peter Blackmore, CEO and president of UTStarcom. "UTStarcom has invested in the development of this expanded TN portfolio to ensure our customers have an effective migration path to PTN. We are confident that this portfolio will deliver that long-term."

Chunghwa Telecom Reaches 1.5 Million FTTH Subscribers, ADSL Declines

Taiwan's Chunghwa Telecom reported Q3 revenue of NT$50.1 billion, down 1.7% compared to a year earlier. Mobile communications business revenue decreased by 2.5% to NT$22.1 billion, while Internet business revenue decreased by 0.1% to NT$5.8 billion. Domestic fixed communications business revenue decreased by 2.6% to NT$17.7 billion. International fixed communications business revenue increased by 4.0% to NT$4.1 billion.

For the first nine months of 2009, total consolidated revenue decreased by 3.0% to NT$147.2 billion.

Dr. Shyue-Ching Lu, Chairman and Chief Executive Officer of Chunghwa Telecom said, "In 2009, and particularly in the third quarter of 2009, we have maintained or increased the subscriber figures in each of our core businesses, including the highly competitive broadband and mobile businesses, despite the challenges presented by the economic environment and market competition. As a result, we have sustained our overall market leadership position in each of our core service areas, and continue to enhance our value-added services, MOD/IPTV offering and key enterprise solutions. Moving forward, we plan to accelerate our fiber deployment and further enrich our MOD/IPTV content in order to continue our growth momentum.

Some additional highlights:

  • Total broadband subscribers were 4.31 million as of September 30, 2009, a 0.4% decrease in the number of subscriptions compared to the same period of last year.

  • There was a strong growth in FTTx subscriptions, with 165 thousand net additions to bring the total to 1.51 million, compared to 1.34 million FTTx subscribers as of June 30,

  • However, ADSL subscribers decreased by 161 thousand to 2.80 million quarter-over-quarter. By the end of September 2009, the number of ADSL and FTTx subscriptions with a service speed of greater than 8 Mbps reached 1.91 million, representing 44.4% of total broadband subscribers, compared to 34.8% at the end of September 2008.

  • HiNet subscribers were 4.07 million at the end of September 2009, relatively stable as compared to the end of the second quarter of 2009.

  • The increase in HiNet FTTx subscribers was offset by a decrease in HiNet ADSL subscribers of a similar magnitude.

  • As of September 30, 2009, Chunghwa had 9.18 million mobile subscribers, slightly up quarter-over-quarter by 1.6% compared to 9.04 million as of June 30, 2009.

  • Chunghwa remained the leading mobile operator in Taiwan. According to statistics published by National Communications Commission (NCC), at the end of August 2009, the Company's total subscriber market share (including 2G, 3G and PHS) was 34.5%, while its revenue share was 33.0%.

  • Chunghwa had 384 thousand net additions to its 3G subscriber base during the third quarter of 2009, recording a 9.4% rise quarter-over-quarter in the total number of 3G subscribers to 4.49 million as of September 30, 2009.

  • Mobile VAS revenue for the first nine months of 2009 was NT$6.18 billion, representing a 18.8% year-over-year increase, of which SMS revenue was up 12.9% and mobile Internet revenue was up 48.1% , respectively, compared to the same period of 2008.

Wednesday, October 28, 2009

France Telecom Reaches 189 Million Customers, Revenue Declines

France Telecom reported revenues of EUR 38.1 billion for the first nine months of 2009, an increase of 0.4% excluding the impact of regulatory measures (down 1.6% on a comparable basis). EBITDA margin was 35.1%, down 0.7 points compared with the first nine months of 2008 as the company trimmed spending. The ratio of CAPEX to revenues was 9.8%, down 1.8 points compared with the first nine months of 2008 (11.6%). Q3 revenues were 12.686 billion euros, a decline of 6.4% on an historical basis compared with the third quarter of 2008, of which -2.8 points was related to the unfavorable impact of exchange rates

France Telecom Chairman and Chief Executive Officer Didier Lombard stated: "Against a backdrop of difficult economic, social and regulatory
conditions, the Group is proving its ability to maintain its performance.

Some highlights for quarter:

  • The Group had 189.1 million customers at 30 September 2009 (excluding MVNOs), up 6.6% year on year with 11.7 million additional customers (net of contract terminations) compared to 30 September 2008.

  • Growth in the number of mobile customers continued rising to 128.8 million customers at 30 September 2009 (excluding MVNOs), a year-on-year increase of 9.5% or 11.2 million additional customers (net of contract terminations). There were 3.3 million additional mobile customers in Q3. At the same time, the MVNO customer base in Europe rose 35.5% to 3.8 million customers at 30 September 2009 (including 2.1 million customers in France), compared with 2.8 million customers a year earlier (including 1.7 million customers in France).

  • Growth in ADSL broadband services1 continued to be strong with 13.4 million customers at 30 September 2009, an increase of 6.0% year on year. Broadband usage was also up sharply (at 30 September 2009) with:

    2.9 million digital TV subscribers (IPTV and satellite), a 67% increase year on year;

    7.3 million Voice over IP subscribers, an increase of 22% year on year; and

    8.5 million Livebox subscribers, an increase of 14% year on year.

  • Revenues from traditional telephone services (subscriptions and traditional telephone communications) fell 10.3%, reflecting the 9.1% year-on-year decrease of traditional consumer telephone subscriptions (18,368 million at 30 September 2009).

  • The decrease in CAPEX reflects the slowdown in investment related to 2G and 3G mobile network capacity expansions and slower growth in fixed broadband services in the European countries.

  • CAPEX as a proportion of revenues should remain at less than 12% for 2009 as a whole. Capital expenditure will be higher in the fourth quarter due to normal seasonality.

Packet Design Signs OEM with Juniper

Packet Design has signed an Original Equipment Manufacturer (OEM) agreement with Juniper Networks. Specifically, Juniper will integrate Packet Design's route analytics products into the new Juniper Networks Junos Space network application platform. The new Route Analyzer product will provide management visibility that helps network engineers with troubleshooting, monitoring and planning for large IP/MPLS networks.

CableLabs Issues Technical RFI For Online TV Service

CableLabs issued a request for information (RFI) to define elements for a common technical approach that would enable consumers to have secure on-line access to subscription video services delivered by any provider. Cable operators are currently testing such services. These include "TV Everywhere" by Time Warner Cable and "On Demand Online" by Comcast.

Cablelabs said it is seeking to define the technical requirements and architecture necessary to enable on-line access to subscription cable TV video services involving both multiple programmers and multiple multichannel video programming distributors (MVPDs). A goal is to use existing standards and specifications.

"We are issuing this RFI at the strong urging of our members," noted CableLabs President and CEO Dr. Paul Liao. "It is their belief that a common technical approach will offer greater choice to consumers, and will enable competition among technology providers to support the market," he added.

Juniper Opens Junos Space and Junos Pulse to Developers

Juniper Networks unveiled an open cross-network software platform that allows customers to directly program multiple layers of their networks for rich user experiences, smart economics and fast time to market. This is accomplished using Juniper's Junos network operating system, a new "Junos Space" network application platform and a new "Junos Pulse" integrated network client.

Juniper first opened up the Junos operating system in 2007, delivering a software developer's kit. Junos Space (available today) and Junos Pulse (available in first half 2010) extend that intelligence across the network and to endpoint devices.

Junos Space is an open development and deployment platform for network applications, which enable customers and third-party developers to simplify network operations, automate support and accelerate service delivery. Junos Space initially ships as a platform with three applications:

  • Ethernet Activator, which enables customers to quickly create and activate services, including activation of VPN services up to 10 times faster than competitive products;

  • Route Analyzer, which provides DVR-like recording and playback capability to plan, simulate and troubleshoot MPLS networks;

  • Service Now, which speeds resolution of service issues by having Juniper systems "call" Juniper support experts with troubleshooting data and details, saving valuable time for both customers and service technicians.

Junos Pulse is a new integrated multi-service network client, which reduces the number of client applications that need to be distributed and supported -- and hides security complexity to deliver a better experience for users wherever they are. Junos Pulse will provide location-aware and identity-aware access to networks, including enterprise access controls, remote SSL VPN access and WAN acceleration that are currently available from Juniper in separate network clients. By bringing several products together in a single standards-based client, Junos Pulse will provide network users with a consistent, convenient experience that masks the complexities of security and mobility protocols -- regardless of their location or access device. Junos Pulse will support the Trusted Network Connect (TNC) open standards and specifications.

Juniper Boosts MX Edge Routers with 3D Cards -- Outlines Project Falcon

Juniper Networks will leverage its new Trio silicon to bring "3D" scaling to create a new class of "universal" edge routing. This is accomplished with new modular line cards, new applications and new metro aggregation routers for its existing MX Series of routers.

The new 3D line cards will double capacity for the MX240 model, or triple capacity for the MX480 and MX960. This pushes the maximum edge routing capacity of the MX960 to 2.6 Tbps per chassis. Juniper is also adding a smaller MX80 with 80 Gbps of capacity in a 3U model. This will be available in a modular version as well.

Juniper said the MX960 3D will now offer 4x the capacity as the Cisco ASR 9010, or 2.6X the capacity as the Alcatel-Lucent SR-12.

The new line cards include:

  • MX 3D Universal Edge Line Card: based on a flexible GE / 10GE configuration.

  • MX 3D 100GbE Line Card: edge routing with line-rate 100GbE performance for edge uplink, inter-data center and high-bandwidth aggregation.

  • MX 3D Aggregation Line Card: a 120 Gbps card with the highest 10GE density for aggregation, video distribution, data center and edge routing.

Juniper will start to ship the products in December.

In addition, two new third-party applications being developed on the Junos operating system and Juniper's MX Series: an Active Broadband Networks application for monitoring cable bandwidth and usage to improve cable subscriber experiences; and an Ankeena Networks application for video streaming and caching to enable low-cost, TV-like viewing.

Kim Perdikou, executive vice president and general manager of Juniper's Infrastructure Products Group, said the significance of 3D Scaling goes beyond the bandwidth booth. The technology enables the router to be re-configured through the Junos operating system to optimize the network for service/subscriber requirements. For instance, a platform could be optimized to handle huge number of mobile data users with light traffic volume or smaller number of broadband users downloading HD video.

For the mobile market, Perdikou observed that competitors have introduced a number of point products for edge routing in wireless networks. However, Juniper believes these are limited by bandwidth, scaling of users, security concerns, etc. The company is positioning its 3D routing technology as a "universal" edge, enabling the router to adapt to mobile or wireline requirements, rather than pursue a purpose-built router for this application. Currently, about 70% of the software functionality needed for such a mobile edge router currently runs on the Juniper solution.

Earlier this year, Juniper kicked off "Project Falcon," which aims to deliver 3D universal edge mobility using the Trio chipset. This will be a mobile packet core solution capable of handling subscriber management, billing, etc.

Sprint Subscriber Loss Narrows in Q3, Data ARPU Up

Sprint Nextel reported Q3 net operating revenues of $8.0 billion, a net loss of $478 million and a diluted loss per share of 17 cents. The company generated free cash flow of $664 million in the quarter and $2.1 billion year-to-date in 2009. As of September 30, 2009, the company had $5.9 billion in cash, cash equivalents and short-term investments and $1.6 billion in borrowing capacity available under its revolving bank credit facility, for total liquidity of $7.5 billion.

Sprint lost a total of 135,000 net retail subscribers in the quarter. The company's year-over-year post-paid gross addition improvement was the best in Sprint Nextel history, and the sequential improvement was the best in more than five years. Net post-paid subscriber losses have improved by approximately 20 percent in each of the second and third quarters of 2009.

"Sprint achieved its best net retail subscriber results in more than two years and improvement in both post-paid and prepaid gross subscriber additions in the third quarter," said Dan Hesse, Sprint Nextel CEO.

Some highlights for Q3:

  • Sprint served 48.3 million customers at the end of the third quarter of 2009, compared to 48.8 million at the end of the second quarter of 2009. This includes 33.6 million post-paid subscribers (25.0 million on CDMA, 7.8 million on iDEN, and 870,000 Power Source users who utilize both networks), 5.7 million prepaid subscribers (5.2 million on iDEN and 500,000 on CDMA) and 8.9 million wholesale and affiliate subscribers, all of whom utilize the company's CDMA network.

  • For the quarter, net retail subscribers declined by a total of 135,000 and net wireless customers declined by approximately 545,000, including net losses of 801,000 post-paid customers -- comprising 271,000 CDMA and 530,000 iDEN customers (including a net 64,000 customers who transferred from the iDEN network to the CDMA network). The company gained a net 801,000 prepaid iDEN customers, offset by net losses of 135,000 prepaid CDMA customers. The company also experienced a net loss of 410,000 wholesale and affiliate subscribers as a result of subscriber losses from our mobile virtual network operators and deactivation of open machine-to-machine devices that had been activated in the second quarter but may not be utilized.

  • More than 9% of post-paid customers upgraded their handsets during the third quarter, a slight increase sequentially, resulting in increased contract renewals.

  • Post-paid churn in the quarter was 2.17% compared to 2.15% in the year-ago period and 2.05% in the second quarter of 2009. The sequential increase is due to seasonality and heightened competition.

  • Prepaid churn in the third quarter of 2009 was 6.65%, compared to 8.16% in the year-ago period and 6.38% in the second quarter of 2009.

  • Wireless service revenues for the quarter of $6.3 billion declined 8% year-over-year and 2% sequentially. The year-over-year and sequential decline is due to fewer post-paid subscribers, partially offset by more prepaid subscribers.

  • Wireless post-paid ARPU has been stable for the past seven quarters at approximately $56, primarily due to continued growth in fixed-rate bundled plans such as Simply Everything, offset by declines in usage and roaming.

Bytemobile and Camiant Test Mobile Broadband Interoperability

Bytemobile and Camiant announced a joint interoperability partnership that will focus on integrating Bytemobile's Unison Mobile Internet Platform and Camiant's Multimedia Policy Engine (MPE) to deliver intelligent traffic management solutions for mobile broadband services including LTE. Bytemobile and Camiant solutions are compliant with the Policy and Charging Control (PCC) architecture defined by 3GPP.
These solutions enable operators to provide:

  • Tiered service plans to monetize the diversity of traffic mix and application usage

  • Dynamic, widget-based applications and customer notification mechanisms to maximize the utility of operators' services and assure customer understanding

  • An improved customer experience through the addition of intelligence to existing services, particularly mobile video services

Motorola Posts Q3 Sales of $5.5 Billion, Returns to Profit

Motorola reported Q3 sales of $5.5 billion and GAAP earnings from continuing operations of $12 million, or $0.01 per share. Total cash at the end of the third quarter was $7.2 billion, an increase of $700 million compared to the end of the second quarter. The Company generated $616 million of positive operating cash flow during the quarter and expects to continue to generate positive cash flow in the fourth quarter.

Some highlights:

  • Mobile Devices segment sales were $1.7 billion, down 46 percent compared to the year-ago quarter. The GAAP operating loss was $183 million, compared to an operating loss of $840 million in the year-ago quarter. The segment reduced its operating loss by 28 percent sequentially from $253 million in the second quarter of 2009. Additionally, Motorola hipped 13.6 million handsets during the quarter, giving it an estimated global handset market share of 4.7 percent. The company also announced its DROID smartphone based on Android 2.

  • Home and Networks Mobility segment sales were $2.0 billion, down 15 percent compared to the year-ago quarter. GAAP operating earnings were $199 million, compared to operating earnings of $263 million in the year-ago quarter. Motorola shipped 3.3 million digital entertainment devices during the quarter. Motorola also shipped its 1 millionth WiMAX device.

  • Enterprise Mobility Solutions segment sales were $1.8 billion, down 13 percent compared to the year-ago quarter. GAAP operating earnings were $306 million, compared to operating earnings of $403 million in the year-ago quarter.

Motorola expects fourth-quarter earnings from continuing operations to rise to $0.07 to $0.09 per share.

In addition, Motorola appointed Edward J. Fitzpatrick as its CFO, effective immediately. He has been serving in that role since February. Previously, he served as corporate vice president of finance for Motorola's Home & Networks Mobility business.

Eutelsat's Tooway Satellite Selected for Ireland's National Broadband Scheme

Eutelsat's satellite broadband service has been chosen under Ireland's National Broadband Scheme to deliver broadband to homes and businesses in rural Ireland.

Tooway distributor Satellite Broadband Ireland will deliver the service under its recently won contract from 3, the leading Irish mobile broadband provider running the National Broadband Scheme on behalf of the Irish Government. Under the scheme, Tooway's satellite broadband service will be delivered to up to 5% of the 223,000 targeted buildings across rural Ireland. Those qualifying under the scheme will receive Tooway's 3.6 Mbps broadband service for EUR 19.99 per month, following a one-off EUR 49.00 installation & hardware charge.

The National Broadband Scheme sees an estimated EUR 223 million investment by 3, of which a maximum of EUR 79.8 million will be contributed by the Irish Government and EU, to provide broadband services to the designated electoral districts covered by the scheme.

NSN Tests LTE interoperability with four Device Vendors

Nokia Siemens Networks is conducting end-to-end LTE interoperability testing with four leading device vendors across several frequency bands, including AWS, 700 MHz and 2100 MHz. The tests cover several steps in end-to-end network configuration based on commercial LTE hardware, including the Flexi Multiradio Base Station and the Evolved Packet Core, and standard compliant software.

Nokia Siemens Networks recently completed successful calls with end to end LTE network infrastructure and LTE terminals. The company said this milestone shows the interoperability of the Nokia Siemens Networks LTE radio and Flexi NS and Flexi NG evolved packet core network elements with real LTE terminals, and end to end compliancy with the LTE standard (3GPP March 09 baseline specifications). The end-to-end calls were conducted in Nokia Siemens Networks LTE center of competence in Dallas in close cooperation with research and development sites in Ulm and Oulu. Nokia Siemens Networks also recently announced having conducted the world's first LTE call and handover using commercial base station and fully standard compliant software.

In addition, NSN noted that it has shipped LTE compatible Flexi Base Station hardware to over 100 operators, and deployed Direct Tunnel functionality, a precursor to Evolved Packet Core, in over 65 networks.

Juniper Outlines Vision for the "New Network"

In what it describes as the most significant product and technology launch in its 12-year history, Juniper Networks unveiled new software, silicon, systems and partnerships designed to propel the "new network" for enterprise and service provider customers.

The launch event, which coincides with the Internet's 40th anniversary, outlines a future of networking that is open, scalable, simple, secure and automated to address the exploding scale of Internet services for personal and business productivity. Key elements of the Juniper launch include:

  • New Junos software: An open cross-network software platform that allows customers to directly program multiple layers of their networks for rich user experiences, smart economics and fast time to market. The new Junos software platform includes the popular Junos network operating system, the new Junos Space network application platform and new Junos Pulse integrated network client -- all built with the same core design principles, integration approach and development discipline.

  • New Junos-based silicon and systems: A new Junos One family of processors, including the Junos Trio chipset with revolutionary 3D Scaling technology. 3D Scaling enables networks to dynamically support more subscribers, services and bandwidth -- all at the same time. Junos Trio will be delivered in new modular line cards and new 3.5-inch routers for Juniper MX Series, providing two to four times faster throughput than the competition -- up to 2.6 terabits per second -- while using half as much power per gigabit2.The MX 3D products will offer the industry's first "universal edge" with 3D Scaling for delivery of business, residential and mobile services at massive scale on a single network.

  • New Junos-based solutions: Juniper unveiled new cloud networking and security solutions based on the Junos software platform and Juniper systems. The solutions are built upon Juniper's simplified data center network architecture to help customers share and secure their infrastructures while delivering and accessing cloud-based services.

  • New Junos-based partnerships: Juniper announced new go-to-market partnerships with Dell and IBM to deliver Juniper systems as part of their cloud-ready data center solutions. Juniper also announced its first-ever Junos software licensing partnership with Blade Network Technologies, which will develop future blade switches based on the Junos operating system. Juniper also announced several partners who have built or are building applications based on Junos software, including Active Broadband Networks, Ankeena Networks, Harris Stratex, Packet Design, Q1 Labs, Telchemy, Telecom Italia and Triveni Digital.

"Networks are now clearly the hub of business and community around the world, and that's driving massive scale requirements for the next decade," said Kevin Johnson, Juniper's chief executive officer. "Driven by our mission to connect everything and empower everyone, Juniper believes it's time for a new approach to networking. An approach based on smart systems and open software platforms. An approach that adapts to changing business dynamics. An approach that embraces partnership and unleashes innovation. Today is an historic day for Juniper, as we stand tall with our partners and customers to jumpstart the new network."

Juniper's Junos Trio Chipset with 3D Scaling Packs 1.5 Billion Transistors

Representing its fourth generation of purpose-built silicon, Juniper Networks unveiled its "Junos One" family of processors that will be embedded into a broad array of Juniper's future routing, switching and security products. The first product in the set is the "Junos Trio" chipset that features 3D Scaling technology that enables networks to scale dynamically for more bandwidth, subscribers and services while using half as much power per gigabit. Juniper said the new chipset includes more than 30 patent-pending innovations in silicon architecture, packet processing, quality of service and energy efficiency.

Unlike traditional application-specific integrated circuits (ASICs) and network processing units (NPUs), Junos Trios leverages customized "network instructions" that are designed into silicon to maximize performance and functionality, while working closely with Junos software to ensure programmability of network resources.

Built in 65-nanometer technology, Junos Trio includes four chips with a total of 1.5 billion transistors and 320 simultaneous processes, yielding total router throughput up to 2.6 terabits per second and up to 2.3 million subscribers per rack -- far exceeding the performance and scale possible through off-the-shelf silicon. Junos Trio includes advanced forwarding, queuing, scheduling, synchronization and end-to-end resiliency features, helping customers provide service-level guarantees for voice, video, and data delivery. Junos Trio also incorporates significant power efficiency features to enable more environmentally conscious data center and service provider networks.

The Junos Trio chipset is used in Juniper's new MX 3D products that provide "universal edge" routing for business, residential and mobile services at massive scale on a single network. The new products include new modular line cards, new applications and new metro aggregation routers for Juniper's MX Series routers.

The company noted that it invested $80 million over the last five years to develop Junos Trio.

Tuesday, October 27, 2009

Alcatel-Lucent Introduces Compact 7750 Service Routers

Alcatel-Lucent is extending its 7750 Service Router (SR) family with the introduction of two new routers, the 7750 SR-c12 and 7750 SR-c4, designed to bring service routing to smaller nodes in the network and also enable mission-critical verticals such as utilities, transportation, healthcare, public safety, and financial institutions.

The Alcatel-Lucent 7750 SR-c12 measures 5 RU in height and offers 3 horizontal slots (2 MDA or 4 CMA per slot). The Alcatel-Lucent 7750 SR-c4 is 3 RU in height and offers 1 horizontal slot (supports 2 MDA or 4 CMA).

Both products are fully featured multiservice routers that leverage the same FP2 chipset and suite of applications as the larger platforms in the 7750 Service Router line. Alcatel-Lucent's FP2 chipset delivers sophisticated and optimized network processing and traffic management at speeds up to 100 Gbps. For these smaller 7750 platforms, the processing capacity of the FP2 chipset is shared across the backplane rather than dedicated to single slots. Both platforms deliver up to 90 Gbps of forwarding capacity and can support edge routing interfaces speeds of up to 10GigE with QoS, a highly scalable control plane, and native IPv6 support in hardware.

Both the 7750 SR-c12 and 7750 SR-c4 offer proven high availability features including non-stop routing, non-stop services, Multi-Chassis-LAG, Multi-link PPP and pseudowire redundancy, and support a wide range of both legacy and Ethernet interface types ranging from T1/E1 cards to 10GigE.

Support for Synchronous Ethernet (1588v2) enables deployment of either platform in mobile backhaul applications for LTE. Additionally, ML-PPP, ATM IMA, and CES interfaces could be used for 2G/3G mobile backhaul.

Both platforms also run under the Alcatel-Lucent Service Router Operating System (SROS), a single, feature rich operating system which runs across all service router platforms, and the Alcatel-Lucent 5620 Service Aware Manager (SAM) providing integrated element, network, and service management to enable seamless operations, administration and management (OAM) and simplified, consistent services delivery.

Alcatel-Lucent noted that its IP/MPLS solution has now been deployed by 280+ customers in over 100 countries.

Indonesia's Indosat Targets Location-Based Services, 21 Mbps HSPA+

Indosat, Indonesia's second-largest telecom operator, is working with Ericsson to bring location-based services to its 29 million subscribers. Applications for enhanced location based services are already available for any handset - meaning Indosat can reach all its customers from the launch in October 2009.

Separately, Indosat announced the launch of 3.5G HSPA+ services with downlink speeds of up to 21 Mbps.

Telstra Updates Strategy, Confirms Financial Guidance

Telstra confirmed its financial guidance for 2009/10, reiterating that it expects to achieve free cash flow of $6 billion, low single digit growth in revenue, EBITDA and EBIT, and maintain its EBITDA margin.

Telstra's newly appointed CEO, David Thodey, said his strategy refresh would not lead to a fundamental change in the company's direction, but that recent investments in upgraded technology should now be used to substantially improve customer service, expand further into developing and adjacent businesses, and offer online applications that are valued by customers. The company also confirmed that its four year-long transformation has largely been completed, giving Telstra world-class IT systems, platforms and infrastructure - like its Next G and Next IP networks.

Specifically, Thodey told investors that Telstra would take advantage of its recent network and IT upgrades to:

  • Substantially improve customer service by making it faster, easier and simpler for customers to deal with Telstra.

  • Move 'up the value stack' by participating in the profitable and fast-growing markets for online content, applications, products and services.

  • Expand further into adjacent and complementary markets like IT storage, security and web-hosting that support the growth of enterprise, government and small business customers.

  • Add value to fixed-line telephone services with devices like T-Hub, a new touch-screen home phone that combines telephony, Internet services and a media player.

Thodey said Telstra supports the Australian government's NBN vision, but that any deal must be in the best interests of the company and its shareholders. He will not agree to proposals that "fail to give fair value for Telstra's assets." Thodey said the issues of functional and structural separation are complex and the government's proposed timelines are not yet clear, but that Telstra remains in constructive discussions. Several outcomes are possible.

Mr Thodey also confirmed that Sensis and Telstra Media remain core assets and are performing well, and that Telstra would further develop its new media businesses in China and selectively invest around its Asian businesses.

"Despite Telstra's strengths we do not take our success for granted, but we believe that technology leadership and improved customer service will help us win and retain customers, grow the business and deliver shareholder value," Thodey said.

A webcast of the investor conference is online.

Champlain Telephone Picks ADTRAN

The Champlain Telephone Company, a leading independent service provider serving New York, has selected ADTRAN's flagship product, the Total Access 5000 Multi-Service Access and Aggregation Platform (MSAP) to enhance its residential and commercial service delivery. Financial terms were not disclosed.

Qwest Posts Q3 Revenue of $3.1 Billion, See Improving Trends

Qwest Communications reported total operating revenue of $3.1 billion in the third quarter. Strategic services revenue of $1.1 billion increased by 5 percent year over year and 1 percent sequentially reflecting higher demand for IP services. Legacy services revenue of $1.7 billion decreased 14 percent annually and 3 percent sequentially. Fewer access lines, from a weak economy and competition, and efforts to improve Wholesale long-distance profitability pressured legacy voice revenue. Customer transitions to IP services impacted legacy data revenue.

Net income was $136 million. Earnings per share were 8 cents, which was equal to prior-year results.

"Our focus on perfecting the customer experience while maintaining strong financial discipline again enabled us to deliver solid results in the quarter." said Edward A. Mueller, Qwest chairman and CEO. "The ability of the Qwest team to steer through difficult market conditions has been exemplary. This is evident in key measures of our performance including strategic revenue growth, reduced operating expenses, stable EBITDA, strong free cash flow and an improving leverage ratio. As a result of our stronger-than-expected performance to date, we are raising our full year 2009 free cash flow outlook. We are optimistic about our prospects as the economy begins to improve in the quarters ahead."

Level 3's Q3 Revenue Drops to $916 Million

Level 3 Communications reported consolidated revenue of $916 million for Q3 2009, compared to consolidated revenue of $1.07 billion for Q3 2008 and $942 million for the Q2 2009. The net loss for the third quarter 2009 was $170 million, or ($0.10) per share, compared to a net loss of $129 million, or ($0.08) per share, for the third quarter 2008. The net loss for the second quarter 2009 was $134 million, or ($0.08) per share. Consolidated Adjusted EBITDA was $213 million in the third quarter 2009, compared to $255 million in the third quarter 2008. Consolidated Adjusted EBITDA was $229 million in the second quarter 2009.

"While we remain cautious, we saw positive signs in the business this quarter, as evidenced by the improvement this quarter in the rate of decline in Core Network Services revenue," said James Crowe, CEO of Level 3. "Our ongoing discipline in managing the business continues to provide benefit, and enabled us to generate positive Free Cash Flow during the quarter."

Aurora Enhances its PON Solutions for Cable Operators

Aurora Networks introduced GEPON CPE and RFPON CPE devices for the cable market, solutions that will help cable operators evolve their networks for an all-fiber future.

The RFPON CPE and GEPON CPE are designed for outdoor and indoor mounting and can be utilized in both residential and commercial settings. The RFPON CPE provides all of the functionality of Aurora Networks' traditional RFoG CPE, but with 1610 nm upstream wavelength for PON compatibility. The GEPON CPE, with 1310 nm upstream wavelength, is the first such device in Aurora Networks' CP8000N family and is designed to co-exist with the company's new RFPON CPE. With the company's Node PON OLT module, operators can now benefit from a one-stop shop as they roll out GEPON services.

In addition, Aurora Networks has integrated its Node PON platform with Sigma Systems' Device Provisioning Manager for DOCSIS equipment provisioning and activation. This enables cable operators to leverage the same OSS provisioning technology they employ for DOCSIS cable modem services for a network utilizing Aurora Networks' Node PON solutions.

The companies said they recently conducted a DOCSIS provisioning trial utilizing Sigma System Device Provisioning Manager and Aurora's Node PON OLT and GEPON CPE devices, confirming that Aurora Networks' Node PON solution is compatible with legacy DOCSIS provisioning technology.

Fujitsu's FLASHWAVE 7500 ROADM Implements Mintera's 40G

Mintera's new MI 4000XM Adaptive-DPSK module has been implemented in Fujitsu FLASHWAVE 7500 Reconfigurable Optical Add/Drop Multiplexer (ROADM) and is now carrying live 40 Gbps traffic over a commercial U.S. network.

The Adaptive-DPSK technology incorporated in the MI 4000XM DWDM module enables 40 Gbps transport on 50GHz channel-spaced systems and transmission over agile ROADM networks without compromising critical ULH reach. The unit conforms to the industry standard footprint and incorporates an electrical Mux/Demux for compatibility with any 40 Gbps framer. The module has a 300-pin MSA connector with support for the appropriate I2C commands, thus enabling simple hardware and software integration.

"Mintera's close and fruitful collaboration with Fujitsu has resulted in achievement of this key milestone," said Terry Unter, Mintera President and CEO. "Mintera is committed to provide the highest level of service and support to customers such as Fujitsu and to continue to deliver best-in-class solutions."

NGD Europe Opens $326 Million Data Center in U.K.

Next Generation Data has opened a $326 million data center -- known as NGD Europe -- in Newport, Wales, to provide secure, sustainable data storage to U.K. and European blue-chip companies. The center is said to be the largest of its kind in the U.K. and one of the largest in Europe.

Ixia Posts Q3 Revenue of $46.4 Million

Ixia reported Q3 2009 revenue of $46.4 million compared to $47.3 million in the 2008 third quarter. Revenues for the 2009 third quarter include $7.5 million attributable to Catapult Communications. On a GAAP basis, the company recorded a net loss for the 2009 third quarter of $6.2 million, or $0.10 per share, compared to net income of $483,000, or $0.01 per diluted share, for the 2008 third quarter.

"Ixia delivered solid revenues and executed on multiple fronts during the quarter, including the Catapult integration and the release of our next generation IxNetwork Layer 2-3 test solution," commented Atul Bhatnagar, Ixia's president and chief executive officer. "The integration of Catapult is nearly complete with unified sales and engineering teams operating effectively around the globe. In our first full quarter of operating Ixia and Catapult as one business, we experienced meaningful sequential growth in orders, both for our core wired products as well as for our wireless offerings. In addition, sales of our 10 Gigabit Ethernet products hit a new high and our Asia Pacific business rebounded nicely. On the cost side, we are starting to see some benefits from the restructuring plan announced in the second quarter and have moved quickly to realize cost synergies related to the Catapult business."

Verizon Wireless to Launch Motorola's DROID Next Week

Verizon Wireless and Motorola unveiled the DROID smartphone powered by Android 2.0. The device is full-QWERTY slider phone offering a 5 megapixel camera dual-LED flash, AutoFocus and image stabilization; voice-activated Google search; Google Maps Navigation (Beta); integrated Gmail and Exchange e-mail; YouTube, Facebook; Amazon MP3 store; and access to the Android Market.

DROID by Motorola will be available in the United States exclusively at Verizon Wireless for $199.99 with a new two-year customer agreement after a $100 mail-in rebate.

Monday, October 26, 2009

Video Interview: Verizon on Packet Optical Transport

Ikanos' Q3 Revenue Grows to $29 Million

Ikanos Communications reported Q3 2009 revenue of $29.3 million, compared with revenue of $22.4 million for the second quarter of 2009 and revenue of $24.2 million for the year ago period. GAAP net loss for the third quarter of 2009 was $15.5 million, or $0.40 per share, on 38.8 million weighted average shares. This compares with a net loss of $6.4 million, or $0.22 per share, on 29.4 million weighted average shares in the second quarter of 2009 and with a net loss of $26.7 million, or $0.93 per share, on 28.6 million weighted average shares in the third quarter of 2008.

Revenue is expected to be between $55.0 million and $58.0 million for the fourth quarter of 2009.

During the third quarter, we successfully completed a number of strategic initiatives including the Conexant Broadband Access acquisition, a strategic alliance with ASSIA Inc., and the introduction of Ikanos Velocity, the industry's lowest power high-performance A/VDSL central office chipset," said Michael Gulett, president and CEO at Ikanos. "These accomplishments strengthen our ability to compete in our core broadband DSL market. In addition, we are pleased with the growth in our communications processor business which accounted for approximately 25 percent of revenue in the most recent quarter."

DragonWave Reports Stronger Growth in Orders

DragonWave reported that it has recently experienced strong order intake such that its order backlog has increased by approximately 60% since the end of fiscal Q2. These new orders have been received over the last week from DragonWave's customers in the United States, Canada and EMEA.

Cisco to Acquire ScanSafe for SaaS-based Security

Cisco agreed to acquire privately held ScanSafe, a provider of software-as- a-service (SaaS) Web security solutions, approximately $183 million in cash and retention-based incentives.

Based in London and San Francisco, ScanSafe offers Web security via a SaaS model. Its Web Security offering combines Web filtering with a proprietary "Outbreak Intelligence" engine that uses dynamic, reputation and behavior based analysis to identify and block zero-day threats. Its Web Filtering service enables customers to define what content is permitted to enter their network, as well as what information can leave. ScanSafe also provides an inbound and outbound email filtering and security service.

Cisco said the acquisition builds on its earlier acquisition of IronPort. The acquisition brings together the Cisco IronPort high-performance Web security appliance and ScanSafe's SaaS Web security service. This combination will expand Cisco's security portfolio to offer on-premise, hosted, and hybrid-hosted Web security solutions.

ScanSafe's service will be integrated with Cisco AnyConnect VPN Client, the newest virtual private network (VPN) product from Cisco, to provide a secure mobility solution. In addition, ScanSafe's global network of carrier-grade data centers and multi-tenant architecture will further enhance Cisco's ability to provide new cloud-security services for customers anywhere in the world.

ZTE Posts 42% Annual Growth in its Q3 2009 Revenue

ZTE reported revenue from principal operations of RMB15,136 million (USD 2.216 billion), representing growth of 42.81% as compared to the same period last year, while net profit attributable to the parent company grew 58.18% to RMB 409million (USD 60 million). Basic earnings per share amounted to RMB0.23 (USD 0.03).

The company said it is succeeding in gaining further inroads with multi-national carriers for its LTE, UMTS and GSM products. This success was attributable in large part to leveraging opportunities presented by the need for network construction in emerging markets against the backdrop of an improving global economic environment.

In terms of market development, ZTE reported substantial growth in operating revenue largely attributable to large-scale 3G network construction in the domestic China market.

Internationally, the company said it now holds strong competitive position thanks to its cost advantage, financing resources and customization abilities.

Product-wise, ZTE's carrier network segment reported year-on-year growth of 47.32%, which was driven mainly by revenue generated from sales of the company's 3G network equipment, optical transmission products and data communication products. Revenue from terminal products also grew by 38.67%, which was in line with sales growth for 3G products. Revenue from the Group's telecommunications software systems, services and other products grew by 17.85%, reflecting primarily growth in the sales of fixed terminals.

Dell to Resell Juniper's Networking Gear

Dell will resell Juniper Networks' networking solutions under the Dell PowerConnect brand. In addition, the companies plan to work together on open, standards-based solutions for virtualized data centers and deliver technology solutions using Converged Enhanced Ethernet (CEE), also known as Data Center Bridging (DCB) and iSCSI to improve network economics.

Under their original equipment manufacturer (OEM) agreement, Dell and Juniper intend to deliver a secure network infrastructure - from a customer's traditional data center out to its branch offices, remote workers, customers and business partners - that can dynamically adjust to meet these challenges and provide orchestrated management of users, workloads and data -- avoiding single-vendor lock-in.

Dell also plans to market, service and support Juniper's high-performance networking solutions to its large enterprise, small and medium business customers and public organizations. The products Dell will deliver under its PowerConnect brand include the Juniper Networks MX Series services routers, EX Series Ethernet switches and SRX Series services gateways, all running JUNOS Software. Dell expects to make these products available to customers via its direct and PartnerDirect channels.

"Networking is an important piece in providing customers with choices for how they optimize their data center operations to improve efficiency," said Brad Anderson, senior vice president, Enterprise Product Group, Dell. "This agreement will help address many of our customer's biggest challenges including a dramatic rise in security concerns, an increasingly dispersed workforce and challenges brought on with the advent of the virtualized data center."

Sprint Outlines “Open�? Application Approach, Free Forwarding to Google Voice

In a keynote address at Sprint's 2009 Open Developer Conference, Steve Elfman, president of Sprint's Network Operations & Wholesale, encouraged mobile application developers to create applications that work not only on Sprint's 3G network, but across the industry. Elfman outlined the key tenets of Sprint's Open approach:

  • Let consumers determine the application winners

  • Be easy to do business with

  • Create a developer's "Garage" where new innovation happens

  • Use the proven Open Internet model as a guide

  • Support is best performed by the creators of the content

  • Open still requires management

Voice services continue to play a central role in mobile communications, even as data grows. Application developers have created a number of voicemail and messaging services that take advantage of call forwarding capabilities.

Sprint also announced that it will not charge customers for certain types of call forwarding. Conditional call forwarding for busy calls or calls not answered using the customer's wireless phone will be free, beginning mid-November (standard charges will continue to apply for immediate call forwarding.) This change will give Sprint customers the opportunity to access third-party voice services, including the new voicemail feature in Google Voice. Google Voice lets users manage and control their voice communications and comes with a suite of voicemail and text messaging features. Sprint said it is working with Google to develop additional functionality to support services such as Google Voice that will deliver an even richer experience to Sprint customers.

Earlier this week, Google announced it will offer a Google Voice feature that allows mobile phone users to take advantage of Google Voice without having to sign up for a Google Voice phone number.

Nokia Launches its First TD-SCDMA Device with China Mobile

Nokia introduced its first device for TD-SCDMA - China's domestic 3G standard. The Nokia 6788 is the result of close collaboration between Nokia and the world's largest mobile phone operator, China Mobile. It is an all-in-one device that provides its users with faster Internet speeds and download times. It features a 5-megapixel (2592 x1944) camera with a dual-LED flash, a 2.8" QVGA display, and the Symbian S60 platform.

Nokia plans to introduce more TD-SCDMA phones in the near future.

Amdocs Acquires jNetX for its Service Delivery Platform (SDP)

Amdocs has acquired jNetX, a privately-held service delivery platform (SDP) provider, for $50 million net of debt and cash.

jNetX offers a Java-enabled convergent service platform that exposes the functions of any network service. jNetX provides a built-in set of 3GPP service enablers to control a call, a conference, a session, to interact with a user, get location, charge, etc. The system is extensible, allowing for the integration and functional exposure of any additional service enabler for simplified, reusable development. This enables the service provider to "own the service logic" and thus own and control the services provided to their customers.

The companies estimate the SDP market will grow at a 14% CAGR to $6 billion by 2013, according to figures from Analysys Mason.

Amdocs said the acquisition accelerates its position in the SDP market and builds on its own existing customer experience solutions and service delivery capabilities. The combination also provides strategic enhancements to the Amdocs CES Portfolio as it:

  • Enhances Amdocs' convergent charging offering by providing scalable and robust service control and service brokering capabilities;

  • Delivers closer integration with the Amdocs App Store to expose network services to developers;

  • Provides a holistic service delivery framework that enables a quicker launch time for new services.

In addition to the product synergies, Amdocs and jNetX share a number of top tier customers, including Vodafone Group, British Telecom and Mobilkom. The combination will benefit customers as they seek to enhance the customer experience and become an active participant in the emerging Telco-Web eco-system.

Hughes and Avanti Sign European Ka-Band Satellite Deal

Avanti Communications Group ha selected Hughes Network Systems to supply eight (8) gateways and 50,000 customer premise terminals to operate over HYLAS, Europe's first dedicated, high-throughput Ka-band broadband satellite to be launched in 2010. The initial value of the contract is in excess of US$24 million over the multi-year framework agreement.

In addition, Hughes has agreed to acquire capacity on the HYLAS satellite to expand the managed services it provides to major corporations in a variety of market sectors, including oil and gas, lottery, and retail. This builds on the Hughes strategy to deliver broadband Internet access and managed services on the most advanced platforms around the world, including its SPACEWAY 3 switch-in-the-sky and recently announced Jupiter high-throughput satellite system.
HYLAS is Avanti's first satellite and has been designed with advanced Ka-band technology to provide high-performance broadcast and data communications services to a wide range of market segments, including broadband Internet access to rural and remote areas underserved by terrestrial networks. The unique characteristics of HYLAS reduce the overall operating costs of satellite services, both in bandwidth utilization and systems hardware.

Motorola Offers New PMP Fixed Wireless Solutions for 5.4 / 5.8 GHz

Motorola announced the latest addition to its point-to-multipoint (PMP) fixed wireless broadband portfolio. The PMP 430 wireless broadband distribution and access network solution offers increased throughput rates and better range in the 5.4 GHz and 5.8 GHz frequency bands. It can be can be co-located with existing Motorola PMP wireless broadband networks to offer service providers greater connectivity from their existing access point locations and is an approved solution for providing broadband connectivity within the guidelines of the American Recovery and Reinvestment Act.

Motorola's PMP 430 fixed wireless broadband and access network solution features Orthogonal Frequency Divisional Multiplexing (OFDM) technology to deliver high throughput and long range as well as line of sight (LOS) and near-line of sight (nLOS) performance. Offering more than 40 Mbps of total aggregate throughput per access point sector, the system can deliver more than 160 Mbps of throughput from a single tower location to difficult-to-reach subscribers, including those in multipath urban or rural areas. The PMP 430's higher gain antennas and OFDM technology provide extended ranges of up to 40 miles (64 km) when the subscriber module is configured with a passive LENS or reflector. Motorola's latest solution also offers low one-way latency of less than 3.5 msec, enabling customers to provide high Quality of Service (QoS) for latency-sensitive voice and video services. The throughput rates of the PMP 430 subscriber modules can be upgraded easily from 4 to 40 Mbps via a software key system to meet customers' changing bandwidth requirements.

Broadcom Announces HD Cable STB Chips with Dual 1GHz Tuners, MoCA 1.1

Broadcom announced new set-top box (STB) system-on-a-chip (SoC) solutions supporting interactive HDTV programming, connectivity, whole-home media distribution and advanced 3D user interfaces to the North American market. The new Multimedia over Coax Alliance (MoCA)-integrated BCM7125 and BCM7119 single-chip, multi-format HD DOCSIS 2.0 compatible solutions enable advanced functionality and services such as multi-room HD DVR capabilities and advanced 3D graphics user interfaces.

Key features include MoCA 1.1 support, Tru2Way Cablecard support, dual integrated 1GHz cable tuners and DOCSIS 2.0 compatible modems. The chipsets also include flexible software support for new compelling subscriber applications that use Native UI, OpenCable Application Platform (OCAP), Adobe Flash Platform for the Digital Home, Digital Living Network Alliance (DLNA), and DTCP-IP security. Sampling is underway.

Motorola's Latest DOCSIS 3.0 Gateways Hit 300 Mbps Downstream, 100 Mbps Upstream

Motorola announced its next-generation SURFboard DOCSIS 3.0 modems and integrated gateways -- with technical performance that is two times faster than the company's existing DOCSIS 3.0 products. The new line of standards-based and remotely manageable gateways supports high-bandwidth Gigabit Ethernet (GigE) home networking and channel bonding of up to eight downstream and four upstream channels. This increased 8 x 4 throughput support enables an operator to offer its customers advanced multimedia services with data rates up to 300 Mbps downstream and more than 100 Mbps upstream.

The new SURFboard all-in-one integrated gateways also are equipped with a four-port GigE switch and integrated 802.11n Wi-Fi access point. The gateways' internal antenna and switched on-board radios (2.4 or 5 GHz) enable consumers to maximize the high-bandwidth potential of their home or business networks, while eliminating the need for stand-alone routers, hubs and access points. In addition, the new SURFboard gateways are equipped with next-generation security features: a built-in firewall with Stateful Packet Inspection; intrusion detection; Denial of Service attack prevention; and a simplified "visitor" feature set, enabling users to easily accommodate addition of their "permissioned" guests onto the home's Wi-Fi network, while still protecting the network from unwelcome hacker attacks.

Motorola said its new SURFboard platform is also environmentally friendly and complies with international environmental and energy-efficient standards. The portfolio uses ENERGY STAR-qualified power supplies, and its devices and power supplies are compliant with both European Code of Conduct and RoHS regulations.

Verizon Requires Thermal Modeling for New Network Hardware

Verizon will begin requiring hardware manufacturers to use thermal modeling when designing circuit boards and cabinets used in network gear. The goal is to minimize heat generation that impairs equipment performance and requires costly air conditioning in central offices, equipment vaults and other facilities.

"When you optimize efficiency at the simplest level, you go to the heart of the process," said Chuck Graff, Verizon director of corporate network and technology. "Starting in July 2010, equipment makers will be required to submit results of thermal modeling applied to their hardware that show they have optimized their circuits to generate less heat and perform more efficiently."

Verizon published the new technical purchasing requirement this week as part of its 15th annual NEBS conference. Thermal modeling involves using a computer to simulate the heat flow around electrical components in equipment such as circuit boards, before the equipment is built. This enables the equipment to be designed in a way that minimizes heat generation and thus improves energy efficiency, and saves time and costs.

The new Technical Purchasing Requirement outlines the goal of the testing program, details test procedures to be conducted, and establishes a process for review of the results and approval of the equipment design. The new testing requirement leverages powerful computational fluid dynamics computer tools that simulate circuit board and equipment design and the air and heat flow around components prior to the creation of a prototype, to maximize the energy efficiency of the design. The benefits to Verizon are cooler operating temperatures, faster deployment because thermal issues are addressed earlier in the process, and lower costs for air conditioning.

In his report to the conference, Graff noted that Verizon operates in 150 countries, occupies 31,000 facilities worldwide, maintains a 53,000-vehicle fleet and consumed 9.5 billion kilowatt hours of electricity and 59 million gallons of fuel in 2008. During that year, the company reduced its carbon emissions by 303,000 metric tons.

"The new thermal-management requirements are actually a process for helping the equipment makers meet the 20 percent improvement goal, which then helps Verizon reduce its energy consumption and carbon footprint significantly," Graff said. "Circuit boards can work fine when they are generating more heat than necessary, but they work better and save operating costs when you pay attention to heat issues up front. That's the goal here."
  • In January, Verizon implemented purchasing rules requiring that new equipment purchased for deployment in the company's networks operate at a level 20 percent more efficient than the equipment it replaces.

Verizon Expands and Enhances Packet Optical Deployment

Verizon now has more than 2,000 optical transport platforms (OTPs) deployed in key metro and regional locations in the Americas, Europe, Asia and the Middle East. The latest optical switching gear also can handle traditional, time-division multiplexing (TDM) transmissions or packet traffic, leading to a single, high-capacity intelligent network.

Verizon has also begun deploying the latest evolution of wavelength-selection switches (WSSs). This enables the Verizon P-OTP network to support eight fiber degrees, or directions, as opposed to the previous four fiber degrees. Each of those eight fiber degrees will support an additional 44 wavelengths in each direction, bringing the total to 88 wavelengths. Because of these additional fiber directions, the P-OTP network will bolster Verizon's global mesh capabilities, a technology that creates additional paths to seamlessly reroute traffic in the event of multiple cable breaks or network disruptions.

Verizon also noted that OTP also improves performance, provisioning and efficiency by routing wavelengths without the typical optical-to-electrical-to-optical conversion that can affect the quality of the signal. Also, fewer pieces of equipment are needed, thereby reducing the interval to deploy new services by limiting the number of touch-points in the network.

"Since 2003, we've invested in our network with a goal of combining transport capacity with packet flexibility," said Mark Wegleitner, senior vice president of technology for Verizon. "With packet OTP, we create the foundation for enhanced service delivery, performance, reliability and resiliency for customers of all sizes."

In addition, Verizon noted that it will begin to integrate packet optical capabilities into its Ultra Long Haul (ULH) network by 2011. Since launching its ULH network in 2004, Verizon has deployed 58,000 kilometers (36,000 miles) of ULH in the U.S., Europe and the Asia-Pacific region. ULH also reduces the need for regeneration equipment, lowering operational expenses as well as the number of active components in the network.

Sunday, October 25, 2009

Tellabs Posts Q3 Revenue of $389 Million

Tellabs' Q3 2009 revenue totaled $389 million, compared with $424 million in the third quarter of 2008. Almost half of overall revenue came from growth products, including the Tellabs 6300, 7100, 7300, 8600 and 8800 systems and professional services. Tellabs earned $29 million or 7 cents per share on a (GAAP) basis, compared with a loss of $999 million or $2.51 per share in the year-ago quarter, which included a non-cash goodwill charge of $988 million.

For the third quarter of 2009, Broadband segment revenue was $206 million, Transport segment revenue was $128 million and Services segment revenue was $55 million.

Motorola Pushes Deep Fiber Architecture for Cable Operators

Motorola introduced new Deep and Cable Passive Optical Networks (CablePON) products -- including an end-to-end, radio frequency over glass (RFoG) offering -- that enable cable operators to migrate their networks to fiber deep architectures, while leveraging existing investments.

The new additions to Motorola's portfolio include:

  • GX2-EM1000 Family of High-Performance 1550nm Broadcast Transmitters - These transmitters, key components in RF Video Overlay, RFoG and fiber deep applications, deliver distortion-control performance out to 1 GHz. A version of the transmitter is optimized to increase the link distance and the number of subscribers served by Passive Optical Networks.

  • N2U-OA300 Series --a family of optical amplifiers for Passive Optical Networks and large distribution systems with versions featuring integrated wavelength combiners to reduce loss and save rack space.

  • SG4000 Dual Return Receiver for RFoG networks - This analog return receiver module enhances the SG4000 optical node platform for use in RFoG deployments to increase link budgets and the number of subscribers that can be served over limited fibers. It is a single slot double density return receiver for SG4000 that aggregates RFoG returns from subscribers for transmission to the hub or headend.

  • BTN100 Optical Node for Fiber Deep - This optical node upgrades existing Motorola SG2000, SG2440 and BTN nodes to 1 GHz and converts existing Motorola BT amplifiers to 1 GHz nodes. It offers optical redundancy and 2X return segmentation capability.

  • MBN DOCSIS Transponder for Fiber Deep - This is an interoperable transponder for the SG4000, MBN100, and BTN100 optical nodes. Using DOCSIS transport eliminates the additional cost of HMTS.

  • Q-series Taps and Passives for Bandwidth Expansion - This new series of taps and passives offer 1.5 GHz RF bandwidth for enhanced forward bandwidth and high band return for data, telephony and commercial services.

"In the face of increasing competition, cable operators are looking for innovative and economical solutions to help them deliver advanced services to their customers from a trusted source," said Joe Cozzolino senior vice president and general manager, Access Networks Solutions, Motorola Home and Networks Mobility. "Motorola's Fiber Deep and CablePON solutions offer cable operators the ability to affordably migrate fiber deeper into their networks to deliver the advanced services their customers demand."

Alloptic Announces Multivendor EPON ONT Interoperability

Alloptic has extended the capabilities of its edge10 OLT to interoperate with ONT designs that are based on EPON chipsets from PMC-Sierra and Teknovus. Interoperability of ONTs via a common OLT allows the network operator to support a wide variety of applications and customer segments over a common infrastructure. Multiple vendors can create ONTs for specific market requirements giving network operators tailored, yet cost-effective ONT solutions. Leveraging the Alloptic edge10 OLT allows those different ONTs to be deployed on a common fiber infrastructure, even on the same PON.

Alloptic Releases Managed MicroNode RFoG ONUs

Alloptic released a new range of "MicroNode" RFoG optical networking units (ONU): the 1000 series Managed MicroNode RFoG ONU featuring remote monitoring and control capabilities.

Alloptic said that even though the R-ONU is the critical optical enabler in an RFoG architecture, it has traditionally been an unmanaged device. Its new Managed MicroNode RFoG ONU gives service providers the ability to monitor ONU operating parameters as well as remotely enable and disable service. With this control, service connects and disconnects are achieved without a service dispatch or truck roll, significantly decreasing operational costs and decreasing theft-of-service losses.

Alloptic Debuts Return Path Receiver

Alloptic announced the availability of high performance Return Path Receivers that provide 7 dB noise performance improvement over typical analog return receivers and almost 3 dB improvement over other Alloptic receivers. This ultra low noise performance translates into the ability to carry, with 15dB of margin, 4 bonded 64QAM channels in a DOCSIS 3.0 return path over an SCTE-standard, non-proprietary RFoG architecture operating with a 29dB optical budget.

Alloptic's EVRRL410 series Return Path Receiver product line includes designs for both typical and high RF output requirements, as well as ones used for long reach and fiber-starved deployments. All receivers are temperature-hardened in 1RU form factors, with both front and rear access versions.

Cable Operators Call for "Content Neutrality" Along with Net Neutrality

The American Cable Association, which represents cable network operators, is calling on the FCC to stop content providers from using wholesale arrangements to restrict consumer access to lawful content. ACA cited Disney's as an example where the most powerful sports programmer denies access to content, unless a consumer subscribes to a particular broadband provider.

"ACA believes that content distributors such as ESPN360 should live under the same Net Neutrality rules as broadband service providers," American Cable Association President and CEO Matthew M. Polka said. "The foremost principle of Net Neutrality is that consumers can access the legal content of their choice. ESPN360 fails that principle, and any regulation must address that."

ACA is urging the FCC not to overlook the importance of Content Neutrality because rules solely focused on broadband network providers would leave a gaping hole in the regulatory regime and expose consumers to an assortment of harms that would likely drive up the cost of broadband, a result totally at odds with the Obama Administration's goal of making broadband access both universal and affordable.

ACA said ESPN360's closed Internet business model will effectively force those with no interest in watching sporting events on the Internet to subsidize those who routinely want to access ESPN360's content.

"Despite having the technological know-how to provide this content directly to subscribers for a fee, ESPN has opted to block access to this Web content unless an access provider agrees to place this financial burden on all of its broadband customers," Polka said. "That is wrong, and the FCC must ensure that each consumer has the individual choice to buy or not buy ESPN360."

Polka also stressed that Net Neutrality regulations should permit ISPs to engage in reasonable network management practices and should give them the right to experiment with a range of consumer pricing models, especially consumption- and metered-billing options.

RadiSys Unveils 40G ATCA Chassis, Switch and Processor Modules

RadiSys introduced its 4th generation of AdvancedTCA (ATCA) products designed for next generation 4G and wireline broadband network elements.

The RadiSys 4th generation ATCA platforms combine a 40G chassis, a 40G switch and other 10G and 40G assets in a pre--integrated platform. The 40G chassis includes enhanced per--slot power and cooling capability along with 40G backplane connectivity. The company said investment protection for its telecom equipment supplier (TEM) customers was a key design criteria such that the 40G platform supports all existing boards and software for its 10G ATCA solution.

The 40G switch provides increased I/O density and native 40G switching to the node slots. The reuse of the switch management software will provide consistent API access, thereby providing reuse of any development with the company's existing 10G switch.

The chassis node slots are capable of supporting next-gen packet processing and multi-core CPU power requirements. Overall, the platform promises a 4x performance improvement in switching and equal improvement in processing capability at a platform level.

Additionally, RadiSys will be expanding the switch management capabilities to include a "node router" which enables the elimination of a stand--alone router that would typically provide connectivity between an edge device and the transport network. RadiSys' investments today in next generation ATCA products ensures a smooth transition for customers from 10G products to 40G, protecting their investment in ATCA.

Ericsson Appoints New CEO

Ericsson's in-coming CEO Hans Vestberg has appointed Jan Frykhammar CFO of November 1, 2009. Frykhammar will also become Executive Vice President as of January 1, 2010. Jan Frykhammar is currently head of business unit Global Services and Senior Vice President. He joined the company in 1991.

Hitachi to Acquire Packet Core Assets from Nortel

Hitachi agreed to certain assets from Nortel that are associated with the development of next generation packet core network components (excluding legacy packet core components for $10 million. The assets, which come from Nortel's GSM and UMTS businesses, include software to support the transfer of data over existing wireless networks and the next generation of wireless communications technology, including relevant non-patent intellectual property, equipment and other related tangible assets, as well as a non-exclusive license of certain relevant patents and other intellectual property.

Consummation of the transaction is subject to approval by the United States Bankruptcy Court for the District of Delaware and the Ontario Superior Court of Justice as well as the satisfaction of regulatory and other customary conditions. The sale is expected to close in 2009.

Verizon Adds 1.2 million Wireless, 198K FiOS Internet Customers

Verizon's total Q3 operating revenues grew 10.2 percent to $27.3 billion, compared with the third quarter 2008, including revenues from Alltel, which Verizon acquired in January 2009. On a pro forma basis (consolidating the operating results of Verizon and the former Alltel as though the acquisition had occurred on Jan. 1, 2008), operating revenue growth was 0.6 percent. Diluted earnings per share (EPS) were 41 cents in the third quarter, compared with 59 cents per share in the third quarter 2008. O

Verizon's growth was driven by its wireless operations, where revenues totaled $15.8 billion, up 24.4 percent year over year and up 4.9 percent on a pro forma basis. The company's FiOS network added customers as well, including 198,000 net new FiOS Internet customers and 191,000 net new FiOS TV customers.

Cash flow from operations totaled $23.1 billion for the first nine months of 2009, up 16.0 percent, or $3.2 billion, over the same period last year. Free cash flow (cash flow from operations minus capital expenditures) totaled $10.7 billion, up $3.3 billion over the same period last year.

"Verizon continues to generate strong cash flow, which we have used in building the foundation for sustainable, long-term shareowner value," said Verizon Chairman and CEO Ivan Seidenberg. "Even through the worst of the recession, we have continued to raise our dividend and to add new customers, expand markets and grow revenues based on the power and innovation of Verizon's wireless, broadband and global networks."

Some highlights from Q3:

  • Wireless retail (non-wholesale) gross customer additions were up 15.0 percent over the prior year. On a pro forma basis, retail gross customer additions decreased by 8.3 percent.

  • Verizon Wireless had 89.0 million customers at the end of the quarter, an increase of 25.7 percent year over year, and 6.3 percent on a pro forma basis. Verizon Wireless is the largest wireless company in the U.S. in terms of total customers and revenues.

  • The company also has the most retail customers of any U.S. wireless provider and continued to grow its high-quality base, adding 1.0 million net retail customers in the quarter, excluding acquisitions and adjustments, for a total of 86.3 million retail customers.

  • Total churn and retail postpaid churn were 1.49 percent and 1.13 percent, respectively.

  • Revenues totaled $15.8 billion, up 24.4 percent year over year and up 4.9 percent on a pro forma basis. Service revenues were $13.5 billion, up 23.7 percent year over year and up 6.1 percent on a pro forma basis as demand continued to grow for data services. Data revenue grew to $4.1 billion, up 48.1 percent and up 28.9 percent on a pro forma basis.

  • Total service ARPU decreased 2.2 percent year over year and 0.8 percent on a pro forma basis to $51.04. Total data ARPU increased to $15.59, up 17.2 percent year over year and 20.7 percent on a pro forma basis.

  • Wireless operating income margin, adjusted for merger integration and acquisition costs, was 28.3 percent, up 1.0 percentage point year over year and up 1.4 percentage points pro forma. Adjusted on the same basis, EBITDA (earnings before interest, taxes, depreciation and amortization) margin on service revenues (non-GAAP) was 46.1 percent, an increase of 1.9 percentage points year over year and 1.3 percentage points on a pro forma basis.


  • Verizon added 198,000 net new FiOS Internet customers. The company served 3.3 million FiOS Internet customers by the end of the quarter, a 49.2 percent year-over-year increase.

  • FiOS Internet penetration (customers as a percentage of potential customers) increased to 28.5 percent by the end of the third quarter, with the product available for sale to 11.5 million premises. This compares with a 24.2 percent penetration at the end of the third quarter 2008.

  • Verizon also added 191,000 net new FiOS TV customers. The company served 2.7 million FiOS TV customers by the end of the quarter, a 67.7 percent year-over-year increase.

  • FiOS TV penetration increased to 24.9 percent by the end of the third quarter, with the product available for sale to 10.9 million premises. This compares with a 19.7 percent penetration at the end of the third quarter 2008.

  • Consumer broadband and video revenues in wireline mass markets (which include consumer and small-business customers) represented growth of 30.7 percent compared with the third quarter 2008. This increase contributed to 1.2 percent revenue growth in consumer markets served by Verizon's wireline network.

  • Broadband connections totaled 9.2 million at the end of the third quarter, an 8.5 percent year-over-year increase. This is a net increase of 63,000 from the second quarter 2009, as the increase in FiOS Internet connections more than offset a decrease in DSL-based High Speed Internet connections.

  • Revenue growth from broadband and video services boosted consumer ARPU to $75.04 in the third quarter 2009, a 12.6 percent year-over-year increase.

  • FiOS ARPU is more than $137, driven primarily by "triple-play" bundles of voice, Internet and TV services.

  • Worldwide sales of strategic business services -- such as IP, managed services, Ethernet and security solutions -- generated $1.6 billion in revenue in the quarter, up 1.0 percent from
    the third quarter 2008.

Qualcomm Establishes Subsidiary for Mobile Open Source Development

Qualcomm has established a separate wholly-owned subsidiary to optimize open source software with Qualcomm technology. The new Qualcomm Innovation Center (QuIC), which is brought together by a dedicated group of engineers, will be headed by Rob Chandhok, who previously served as senior vice president of software strategy for Qualcomm CDMA Technologies.

"Open source and community-driven software development is becoming increasingly important to the wireless industry," said Chandhok, "and QuIC is committed to meaningful participation in these development efforts. To fulfill this commitment and to provide focus to this effort, Qualcomm has transferred experienced software engineers to QuIC. These engineers will focus on such important open source initiatives as Linux and Webkit, and on open source operating systems such as Symbian, Android and Chrome."

Ceragon Posts Revenue of $44.7 Million, up 6% Sequentially

Ceragon Networks reported Q3 2009 revenue of $44.7 million, down 23% from $58.1 million for the third quarter of 2008 and up 6% from $42.2 million in the second quarter of 2009. Net income (GAAP) for the third quarter of 2009 was $1.1 million or $0.03 per basic share and diluted share, compared to net income of $3.5 million or $0.09 per basic and diluted share in the third quarter of 2008.

Motorola Adds Module for CMTS Enabling 150 Mbps Upstream

Motorola introduced a decoupled upstream module for its BSR 64000 Integrated Cable Modem Termination System (I-CMTS), enabling cable operators to meet their subscribers' demands for higher average and peak upstream bandwidth.

The Motorola BSR 64000 I-CMTS solution, with the new RX48 decoupled upstream module, offers nearly 1.5 Gbps of upstream capacity per module. The upstream-only module is the "sister" card of the TX32 decoupled downstream module.

When combined with S-CDMA, Motorola calculates that cable operators can unlock additional usable spectrum in their networks to increase upstream capacity by up to 50 percent. By deploying the RX48 decoupled upstream module in conjunction with S-CDMA, cable operators can use this new capacity to increase average data rates through higher order modulation, or implement DOCSIS 3.0 upstream channel bonding to achieve up to 150 Mbps of peak upstream bandwidth.

The RX48 decoupled upstream module will be available to customers in mid-2010.

Extreme Posts Quarterly Revenue of $66 Million

Extreme Networks reported net revenue of $66.3 million for its fiscal first quarter of 2010, compared to $89.5 million in the fiscal first quarter of 2009. Non-GAAP net loss was $4.9 million or a loss of $0.05 per diluted share, compared to non-GAAP net income of $2.0 million or $0.02 per diluted share in the year-ago quarter. For the first quarter, net revenue in North America was $26.9 million, revenue in EMEA was $28.1 million, and revenue in APAC was $11.4 million. That compares to revenue of $35.7 million in North America, $41.6 million in EMEA, and $12.2 million in APAC in the year-ago fiscal first quarter.

"Last week we completed a reorganization to streamline operations, simplify the organization and reduce recurring costs. The effect of this action was to lower our quarterly breakeven to less than $70 million in revenue and reduce quarterly operating expenses by approximately $2.5 million. The reorganization consolidated the Business Units into a simple functional organization with centralized Marketing and Engineering. We believe this will create significant efficiencies and accelerate decision-making," said Bob L. Corey, CFO and acting President & CEO of Extreme Networks. "As previously announced, our supply chain was constrained during Q1 impacting our ability to deliver product. We are disappointed with our performance in Q1 and are actively improving availability from our Supply Chain to meet Customer demand for our products in Q2. We remain committed to our products, markets, channels and customers."

Thursday, October 22, 2009

Sprint Forms Small Business Specialty Team

Sprint has formed a new Small Business specialty team to sharpen the company's focus on the rapidly growing small business market segment. Sprint said it intends to capture a leading share of the segment's growth by dedicating resources, customizing products, and developing special offers for small business owners. This team will reside in Sprint's Business Markets Group, formed earlier this year. The Small Business team will serve as a single, common interface for all groups across Sprint that sell and serve small business clients to ensure consistent focus on addressing the unique needs of business owners and their employees. The Sprint groups include marketing, customer experience, product development and all channels that reach small business customers, including telesales, online/web, Sprint retail stores, and third-party retail partners.