Monday, January 23, 2012

Talari Raises $4.5 Million for its WAN Virtualization Platforms

Talari Networks, a start-up based in San Jose, California, raised $4.5 million in new funding from current investors for its enterprise WAN virtualization technology.

Talari supplies a line of WAN appliances that aggregate multiple broadband connections into a single, virtualized pipe. The largest is a rack-mountable, 2U appliance that supports aggregation of WAN bandwidth up to 500 Mbps full-duplex, even while performing 128-bit AES encryption.

Talari's backers include Menlo Ventures, Silver Creek Ventures and private investors.

IBM Teams with NEC on OpenFlow

IBM is working with NEC to deliver OpenFlow based solutions to three early deployment sites. IBM offers an OpenFlow-enabled 10/40GbE top of rack switch and NEC offers a ProgrammableFlow OpenFlow-based network controller.

Stanford University, which has incubated the OpenFlow protocol, will deploy IBM and NEC’s solution in a parallel network to test OpenFlow’s applicability to the university’s production environment.

Tervela, which develops a distributed data fabric, has validated that this solution delivers a breakthrough in dynamic networking to ensure predictable performance of Big Data for complex and demanding business environments, such as global trading, risk analysis and e-commerce.

Selerity, provider of ultra-low latency event data, will employ IBM and NEC’s OpenFlow solution to accelerate real-time decision-making for global financial markets.

The companies expect OpenFlow and Software Defined Networking (SDN) will traction in enterprise data centers for Big Data, cloud and workload optimized systems. OpenFlow promises to help organizations to more easily modify, control and manage today’s dynamic physical and virtual networks.

“IBM’s investment in OpenFlow reflects the market reality that the data center network is vital to business, driving new ways for users to control the functionality of networks to meet application requirements more simply, flexibly and intelligently,�? said IBM Fellow and CTO of IBM System Networking Renato Recio.

“OpenFlow is a disruptive networking technology that offers a new level of interoperability and user control and which can ultimately transform the very economics of data centers. NEC and IBM have demonstrated leadership as early adopters of OpenFlow, as well as being first to market with a complete, high performance solution that addresses customer needs for a smarter network.�?

CommScope Develops Ultra-wideband Base Station Antennas

CommScope introduced a new family of ultra-wideband base station antennas for the 1710-2690 MHz frequency range.

The CommScope High-Bandwidth (HW) Family of Ultra-Wideband Base Station Antennas are available in three different configurations of two, four or six dual-polarization radiating arrays under a single radome. CommScope said its design offers potentially higher spectral efficiency through 100 percent passive intermodulation (PIM) testing performed on all base station antennas, contributing to system-wide noise containment. Each antenna in the HW family can be deployed in a variety of 2G, 2.5G, 3G and 4G environments, including LTE, UMTS, CDMA, GSM, and WiMAX. Operators can upgrade or switch to different technologies or frequencies as their needs change.

Celeno Supplies Wi-Fi for Amino IPTV Set-Top Boxes

Amino Communications has selected Celeno Communications to supply Wi-Fi silicon for a range of IPTV set-top boxes. Specifically, Amino will offer Wi-Fi/Ethernet bridges powered by Celeno’s CL1830 SoC to wirelessly enable after-market IP STBs, including the Aminet A130, A140 and A540. These bridges will enable whole-home wireless PVR functionality, allowing the consumption of centrally stored content anywhere in the home.

AT&T Pushes Ahead with Cloud-Based Unified Communications Services

AT&T is launching a new set of Unified Communications services for to businesses of all sizes. As with AT&T's other cloud solutions, which are embedded directly into the AT&T managed network, AT&T UC Services is accessible from almost any device, enabling employees to collaborate and communicate in real-time regardless of location.

AT&T UC Services is comprised of two major components: AT&T Unified Communications Central (UC Central) and AT&T Unified Communications Voice (UC Voice):

AT&T UC Central integrates multiple communications and collaboration tools such as IM/chat, email, VoIP calling, web/audio and video conferencing, voicemail, unified messaging and mobility with presence, behind a single user interface designed for both PC and mobile usage.

AT&T UC Voice provides high quality IP Telephony (IPT) from the AT&T cloud and can be used both as a stand-alone service or integrated with AT&T UC Central. AT&T is using the Cisco Hosted Collaboration Solution (HCS) platform as the core of this service.

"With AT&T Unified Communications Services individuals have full access to all of their communications tools at the tips of their fingers," said Shawn Conroy, Vice President of Voice, Collaboration and Unified Communications Services, AT&T Business Solutions. "Not only can this service leverage an organization's existing investments to improve business collaboration, it also provides an easy transition from where a customer is today to where they want to be tomorrow without incurring significant capital expenses. AT&T is breaking new ground by providing customers with simple, affordable access to carrier-grade UC functionality."

Codenomicon Launches Fuzz-o-Matic Software Security Testing

Finland-based Codenomicon introduced its cloud-based, "Fuzz-o-Matic" software security Testing-as-a-Service (TaaS) for applications running on Windows, Linux, Mac, and mobile operating systems.

Fuzz-o-Matic offers a hosted approach to application fuzzing for those who do not have in-house security testers or have a limited budget for penetration testing. Codenomicon said its application fuzzing uses unexpected inputs to stress-test software far beyond normal operating conditions. Most software testing simulates normal operating conditions to determine if software does what it is designed to do. Black-hat hackers use application fuzzing to find exploitable security bugs in unused or rarely-used software functionality.

Ekinops Introduces 20G Transponder

Ekinops introduced a dual channel transponder that lets network operators install two 10G circuits where they could previously install only a single 10G service. The module can be used on existing Ekinops networks or over third party line systems. It also uses Ekinops' "DynaFEC" (Dynamic Forward Error Correction) technology.

KPN Sells its Getronics Consulting Arm to Aurelius

Royal KPN is selling its Getronics divisions in Europe and APAC to Aurelius, a private equity firm. Financial terms were not disclosed.

Europe and APAC is an IT service provider offering workspace management, data management and hosting, as well as consulting services. The deal covers Getronics operational units in seven European and five APAC countries, with a total of 2,900 staff members and a turn-over of approximately 450 million euros in 2011. KPN will remain a long-term strategic partner via a minority stake in Getronics Europe and APAC.

Austria's H3G Deploys Alcatel-Lucent's 100G

H3G, one of the leading mobile operators in Austria, is deploying Alcatel-Lucent’s 100G optical coherent technology to meet growing subscriber demand for mobile Internet, video and other data services.

Under the agreement, Alcatel-Lucent will supply H3G Austria with its 100G coherent optical solution including the 1830 Photonic Service Switch (PSS) and the 1626 Light Manager (LM). The 1830 PSS brings together optical transport network (OTN) and wavelength division multiplexing (WDM) technology onto a single platform, which simplifies operations and cuts costs. With the 1830 PSS and 1626 LM, H3G will be able to support a mixture of 10G, 40G and 100G channels on the same fiber pair.

Matthias Baldermann, CTO of 3 Austria said: “Due to the rapid growth in 3G mobile broadband we are facing new challenges for our data network. Additionally, the introduction of LTE will increase the need for capacity. With Alcatel-Lucent’s help we will now have the most powerful data transport network in Austria, which will play an important role in maintaining our position as the leading provider of mobile data services. Also, because we are able to add these new capabilities to our existing network, we are able to move quickly to expand our services offerings without incurring a huge expense.�?

Clearwire Ends 2011 with 10.4 Million Users

Clearwire reported preliminary Q4 2011 revenues of approximately $362 million, representing a more than doubling of revenues from the prior year's fourth quarter. Retail revenues are estimated to be approximately $198 million and wholesale revenues are estimated to be approximately $164 million for the period, representing 1% and 20% sequential growth, respectively, over third quarter 2011 retail and wholesale revenues.

Clearwire added approximately 900,000 net wholesale subscribers in Q4 2011, resulting in approximately 9.1 million ending wholesale subscribers, or 11% growth over third quarter 2011 ending wholesale subscribers. Combined with approximately 1.3 million retail subscribers at the end of the year, the company expects total subscribers at December 31, 2011 to be approximately 10.4 million, representing approximately 140% year over year growth. These results reflect 2.9% wholesale churn and 3.9% retail churn in fourth quarter 2011.

Fourth quarter 2011 aggregate usage by wholesale customers increased approximately 22% compared to third quarter 2011, driven primarily by growth in aggregate smartphone usage, which increased approximately 30% over the same period. Total 4G network usage by wholesale and retail customers increased 165% during 2011.

In addition, Clearwire announced the pricing of an offering of $300.0 million aggregate principal amount 14.75% first-priority senior secured notes due 2016 at an issue price of 100%).

Verizon Posts Record Revenue, Fueled by -- Smartphones and FiOS

Fueled by continued strong demand for smartphones and FiOS fiber-optic services, Verizon Communications posted the highest year-over-year quarterly revenue growth in the company's 11-year history -- Q4 revenue of $28.4 billion on a consolidated basis, an increase of 7.7 percent compared with fourth-quarter 2010. For full-year 2011, revenues totaled $110.9 billion, a 4.0 percent increase compared with 2010, when results included revenues from operations that have since been divested.

Due primarily to non-cash pension charges, Verizon reported a loss of 71 cents in EPS in fourth-quarter 2011, compared with earnings of 93 cents per share in fourth-quarter 2010. Adjusted fourth-quarter 2011 earnings (non-GAAP) of 52 cents per share exclude $1.20 per share, or $3.4 billion after-tax, due to the actuarial valuation of Verizon's benefit plans, and 3 cents per share for the early extinguishment of debt.

"Verizon finished 2011 very strong, both in terms of revenue growth and by delivering an 18.2 percent total return to our shareholders for the full year, and the company has great momentum for 2012," said Lowell McAdam, Verizon chairman, president and chief executive officer. "Verizon Wireless produced particularly strong growth in the fourth quarter. While that diluted wireless margins in the short term, it is good news for revenue and margin growth over the long term, particularly given our leadership in the rapidly developing 4G LTE ecosystem."

Some highlights:

Cash flow from operating activities totaled $29.8 billion in 2011, and capital expenditures totaled $16.2 billion.

Free cash flow (non-GAAP, cash flow from operations less capex) was more than $13.5 billion in 2011.

Verizon returned $5.6 billion in quarterly dividends to shareholders in 2011, as the company's Board of Directors approved a fifth consecutive year of dividend increases.


Total revenues were $18.3 billion in fourth-quarter 2011, up 13.0 percent year over year.

Data revenues were $6.3 billion, up more than $1.0 billion or 19.2 percent year over year, and represented 41.6 percent of all service revenues.

Service revenues were $15.1 billion, up 6.4 percent year over year. For full-year 2011, total revenues were $70.2 billion, up 10.6 percent over full-year 2010, and service revenues were $59.2 billion in 2011, up 6.3 percent year over year.

Retail service ARPU grew 2.6 percent over fourth-quarter 2010, to $53.14. Retail postpaid ARPU grew 2.5 percent, to $54.80. Retail postpaid data ARPU increased to $22.76, up 14.3 percent year over year.

Verizon Wireless added 1.0 million total net connections in fourth-quarter 2011. The company added 1.5 million retail customers, including 1.2 million retail postpaid customers. While the wholesale channel grew during the fourth quarter, a loss of telematics customers resulted in a net decrease of 490,000 wholesale and other connections in the quarter.

Within retail, 1.2 million were postpaid and 252,000 were pre-paid. Within the postpaid net add mix, 1 million were smartphones and 400,000 were Internet data devices, the remaining being the net change in basic phones. Of particular interest, more than 700,000 of these net adds were 4G LTE smartphones or data devices.

During the quarter, Verizon Wireless activated 4.3 million Apple iPhones and sold 1.6 million 4G LTE smartphones. In addition, the carrier sold roughly 700,000 4G LTE Internet data devices.

At year-end 2011, the company had 108.7 million total connections, a 6.3 percent increase year over year, consisting of 92.2 million retail connections and 16.5 million wholesale and other connections.

At year-end 2011, smartphones accounted for 44 percent of the Verizon Wireless retail postpaid customer phone base, up from 39 percent at the end of third-quarter 2011.

Retail postpaid churn was 0.94 percent in fourth-quarter 2011, an improvement of 7 basis points year over year. Total retail churn was 1.23 percent, an improvement of 14 basis points year over year.

In Q4, Wireless capital spending was $1.8 billion, bringing the full year to $9 billion, an increase of 6.3%.The incremental spending in 2011 was a combination of 3G capacity requirements, driven by the Apple iPhone, and the continued rapid expansion of our 4G LTE network.


q4 revenues were $10.1 billion, a decline of 1.5 percent compared with fourth-quarter 2010. Consumer revenues grew 1.3 percent compared with fourth-quarter 2010.

Consumer ARPU for wireline services was $96.43 in fourth-quarter 2011, up 8.5 percent compared with fourth-quarter 2010. ARPU for FiOS customers totaled more than $148 in fourth-quarter 2011, rising approximately $2 year over year. FiOS services to consumer retail customers represented 61 percent of consumer wireline revenues in fourth-quarter 2011.

Global enterprise revenues totaled $3.9 billion in the quarter, up 1.3 percent compared with fourth-quarter 2010. Sales of strategic services - including Terremark cloud services, security and IT solutions, and strategic networking - increased 14.7 percent compared with fourth-quarter 2010 and represented 51 percent of global enterprise revenues in fourth-quarter 2011.

Verizon added 201,000 net new FiOS Internet connections and 194,000 net new FiOS Video connections in fourth-quarter 2011. Verizon had a total of 4.8 million FiOS Internet and 4.2 million FiOS Video connections at year-end.

FiOS penetration (subscribers as a percentage of potential subscribers) continued to increase. FiOS Internet penetration was 35.5 percent at year-end 2011, compared with 31.9 percent at year-end 2010. In the same periods, FiOS Video penetration was 31.5 percent, compared with 28.0 percent, respectively. The FiOS network passed 16.5 million premises at year-end 2011, up more than 900,000 from year-end 2010.

Broadband connections totaled 8.7 million at year-end 2011, a 3.3 percent year-over-year increase. FiOS Internet connections more than offset a decrease in DSL-based HSI connections, resulting in a net increase of 98,000 broadband connections from third-quarter 2011. Total voice connections, which measures FiOS Digital Voice connections in addition to traditional switched access lines, declined 7.2 percent to 24.1 million - the smallest year-over-year decline since first-quarter 2006.

In Wireline, capital spending was $1.6 billion in the fourth quarter, bringing the full year to $6.4 billion, a decline of more than $800 million or 12%, thanks to lower FiOS rollout spending.

Apple Sells 37.04 Million iPhones in Q4, up 128% YoY

Apple continues to gain momentum. Some stats from its record Q4 2011 report:

  • 37.04 million iPhones sold, representing 128 percent unit growth over the year-ago quarter. Apple says Siri in the iPhone 4s is positive factor in booming sales. The iPhone 4s is now for sale in 90 countries.

  • 15.43 million iPads sold during the quarter, a 111 percent unit increase over the year-ago quarter.

  • 5.2 million Macs sold during the quarter, a 26 percent unit increase over the year-ago quarter.

  • 15.4 million iPods sold, a 21 percent unit decline from the year-ago quarter.

  • There are now 85 million registered iCloud users.

  • There have been 315 million devices powered by iOS sold to date.

  • Verizon Wireless activated 4.2 million iPhones in Q4, according to the carrier's earning's call.

  • $1.7 billion in iTunes sales in the quarter

  • 140 million downloads from the iTunes store on Christmas day