Tuesday, August 17, 2010

Brocade Posts Revenue of $504 Million, up 2% YOY

Brocade recorded quarterly revenues of $504 million for its third fiscal quarter ended July 31 for an increase of two percent year-over-year, resulting in a diluted earnings per share (EPS) of $0.05 on a GAAP basis and $0.13 on a non-GAAP basis.

The company reported better-than-expected revenue in storage area networking (SAN) with switch revenue growing double digits sequentially in what is typically a seasonally challenging quarter. However, its overall Ethernet business was slightly down sequentially primarily due to softness in Japan and in its Federal business, which was down 16% from a strong performance in Q2, while up 15% year-over-year. Brocade said it added more than 1,000 net new Ethernet customers in the quarter, and recruited new talent from across the industry.

"Q3 was another solid quarter for Brocade in which we achieved better-than-expected results from our storage area networking business and continued to make progress in our Ethernet go-to-market initiatives," said Michael Klayko, CEO of Brocade. "As we look to Q4, we expect a strong finish to our fiscal 2010. Despite operating in a challenging global economy with variable IT spending patterns, we are confident that our sales and marketing strategies as well as our product portfolio are aligned well with customer imperatives."http://www.brocade.com

AppliedMicro to Acquire TPACK for Emerging OTN

AppliedMicro agreed to acquire TPACK A/S, a developer of programmable chip solutions for packet transport networks, for $32 million in cash plus up to $5 million in cash earn-outs depending on performance milestones over the next eighteen months.

TPACK, which is based in Copenhagen, Denmark, offers a "SOFTSILICON" solution implemented in Altera FPGA devices. The SOFTSILICON products are used in 10, 40 and 100 Gbps OTN switching and routing network equipment. Its silicon intellectual property (IP) for mapping and switching functions enable rapid time-to-market for Optical Transport Network (OTN) and Carrier Ethernet markets. Carrier Ethernet, in particular, has become TPACK's speciality whether it is transported over Ethernet, MPLS, VPLS, PWE3, PBT/PBB-TE, T-MPLS, SONET/SDH, PDH or OTN.

Founded in 2001, TPACK has 37 employees, including 28 design engineers, and brings a track record of innovative product development and steady financial growth as a privately-held company. Following the acquisition closing, the company will continue to operate from its Copenhagen office as a wholly-owned subsidiary of AppliedMicro.

AppliedMicro said that as OTN standards evolve and mature, it will use the early engagement work with customers and develop standard reference designs that maintain software compatibility while offering lower cost and lower power.

"While the OTN silicon market is growing rapidly, OTN standards and implementations are still evolving-- thereby offering system OEMs a broad field to uniquely differentiate their products with custom features and legacy support at various levels. This has led a large proliferation of FPGA technology within our customers' platforms. These FPGA solutions sit beside our products and together provide a scalable, system solution for our customers," said George Jones, Head of Marketing and Business Development for Transport products at AppliedMicro.

Alcatel-Lucent appoints Country Head for India

Alcatel-Lucent has appointed Munish Seth as country head for its Indian business, replacing Vivek Mohan, who now heads Alcatel-Lucent's global services business. Munish will report to Rajeev Singh-Molares, president of the Asia-Pacific region. Before his new position, Munish had been in charge of Customer Solution and Support for Alcatel-Lucent's Asia-Pacific region.

North Carolina's Golden LEAF Gains $140 Million in Funding

MCNC, which operates the North Carolina Research and Education Network (NCREN), was awarded $75.75 million in American Recovery and Reinvestment Act (ARRA) Broadband Recovery Funds to support the Golden LEAF Rural Broadband Initiative (GLRBI). The award was made through the National Telecommunications and Information Administration's (NTIA) Broadband Technology Opportunities Program (BTOP). This award builds on MCNC's Round 1 BTOP award, a $39.9 million project (including $28.2 million in BTOP Funds) granted in January 2010 to build 480 miles of fiber in 37 counties in southeastern and western North Carolina.

The Golden LEAF project will enhance the existing North Carolina Research and Education Network by adding approximately 1,300 miles of new middle-mile fiber throughout the state. In addition, about 400 miles of existing fiber will be provided to Golden LEAF through lease agreements and donations.

The Golden LEAF Foundation Board of Directors awarded $24 million in matching funds for the Round 2 grant. An additional $5.25 million in match was raised from the MCNC endowment, donations of land from individual community colleges and universities, and a donation of already-installed conduit in northeastern North Carolina from the Albemarle Pamlico Economic Development Corporation. UNC-Chapel Hill's Frank Hawkins Kenan Institute for Entrepreneurship and School of Government helped prepare the GLRBI application. MCNC raised $11.7 million in matching funds for its successful Round 1 application through private sources, including $4 million from the MCNC endowment.
  • Earlier this month, MCNC announced a Request for Proposals (RFP) for Construction and Splicing of the Fiber Optic Middle-Mile Project related to the North Carolina Research and Education Network (NCREN) Southeastern and Western N.C. Fiber Expansion Project. MCNC is seeking proposals from qualified contractors to construct a new fiber cable network to connect universities, community colleges, schools, libraries, and county offices to a statewide fiber optic network.

Hong Kong's PCCW Deploys Huawei's 40G OTN

PCCW, Hong Kong's incumbent telecom provider, has deployed Huawei's OTN (optical transport network) solution to enable higher bandwidth and more flexible service grooming features. Financial terms were not disclosed.

PCCW's 40G OTN network will adopt a series of state-of-the-art technologies, including 80-wavelength 40G, ROADM (Reconfiguration Optical Add/drop Multiplexer), and optical and electrical cross-connection and grooming. These elements allow bandwidth per wavelength to increase by 400% and total transport capacity to jump to 3.2 Tbps, enabling the transmission of 700 DVD files per second. The network also enhances the transmission capabilities of bandwidth-hungry services, due to optical and electrical cross-connection technologies.

Los Angeles Times: Hollywood Skeptical of GoogleTV

Hollywood is frightened that the forthcoming GoogleTV platform could upend their business in much the same way that the music and newspaper industries were struck by the Internet, according to The Los Angeles Times. The article discusses the revenue possibilities of distributing TV shows online as opposed to the traditional networks.

Texas Energy Network Deploys LTE for Oil/Gas Industry

Texas Energy Network (TEN), a new venture founded by Greg Casey (formerly head of Qwest's wholesale group), announced plans to deploy LTE technology in a national network to serve oil and gas fields across the U.S.

TEN will deliver services to address specific field applications such as SCADA data collection and control, remote field and mobile office services, critical alarm and security monitoring. Additional applications will include voice, video, file and data transfer, VPN, and Internet access in the field.

TEN will hold a major demonstration in New Mexico in conjunction with Alcatel-Lucent, which will provide all the wireless technology for the end-to-end LTE network using its LTE on Wheels truck. The demo will show a live LTE network with working data devices such as laptops with 1 Mbps data uplink speeds. Using this technology, the network could be connected directly to an oil site sensor or linked to a monitoring camera on a pipeline sending back live video images.

Stanley Hughey, Chief Technology Officer of TEN said "TEN‘s goal is to provide a single, carrier grade, end-to-end, IP only service that will transit data from remote field locations. The ability to deliver data at greater bandwidths with less latency will drive next generation applications and will, without a doubt, improve security, visibility and productivity in virtually every remote process."

Texas Energy Network is based in Houston.

PacketFront Employs Mindspeed Processor for Gigabit-to-the Home CPE

Mindspeed Technologies is supplying its Comcerto 1000 packet processor for PacketFront Systems' recently announced DRG 700 customer premises equipment (CPE), which combines Layer 2 switched and Layer 3 routed operation with a residential firewall for secure home networking. The DRG 700 is not only intended for large-scale fiber-to-the-home (FTTH) rollouts, but also addresses medium-sized FTTH projects being implemented by utilities and municipalities. Mindspeed noted that its Comcerto family of processors uses energy-efficient ARM core technology to deliver one of the lowest power consumption rates in its class, and also incorporates advanced, programmable power-management features to support the energy-saving goals of service providers and product manufacturers worldwide.

Empirix Extends its Service Quality Assurance Testing to LTE

Empirix, which supplies IP service quality assurance solutions, for new IP communications, has added LTE and SAE (System Architecture Evolution) support in its IPXplorer network optimization tool.

Empirix said its LTE network support gives network operators the ability to understand the performance and interaction of multiple mobile technologies through one platform. This unified view, which merges user and control plane visibility, enhances an operator's ability to quickly head-off or resolve issues that impact consumer QoE. In addition, Empirix's LTE support also provides a framework for voice and messaging services delivered by IP Multimedia Subsystem (IMS).

The introduction of LTE technology includes the need for new access technologies, many of which require an upgrade to SAE, also known as EPC (Evolved Packet Core), a key aspect of the LTE standard. SAE technology enables access to a variety of technologies on the same network.

Level 3 Wins Networx Contract for Social Security Administration

The U.S. Social Security Administration (SSA) has chosen Level 3 Communications to provide wavelength services under the Networx Enterprise contract program. Under the contract, Level 3 will provide the SSA with multiple 10 Gbps wavelengths to connect several of the SSA's data center locations with the potential to expand to additional sites in the future.

Chunghwa Selects Spirent for Cloud Computing Testing

Taiwan's Chunghwa Telecom Telecommunication Laboratories to validate the performance, availability, security and scalability (PASS) of cloud computing environments. Chunghwa aims to become Taiwan's largest cloud computing and data center provider and has announced plans to launch four cloud computing centers aimed at developing and testing a wide range of services. The operator used Spirent TestCenter™ Virtual for benchmarking data center and virtual server performance. The Spirent solution was also used for extensive testing of public cloud computing services such as web, mail server, FTP and CIFS.