Wednesday, February 5, 2020

State of NFV: Evolution of the NFV Market - Colt



2020 State of NFV Site: https://ngi.how/nfv-20

The NFV market is now moving to a maturity stage. Mirko Voltolini, Head of Network on Demand at Colt, discusses the evolution of the market and the significant NFV opportunities moving forward.

https://youtu.be/nbeiy5SrQWI

Vodafone to deactivate Huawei from its mobile core

Vodafone will remove Huawei equipment from the core of its mobile networks across Europe. Following the release of its quarterly financial report, Nick Read, Vodafone's Chief Executive, said the cost of deactivating the Huawei gear will amount to EUR 200 million over 5 years. The company's UK operations are already compliant with the government's recently imposed 35% cap of infrastructure sourced from "high-risk vendors."


For the quarter ended 31-December-2019, Vodafone Group revenue increased by €0.8 billion to €11.8 billion, reflecting the contribution from the acquired Liberty Global assets, partially offset by the disposal of Vodafone New Zealand and foreign exchange headwinds of €0.1 billion. Group organic service revenue increased by 0.8%* (Q2: 0.7%).



https://investors.vodafone.com/investor-relations?icmp=FooterLink

Vodafone to create Europe's largest TowerCo

Vodafone Group Plc will spin off most of its European tower infrastructure into a new, fully independent "TowerCo" company.

TowerCo, which will be operational by May 2020, will comprise 61,700 towers in 10 markets with potential proportionate EBITDA of around  EUR 900 million.


Vodafone has recently announced active and passive network sharing agreements in Italy, Spain and the UK.

Vodafone said it believes that there is significant scope to generate operational efficiencies and increase tenancy ratios across the portfolio by creating an independent company. Based on market benchmarks for anchor tenant lease rates, existing third party revenues and the attributable cost base, TowerCo could generate proportionate annual revenue and EBITDA of around €1,700 million and €900 million, respectively. TowerCo’s attributable annual maintenance and expansion capex could be up to €200 million.

A future IPO for the new organization is a possibility.

NTT Ltd. builds massive data center campus in Oregon

NTT Ltd. will build a new Pacific Northwest data center campus on a 47-acre property in Hillsboro, Oregon. The Global Data Centers division in the Americas (formerly known as RagingWire Data Centers) is planning on offering a total of 144 megawatts of critical IT load on the new Hillsboro campus. There will be five buildings with a total of 1 million sq. ft. of space. The first six megawatts of critical IT load will be available in mid-2020.

NTT Ltd.’s global data center portfolio ranks as the third-largest data center platform in the world, with over 160 data centers spanning more than 20 countries and regions.

“We are excited to be taking the next step forward in our North American expansion plans by building a new data center campus in a prime location in the Hillsboro market,” said Ryuichi Matsuo, Executive Vice President for NTT Ltd.’s Global Data Centers division. “It’s a strategic decision to build a large data center campus in a network rich, business-friendly environment which also has renewable energy available.”

“Connectivity to Asia through subsea cables, significant tax advantages, and low operational costs, all make Hillsboro a strategic game-changer for companies looking for a data center location that will positively impact their bottom line,” said Doug Adams, President and CEO for the Global Data Centers division in the Americas.



NTT Ltd launched on the 1st of July to bring together 28 brands from around the world like Dimension Data, NTT Communications, NTT Security as well as other NTT acquisitions made in the last 10 years.

Jason Goodall, the newly appointed CEO, talks about this new “40,000 employee startup” that brings together the multitude of assets operating in 57 countries.

Qualcomm cites 5G momentum but warns of unknown coronavirus impact

Qualcomm reported revenue of $5.077 billion for its fiscal first quarter ended December 29, 2019, up 5% compared to a year ago. GAAP net income amounted to $925 million, down 13% yoy.

"Our strong fiscal first quarter financial performance reflects a significant inflection point for Qualcomm as we begin to realize the benefits from the ramp of 5G,” said Steve Mollenkopf, CEO of QualcommIncorporated.

Qualcomm said over 275 5G devices have been announced or are in development, spanning multiple price tiers, based on its silicon. As of December, the three major Korean operators are serving a total of 4.7 million 5G subscribers. In China, over 13 million 5G handsets have been sold.

On an earnings conference call, company executives stressed that there is "significant uncertainty around the impact from the coronavirus on handset demand and supply chain."

FCC takes another look at TV whitespaces for broadband

FCC Chairman Ajit Pai has circulated a proposal to his fellow commissioners that would provide new opportunities for unlicensed white space devices for wireless broadband services in rural areas.  Specifically, Chairman Pai is proposing to permit higher transmit power and higher antennas for fixed white space devices in rural areas.  If adopted, these changes would allow white space devices to reach users at greater distances, thus enabling improved broadband coverage.  Higher power would also enable signals to better penetrate foliage, buildings, and other obstacles.  Additionally, his proposal would permit higher power mobile operations within geo-fenced areas and proposes rule revisions to facilitate the development of new and innovative narrowband Internet of Things-based services.  The FCC will vote on the proposal on February 28th.

“TV white spaces can play a critical role in providing broadband services to rural and underserved areas,” said Chairman Pai.  “I saw the promise of this technology in South Boston, a town in rural Virginia, where I met a student who said getting Internet access in his home was a game-changer.  The FCC has taken steps to enable the use of white spaces over the years, and this new proposal would further help bridge the digital divide while protecting TV stations.”

https://www.fcc.gov/document/chairman-pai-proposes-updating-tv-white-space-rules

Huawei files patent infringement case against Verizon

Huawei filed patent infringement lawsuits against Verizon in the United States District Courts for the Eastern and Western Districts of Texas seeking compensation for the use of technology protected by 12 of Huawei's US patents. Huawei said that it has negotiated with Verizon for a significant period of time before filing the lawsuits. The two parties were unable to reach an agreement on license terms.

"Verizon's products and services have benefited from patented technology that Huawei developed over many years of research and development," said Dr. Song Liuping, Huawei's Chief Legal Officer.

Huawei notes that it has spent more than US$70 billion on R&D in the past decade, which has resulted in more than 80,000 patents worldwide – including over 10,000 patents in the United States alone.

Carrier names AWS as its Preferred Cloud Provider

Carrier has named AWS as its preferred cloud provider.

Carrier, part of United Technologies, and which expects to become a standalone public company in the first half of 2020, offers building heating and cooling systems. The company is moving up to 70 percent of its 4,000 servers and 996 applications away from legacy servers and databases to AWS.

In addition, Carrier will use AWS data warehouse, analytics, and machine learning (ML) services to identify efficiencies in its manufacturing processes and supply chains, and AWS Internet of Things (IoT) services to underpin a new line of intelligent, networked products and services for the home, workplace, and refrigerated logistics chain.

“At Carrier, we are pushing to drive more innovation and connectivity to make buildings more sustainable, efficient, and comfortable,” said Bobby George, Vice President and Chief Digital Officer at Carrier. “Carrier’s work with AWS is an integral part of our digital transformation, and AWS is the hyperscale platform on which we expect to turn connected product and ecosystem data into opportunities for segment growth, new market channels, and improved customer experiences.”

Twilio reports Q4 sales of $331M, up 62% yoy

Twilio posted Q4 2019 total revenue of $331.2 million, up 62% from the fourth quarter of 2018 and 12% sequentially from the third quarter of 2019. Total revenue includes revenue from Twilio SendGrid starting on February 1, 2019 (the date of acquisition). Base revenue was $306.6 million, up 65% from the fourth quarter of 2018 and 11% sequentially from the third quarter of 2019.

GAAP loss from operations of $93.8 million for the fourth quarter of 2019, compared with GAAP loss from operations of $44.0 million for the fourth quarter of 2018.
Non-GAAP loss from operations of $3.0 million for the fourth quarter of 2019 compared with non-GAAP income from operations of $2.4 million for the fourth quarter of 2018.

Key Metrics and Recent Business Highlights

  • Entered into new or expanded relationships with organizations including PayPal, Southwest, Blablacar and Rappi.
  • More than 179,000 Active Customer Accounts as of December 31, 2019, compared to 64,286 Active Customer Accounts as of December 31, 2018. Active Customer Accounts in the current period include the contribution from Twilio SendGrid customer accounts.
  • Dollar-Based Net Expansion Rate was 124% for the fourth quarter of 2019, compared to 147% for the fourth quarter of 2018. Twilio SendGrid results do not impact the calculation of this metric in either period.
  • 2,905 employees as of December 31, 2019.

ADTRAN posts Q4 revenue of $116M

ADTRAN reported Q4 2019 revenue of $115.8 million compared to $140.1 million for the fourth quarter of 2018. Earnings for the fourth quarter of 2019 were a net loss of $12.7 million compared to a net loss of $8.4 million for the fourth quarter of 2018. Earnings per share was a loss of $0.26 per share compared to a loss of $0.18 per share for the fourth quarter of 2018. Non-GAAP earnings were a net loss of $3.2 million compared to a non-GAAP net loss of $5.8 million for the fourth quarter of 2018. Non-GAAP earnings per share was a loss of $0.07 per share compared to a non-GAAP loss of $0.12 per share for the fourth quarter of 2018.

ADTRAN Chairman and Chief Executive Officer Tom Stanton stated, “While the U.S. market remains challenging, we saw a solid performance in our international business. We continue to see activity building around our 10G PON and fiber extension solutions across all geographies we serve, most notably in Europe. We believe we are at the beginning of a significant investment cycle for fiber deployment driven by technology advancements, regulatory influences and vendor disruption.”

See also