Monday, April 18, 2011

Infineon Sees Strong Quarter

Infineon Technologies AG pre-announced better-than-expected financial results for its second quarter of the 2011 fiscal year. Infineon now expects revenues of Euro 994 million, up from Euro 922 million in the previous quarter, and a Total Segment Result margin of 20 percent.

In the outlook for the second quarter of the fiscal year 2011 that was published on February 1, 2011, Infineon expected revenues to be up slightly compared to the first quarter of the fiscal year, with Total Segment Result margin of 18 to 20 percent.

For the third quarter of the 2011 fiscal year, Infineon expects revenues and Total Segment Result margin at the level of the second quarter.

Final results will be published on May 3, 2011.

Harris Introduces 3G Cellular Network-in-a-Box for Warfighters

Harris introduced its "KnightHawk 3G" — a ruggedized, highly mobile tactical base station that enables warfighters on the move to maintain 3G cellular services in locations with limited or no cellular connectivity. The platform was jointly developed by Harris and Battleground Telecommunications Systems (BTS).

The KnightHawk 3G is a customizable cellular Network In a Box (NIB) compatible with commercial off-the-shelf (COTS) equipment, including smartphones and tablets. Each KnightHawk 3G is installed with BTS Praefectus Mission Management Software, which automates configuration and management of the cellular network, and enables each KnightHawk to operate autonomously or as a scalable network with hundreds of nodes for increased range. This compatibility allows users in the battlefield to leverage existing applications, thereby enabling them to track a team's location, automatically translate foreign languages, and conduct remote training using existing advanced programs.

KnightHawk 3G features UMTS High Speed Packet Access, providing extremely fast connectivity of 14.4 mbps for downloads and up to 5.76 mbps for uploads. It also offers the benefits of small size, weight and power (SWaP), making it ideal for mobile, multi-mission requirements in challenging environments.

"KnightHawk 3G is a landmark system that gives the U.S. military immediate access to millions of low-cost commercial devices already on the market while maintaining compatibility with future standards," said Dan Pearson, executive vice president and chief operating officer for Harris. "Our unique solution blends the principle of interoperability with capabilities that use the current cellular tower model and enables the military to deploy it on a variety of platforms while on the move."

ZTE Posts Q1 Revenue of US$2.3 Billion, up 14%

ZTE reported Q1 2011 revenue of RMB15,085 million (US$2.3 billion), up 13.8% compared to a year earlier. In the same period, net profit attributable to shareholders of the parent company grew by 15.86% to RMB127 million (US$ 19.37 million). Basic earnings per share was recorded at RMB0.05 (US$0.01).

Revenue generated by the segment of carriers' networks grew by 1.57% compared to the same period last year, reflecting the increase in sales of wireless systems, wireline switches and access systems.

Sales revenue from terminal products also grew by 51.04% compared to the same period last year, primarily driven by 3G handsets, GSM handsets, CDMA handsets and data card products.

There was a slight decline of 0.26%, year-on-year, in the sales revenue of telecommunications software systems, services and other products.

Juniper Posts Q1 Revenue of $1.1 Billion, up 21% YoY

Juniper Networks reported preliminary Q1 2011 revenue of $1.102 billion, up 21% year-over-year and down 7% sequentially.

GAAP net income was $130 million, or $0.24 per diluted share, and non-GAAP net income was $178 million, or $0.32 per diluted share for the first quarter of 2011. GAAP net income includes half a cent dilutive impact from net interest expense related to the $1 billion dollars of senior notes we issued during the quarter. Juniper's operating margin for the first quarter of 2011 decreased to 16.1% on a GAAP basis from 19.1% in the fourth quarter of 2010, and decreased from 17.6% in the prior year first quarter.

"Juniper delivered solid results in the first quarter and continued to build on market momentum," said Kevin Johnson, chief executive officer at Juniper Networks. "We are executing on our innovation roadmap with new solutions that define our vision of the new network. Innovation is at the core of our multi-year growth agenda."

Some highlights:

  • Router revenue was up 25% Y/Y to $749 million

  • Switching was up 37% Y/Y to $106 million

  • Enterprise revenue was up 13% Y/Y

  • Enterprise switching and security grew 21% and 15% respectively

  • Service Provider revenue was up 25% Y/Y driven by the company's edge product portfolio.

EC Adopts Rules for LTE in 900 and 1800 MHz Bands

The European Commission adopted rules on how the 900 and 1800 MHz radio frequencies should be extended to advanced LTE. EU countries must implement these rules by the end of 2011. As regards coexistence between UMTS, LTE and WiMAX and aeronautical systems above 960 MHz, several recommendations are made to mitigate interference.

Sprint and Clearwire Set 4G/WiMAX Wholesale Terms

Sprint Nextel and Clearwire agreed on new wholesale pricing terms that provide Clearwire a minimum of $1 billion during 2011 and 2012 for 4G wholesale services, comprised of minimum usage commitments of $300 million in 2011, $550 million in 2012 and $175 million in pre-payments for 4G wholesale services to be used in 2011, 2012 and beyond.

Clearwire said the deal enables it continue it network expansion. Sprint said the new wholesale terms provide clarity for its current 4G business. The company reportedly is developing other LTE options.

The companies also reached an agreement covering wholesale pricing for Sprint devices that operate on both Sprint's 3G network and Clearwire's 4G network. The agreement includes usage based pricing and volume discounts and is aimed at aligning the interests of both companies to enable growth for customers using smart phones and dual-mode devices. The agreement also includes minimum payments per 4G device.

"We are pleased to reach this wholesale pricing agreement with Clearwire," said Dan Hesse, Sprint CEO. "We look forward to working with them under this new agreement to provide an expanded offering of 4G capabilities and solutions for Sprint customers."

"Sprint has been our biggest and most important customer and partner since we launched 4G services in the U.S. more than two years ago," said John Stanton, Clearwire's interim CEO. "Today's agreement further aligns Sprint and Clearwire's interests and lays the foundation for a continued, constructive relationship. We are pleased to have the resources and partnerships necessary to maintain our 4G leadership and leverage our significant spectrum and capacity for delivering mobile broadband services."

NetLogic Introduces Digital Front End Processors for 3G/4G Base Stations

NetLogic Microsystems introduced a new family of digital front-end (DFE) processors for 3G and 4G/LTE base stations, remote radio heads (RRUs) and distributed antenna systems (DAS).

The new devices deliver 65MHz of occupied bandwidth, 145MHz of total bandwidth and 325MHz of pre-distortion bandwidth, which represents over 220% increase in bandwidth over competing available merchant DFE solutions, and at lower cost and power than FPGA-based solutions.

In addition, the innovative OP6100 DFE processor family supports multiple standards and multiple signals in the same wide bandwidth as well as full support over non-contiguous bands, and features NetLogic Microsystems' Intelligent Self-Adaptive DFE technology.

NetLogic said its new devices can process of multiple signal channels per band, as well as the multi-protocol co-existence of 4G LTE, 3G and 2G standards.

"Leading service providers are seeking ultra-wideband and multi-standard, common-platform base stations for their next-generation LTE rollouts," said Behrooz Abdi, executive vice president at NetLogic Microsystems. "Our ability to push the envelope to achieve 65MHz occupied bandwidth and 145MHz of total bandwidth gives us tremendous competitive advantages in addressing these next-generation base station opportunities."

ST Introduces Geo-Magnetic Module for Location Applications

STMicroelectronics introduced an ultra-low power geo-magnetic module for navigation and location-based services in portable consumer applications. It integrates high-resolution three-axis sensing of linear and magnetic motion in a 5 x 5 x 1mm package.

ST said this latest addition to its MEMS portfolio has been designed and produced using the same micromachining technology process that ST has already successfully applied to more than one billion motion sensors sold in the market. The module couples high-precision sensing with smart embedded features, including 6D orientation detection; two programmable interrupt signals that enable immediate notification of motion detection, free fall, and other conditions; and wake-up/power-down functionality.

Optus Selects NSN for Packet Core

Optus has selected Nokia Siemens Networks as its sole packet core vendor. Under a multimillion dollar agreement, Nokia Siemens Networks will supply an Evolved Packet Core to accommodate GPRS, WCDMA and LTE network traffic. It also includes Nokia Siemens Networks' new Flexi NG GGSN platform. Flexi NG provides a significant uplift in capacity, thereby, providing plenty of headroom to Optus for new product launches.

Nokia Siemens Networks will also provide its Charge@once Mediate solution that will allow Optus to introduce new services without making any major changes to its charging and billing systems. Nokia Siemens Networks' professional services including network planning, implementation and Care underpin the Evolved Packet Core deal. to address growing bandwidth requirements and offer new data services along with improving time to market.

"With the increasing use of data and smartphone applications, our Evolved Packet Core provides a springboard to operators such as Optus to launch new services," added Kalevi Kostiainen, head of Australia and New Zealand at Nokia Siemens Networks. "Moreover, our platform is LTE ready and adds enormous capacity to data transport channels, allowing Optus Open Network to be flexible in responding to the market demands related to high capacity, using a robust platform."

Atheros Aims HomePlug Green PHY at "Internet of Things"

Atheros Communications is backing the new HomePlug Green PHY for powerline communications as a pathway for the "Internet of Things" and key tool in building Smart Grid energy solutions for the home.

HomePlug Green PHY (HPGP) is a subset standard of the widely deployed HomePlug AV powerline standard. The Green PHY specification enables a low-power, low-energy and robust connectivity solution, while supporting data rates up to 10 Mbps for scalable IP connectivity. Green PHY products will be fully interoperable with those based on the HomePlug AV and IEEE 1901 standards.

Atheros is now introducing the first HomePlug Green PHY (HPGP) emulation development kit, which consists of a hardware platform based on existing HomePlug AV silicon, adapted to support serial peripheral interface (SPI) ports enabling connectivity to a vast family of low-cost and low-energy microcontrollers (MCUs), as well as an emulation firmware and software driver with application programming interfaces (APIs) to support future Atheros Green PHY products.

Atheros said this PL-14 HPGP development kit is the first in a series of wireless and wireline products aimed at the Internet of Things. Target applications for this new portfolio include smart grid, smart home, security, building automation, remote health and wellness monitoring, and other machine-to-machine (M2M) applications.

The PL-14 development kit also supports the robust OFDM (ROBO) modes that will be used in forthcoming PHY solutions. This feature enables customers to evaluate the true capabilities and range of Green PHY technology at signaling rates of 4, 5 and 10 Mbps.

In 2009, Atheros acquired Intellon, a developer powerline communications (PLC) solutions for home networking, networked entertainment, broadband-over-powerline (BPL) access, Ethernet-over- Coax (EoC) and smart grid management applications.

Verizon 2011 Data Breach Investigations Report: Cyber Criminals Refine Attacks

Data loss through cyber attacks decreased sharply in 2010, but the total number of breaches was higher than ever, according to the "Verizon 2011 Data Breach Investigations Report," which analyses 760 security incidents that were investigated by Verizon and the U.S. Secret Service during 2010. The number of incidents investigated was up, but the amount of data stolen or compromised was lower than the year before. Verizon attributes this to the increasingly refined methods of cyber criminal, who are now engaging in small, opportunistic attacks rather than large-scale, difficult attacks.

Hacking (50 percent) and malware (49 percent) were the most prominent types of attack, with many of those attacks involving weak or stolen credentials and passwords. For the first time, physical attacks -- such as compromising ATMs -- appeared as one of the three most common ways to steal information, and constituted 29 percent of all cases investigated. Approximately one-third of Verizon's cases originated in either Europe or the Asia-Pacific region, reflecting the global nature of data breaches.

Key Findings of the 2011 Report:

Large-scale breaches dropped dramatically while small attacks increased. The report notes there are several possible reasons for this trend, including the fact that small to medium-sized businesses represent prime attack targets for many hackers, who favor highly automated, repeatable attacks against these more vulnerable targets, possibly because criminals are opting to play it safe in light of recent arrests and prosecutions of high-profile hackers.

Outsiders are responsible for most data breaches. Ninety-two percent of data breaches were caused by external sources. Contrary to the malicious-employee stereotype, insiders were responsible for only 16 percent of attacks. Partner-related attacks continued to decline, and business partners accounted for less than 1 percent of breaches.

Physical attacks are on the rise. After doubling as a percentage of all breaches in 2009, attacks involving physical actions doubled again in 2010, and included manipulating common credit-card devices such as ATMs, gas pumps and point-of-sale terminals. The data indicates that organized crime groups are responsible for most of these card-skimming schemes.

Hacking and malware is the most popular attack method. Malware was a factor in about half of the 2010 caseload and was responsible for almost 80 percent of lost data. The most common kinds of malware found in the caseload were those involving sending data to an external entity, opening backdoors, and keylogger functionalities.

Stolen passwords and credentials are out of control. Ineffective, weak or stolen credentials continue to wreak havoc on enterprise security. Failure to change default credentials remains an issue, particularly in the financial services, retail and hospitality industries.

Recommendations for Enterprises

Focus on essential controls. Many enterprises make the mistake of pursuing exceptionally high security in certain areas while almost completely neglecting others. Businesses are much better protected if they implement essential controls across the entire organization without exception.

Eliminate unnecessary data. If you do not need it, do not keep it. For data that must be kept, identify, monitor and securely store it.

Secure remote access services. Restrict these services to specific IP addresses and networks, minimizing public access to them. Also, ensure that your enterprise is limiting access to sensitive information within the network.

Audit user accounts and monitor users with privileged identity. The best approach is to trust users but monitor them through pre-employment screening, limiting user privileges and using separation of duties. Managers should provide direction, as well as supervise employees to ensure they are following security policies and procedures.

Monitor and mine event logs. Focus on the obvious issues that logs pick up, not the minutiae. Reducing the compromise-to-discovery timeframe from weeks and months to days can pay huge dividends.

Be aware of physical security assets. Pay close attention to payment card input devices, such as ATMs and gas pumps, for tampering and manipulation.

The National High Tech Crime Unit of the Netherlands Policy Agency (KLPD) also contributed to the report.
A complete copy of the 74-page "2011 Data Breach Investigations Report" is available for download.

Russia's MTS Picks Tellabs for 3G Mobile Backhaul

MTS, which serves over 108.9 million mobile subscribers in Russia, Ukraine, Uzbekistan, Turkmenistan, Armenia and Belarus, has selected the Tellabs® 8600 Managed Edge System to support delivery of 3G mobile data services across Russia. Tellabs is now designated as a strategic supplier to MTS. Tellabs is working with local telecom solutions provider Intracom Svyaz. Financial terms were not disclosed.

"High-speed wireless data services are vital to our growth strategy," said Oleg Larionov, Director of Transport Networks Department at MTS Group. "The Tellabs 8600 series offers a proven backhaul solution that cost-effectively delivers network capacity that can scale to our future needs. We can now meet the challenge of today's growing traffic whilst providing high quality mobile data services."

ADVA Selected for Ultra-Low Latency NY-WASH Route

CFN Services has selected ADVA Optical Networking's FSP 3000 optical transport solution for an ultra-low latency network linking Washington, D.C., to New York/New Jersey trading venues. The CFN optical-fiber network will provide the N.Y./N.J. financial community the fastest available access -- 3.7 milliseconds RTD—to the Washington, D.C..

"The differences in optical-networking routes and gear have grown more distinct and important as the tolerance to latency in executing trades has minimized," said Brian Quigley, senior director of global strategy with ADVA Optical Networking.

ADVA Posts Q1 Revenue of EUR 70.4 Million, up 11% YoY

ADVA Optical Networking reported Q1 2011 revenue of EUR 70.4 million, up 11% year-on-year, after EUR 63.2 million in Q1 2010 and EUR 79.4 million in Q4 2010. This result is in line with guidance of between EUR 70 million and EUR 75 million. IFRS pro forma operating income, excluding stock-based compensation and amortization & impairment of goodwill & acquisition-related intangible assets, amounted to EUR 0.9 million in Q1 2011 or 1.3% of revenues, also in line with guidance of between 0% and 4% of revenues.

There was an IFRS operating loss in Q1 2011, amounting to EUR 0.3 million, after an operating income of EUR 1.9 million in Q1 2010. The key driver for this unfavorable development is the above-mentioned decrease of pro forma operating income.

"At EUR 70.4 million, our Q1 2011 revenues are in line with guidance and 11% above the levels seen in Q1 2010. Quarter-on-quarter, the 11% revenue decline vs. Q4 2010 is due to weak carrier infrastructure and enterprise business, following our strong growth in H2 2010 with revenues up 21% vs. H1 2010. Our pro forma gross margin decreased from 42.5% in Q4 2010 to 41.2% in Q1 2011, due to variations in product and customer mix. In Q1 2011, our pro forma operating margin came in at 1.3%, also in line with guidance, and demonstrates our focus on managing operational costs despite major incremental investments in our development activities. To a large extent, these activities have been driven by our strategic partnership with Juniper Networks, with a clear focus on quickly integrating our new agile optical core networking functionality into Juniper Networks' recently announced PTX Series Packet Transport Switch," commented Jaswir Singh, chief financial officer & chief operating officer of ADVA Optical Networking.