Thursday, January 26, 2006

Telecom Italia and Cisco Target DoS/DDoS Attacks

Telecom Italia Sparkle (TI Sparkle) is rolling out a network-based solution designed to provide more effective protection against Denial of Service (DoS) and Distributed Denial of Service (DDoS) attacks for international wholesale customers of the TI Sparkle IP backbone (SEABONE). S@FE is the result of close cooperation between TI Sparkle and Cisco Systems. Trials are currently underway.

Deutsche Telekom Reaches 8.5 Million DSL, and 86.6 Million Mobile Subscribers

Deutsche Telekom released key growth figures for 2005, citing gains the broadband and mobile sectors. Some highlights:

  • The Mobile segment remained the key growth driver for Deutsche Telekom in the fourth quarter of 2005 and the group now has over 86.6 million users. Organic customer growth over the full year amounted to just under 12 percent or around 9.0 million. Around another 200,000 customers can be added from the newly consolidated Monet/Montenegro.

  • T-Mobile USA added 1.4 million net new customers in the fourth quarter of 2005 and served 21.7 million customers at the end of the year.

  • T-Mobile Deutschland achieved an increase of more than 2.1 million customers to 29.5 million in 2005, of which over 48 percent postpay customers.

  • During Q4 2005, the number of broadband lines in Germany and abroad rose by around 10 percent, or 762,000, to 8.5 million. In Germany, around 7.9 million DSL lines provided by T-Com were in operation at the end of 2005. Some 660,000 new DSL lines were put into operation in the fourth quarter.

  • The Broadband/Fixed Network segment registered around 182,000 own new DSL lines in the retail business on a net basis and around 479,000 resale lines that are sold by competitors.

  • The number of DSL lines provided by DT companies in Central and Eastern Europe more than doubled year-on-year to 541,000. Broadband lines exceeded the 100,000 mark at both T-Hrvatski Telekom and Slovak Telecom by the end of 2005 as a result. The growth accelerated in the fourth quarter with 48,000 new broadband customers in Hungary, 30,000 new customers in Croatia and 24,000 new customers in the Slovak Republic.

  • The number of narrowband lines in Germany and abroad fell by 3.7 percent to 41.2 million, in Germany by around 4 percent to 35.2 million year-on-year. The decrease in the number of ISDN lines was greater than that of analog lines.

  • T-Online increased the number of customers with a billing relationship to 14.0 million by the end of the year. The company delivered 15.5 million music downloads in 2005. The Video on Demand service offered by T-Online Vision currently delivers about 80,000 movie downloads per month.

3Com Names New CEO

3Com named R. Scott Murray President and Chief Executive Officer, replacing Bruce Claflin who retires. Murray also assumes Claflin's position on the 3Com Board of Directors. Murray will shortly become Chairman of the company's joint venture in China, Huawei-3Com.

Prior to accepting the role of CEO for 3Com, Murray was the CEO of Modus Media International, a global provider of supply chain management and hosted services. While at Modus, he expanded the company's operations in Europe and Asia, particularly in China. In addition to his work with Modus Media, Murray also was president and chief operating officer for Stream International, an outsourced Customer Relationship Management (CRM) services company. He previously served as CFO for the Learning Company, a publicly traded software company.

ITU Standardizes on PacketCable 1.5 Suite

The International Telecommunications Union (ITU) approved a suite of CableLabs' PacketCable specifications as standards for the international version of services including VoIP.

PacketCable-based standards are known internationally as IPCablecom, and this recently approved suite covers such topics as architecture, network call signaling, call management server (CMS) to CMS signaling, quality of service (QoS), support for multimedia and other functions necessary to provide time-critical interactive services over a cable television network using IP.

The ITU approval stems from work carried out in October by ITU Study Group (SG) 9, which is entitled Integrated Broadband Cable Networks and Television and Sound Transmission group. SG 9 is chaired by CableLabs President and CEO Dr. Richard R. Green. ITU approval came in late November after consultation with its member states and sector members.

Many of the approved recommendations originated in CableLabs. In addition to the suite of 16 PacketCable 1.5 specifications that now are international standards, the ITU also standardized on CableLabs contributions from the DOCSIS and CableHome projects. J.128 references a Set-top Gateway specification for transmission systems for interactive cable television services. J.197 pertains to high-level requirements for a Digital Rights Management Bridge to a Home Network and a revision to J.192, a residential gateway to support the delivery of cable data services, which aligns it with CableHome 1.1.

GlobeCast Renews Contract with Intelsat for IA-5 Capacity

GlobeCast WorldTV renewed a long-term, multi-transponder contract for Intelsat-Americas 5 (IA-5) satellite capacity to support the substantial growth of its international television distribution platform over North America. IA-5, located at 97 degrees W, hosts one of the largest neighborhoods of international video programming in the U.S. and has been home to GlobeCast WorldTV since 1998.

GlobeCast WorldTV is an aggregator and distributor of premium international television and radio channels in North America for delivery via direct-to-home (DTH), cable, IPTV, hotels, multiple dwelling units (MDU's) and commercial establishments. More than 161 WorldTV television and radio channels originate from Europe, the Middle East, Asia, Africa and the Americas, and represent 41 countries in over 33 languages, offering a unique line-up of native homeland programming as well as original in-language programming tailored for U.S. audiences.

Amaru Prepares to Launch Global IPTV Service over the Internet

M2B World, a company based in Singapore with a subsidiary named "Amaru" based in Hollywood, California, is launching a Global IPTV service that will offer 40-channels of content streamed over the Internet to an Amaru-provided set-top box. Amaru is partnering Zentek Technology Singapore (Zentek) for the design of the set-top boxes and for technical service support to customers on a worldwide basis. Amaru said its content will range from Hollywood movies, documentaries, music, fashion and lifestyle to travel and leisure, corporate training and professional development. In addition, an "IPTV cache" will feature karaoke on-demand, Asian programming (in particular Korean serials) and the latest Hollywood blockbusters.

Amaru operates video server farms in Singapore and in San Jose, California.

Amaru and its M2B World subsidiaries target to ship 250,000 set-top boxes worldwide within the year.

The service launch is planned for February 2006. Pricing has not yet been announced.

Sri Lanka Telecom Deploys Juniper for MPLS

Sri Lanka Telecom (SLT) has further expanded its network with Juniper Networks M-series multiservice routing platforms and E-series Broadband Services Routers.

The M-series platforms enable SLT to offer advanced MPLS-based Virtual Private Network (VPN) services to business consumers in Sri Lanka. SLT has also upgraded its broadband infrastructure with Juniper's E-series to enable advanced multiservice broadband offerings.

SLT previously deployed Juniper Networks M-series to replace its legacy Internet gateway routers. The carrier now plans to introduce MPLS Layer 2 and Layer 3 VPNs, and VPLS, as well as integrated voice, video and data (triple play) broadband services. Financial terms were not disclosed.

AOL Signs New Broadband Deals with BellSouth, Time Warner and Verizon

AOL announced new broadband partnership deals with major network operators, including BellSouth, Time Warner Cable, Verizon and other DSL carriers.

The deals enable AOL to offer its premium Internet service over a high-speed connection for as low as $25.90. In BellSouth's territory, AOL High Speed will be offered at $29.90.

AOL said its plans to launch aggressive marketing for the new AOL High Speed offering, hoping to encourage its dial-up subscribers to upgrade to broadband. AOL is working with BBDO New York for national television, radio and print advertising.

"With the new AOL broadband network, we're leveraging the strength of our service and our customer relationships to make the most of the shifting broadband marketplace," said Jonathan F. Miller, Chairman & CEO of America Online, Inc. "We are taking advantage of the improving economics of broadband access to create an offering that combines the AOL service with the speed of broadband at a competitive price. In so doing, we're building a better experience for our members, bringing new subscribers to our network partners, and enhancing the lifetime member value of our customer relationships."

Cisco Cites CRS-1 Core Router Deployments in China

China Education and Research Network (CERNET), the world's largest education network, has deployed the Cisco CRS-1 Carrier Routing System to provide increased bandwidth and improved performance to more than 20 million Internet users in China. The Cisco CRS-1 in its core network nodes in five cities: Beijing, Shanghai, Guangzhou, Wuhan and Nanjing. The CERNET network links more than 1,000 major universities and research institutions in China.

Shanghai Telecom has replaced numerous routers powering its "super" point of presence "POP," or high-speed core IP network, with the Cisco CRS-1. Shanghai Telecom is the first telecom operator in China to adopt the Cisco CRS-1 Multichassis System, which can be scaled up to 72 line-card shelves, totaling 1,152 slots, providing room for system expansion to satisfy the company's needs for the next 10 to 15 years. Shanghai Telecom offers IP-based services and network connections to ChinaNet, China Telecom's national Internet network.

As China's largest Internet service network, ChinaNet currently offers services countrywide with more than 18 million broadband subscribers and a total capacity of 4,000 Gbps, accounting for more than half of China's bandwidth for Internet services. Cisco CRS-1 transited the previous multi-router structure of ChinaNet's core network nodes in eight cities: Beijing, Shanghai, Guangzhou, Tianjin, Xi'an, Chengdu, Wuhan and Nanjing. After integration, ChinaNet significantly enhanced the network capacity and improved management efficiency, enabling China Telecom to strengthen broadband business as well as laying foundation for the development of next-generation Internet applications.

Lockheed Martin Awarded $2 Billion USAF Networking Contract

Lockheed Martin was awarded a $2 billion contract to lead the development of an advanced, high-bandwidth, global communications network for the U.S. Air Force.

The 10-year contract for the TSAT Missions Operations System (TMOS) program will link the Transformational Satellite Communications Systems (TSAT) program to the Global Information Grid (GIG) and is expected to commence operations in 2014. TSAT will provide mobile forces a high-bandwidth connection to the GIG from virtually anywhere in the world, while protecting its users from enemy detection, eavesdropping and jamming. Its high-capacity links are expected to significantly increase the military's capability to support its deployed forces with real-time intelligence, surveillance and reconnaissance.

Lockheed Martin said work on the TMOS program will be conducted in San Jose and Los Angeles, California to start and will eventually involve more than 300 people including subcontractors working around the country. The Lockheed Martin-led team includes leading defense and commercial IT experts, including Northrop Grumman, Telcordia Technologies, SAIC and Verizon.
  • In late 2003, the Defense Information Systems Agency (DISA) selected Science Applications International Corporation's (SAIC's) to build its Global Information Grid - Bandwidth Expansion (GIG-BE) system. GIG-BE is designed to enhance the Defense Department's network infrastructure to operate at 10 Gbps in support of voice, data, video, and transport services among more than 100 key locations worldwide. Analysts estimated the cost of the project in the hundreds of millions of dollars. SAIC has awarded a number of subcontracts under the project: Ciena for optical transport systems; Sprint/Sycamore for optical digital cross connect equipment; Juniper Networks for IP routers; and Qwest Government Services/Cisco Systems for multi-service provisioning platforms. Ciena confirmed that it will supply its CoreStream optical transport and switching platform for deployment in DISA's GIG-BE optical IP terrestrial network. Juniper Networks also confirmed that it was been awarded a multi-year contract for its M- and T- series routing platforms. Deployment commenced in early 2004.

  • The Global Information Grid - Bandwidth Expansion (GIG-BE) program reached full operational capability as of December 2005

Wednesday, January 25, 2006

Movaz Raises $20 Million for its Optical Networking

Movaz Networks closed $20 million in equity financing and secured an additional line of credit for $12 million, supporing its optical networking solutions.

Movaz recently announced the in-service deployment of its multi-degree ROADM, providing dynamic reconfigurability across rings, at hub locations, and through spur junctions.

The company claims 90 customers around the world and over 4,000 nodes currently in service.

Movaz said the combined $32 million financing enables it to support its expanding operations and also provides a solid foundation for continued revenue and customer growth. The company said it saw its revenue increase by a record 66% in 2005 over the previous year. The top-tier investor syndicate that led this financing included Anschutz Investment, Comcast Interactive Capital, Menlo Ventures, Oak Investment Partners, Meritech Capital Partners, and Worldview Technology Partners.

Redback Reaches Revenue of $48.0 million, up 32% Sequentially

Redback Networks reported net revenue for the fourth quarter of 2005 of $48.0 million, an increase of 32 percent from the third quarter of 2005. Net revenue was up $15.9 million, or 50 percent, over the fourth quarter of 2004. Net revenue for the fiscal year 2005 jumped to $153.3 million, compared with $115.6 million in fiscal year 2004. GAAP net income for the fourth quarter of 2005 was $0.3 million or $0.01 per share attributable to common stockholders compared to a GAAP net loss of $12.0 million or $(0.23) per share in the fourth quarter of 2004.

Microsoft Launches "Live Labs" Research Initiative

Microsoft announced the formation of "Live Labs," a new initiative between MSN and Microsoft Research aimed at providing "consistency in vision, leadership and infrastructure as well as a nimble applied research environment that fosters rapid innovations."

Microsoft Live Labs, which will be headed by Dr. Gary William Flake, noted industry technologist and Microsoft technical fellow, will focus on Internet-centric applied research programs including rapidly prototyping and launching of emerging technologies, incubating entirely new inventions, and improving and accelerating Windows Live offerings. Ray Ozzie, Craig Mundie and David Vaskevitch, Microsoft's chief technical officers, will serve as the Live Labs Advisory Board.

Live Labs will investigate a broad and comprehensive set of research topics such as multimedia search, machine learning, distributed computing and data mining, and will engage in rapid prototyping and the incubation of disruptive technologies. Unlike basic research, which is geared toward visionary discoveries that may or may not end up in actual products, and product development, which is feature-focused and geared toward solving tactical engineering problems, Live Labs' applied research will study the relationship and applicability of theories or principles to the solution of a problem or an actual product or service.

Microsoft also announced the hiring of Dr. Ashok Chandra, a notable industry and academic researcher, as general manager of Search Labs, a new organization devoted to innovation and incubation that will be closely aligned with Live Labs. Search Labs will be stationed in Redmond and at the Microsoft Silicon Valley campus in Mountain View, Calif. Search Labs will focus on areas such as personalization, socialization and improved user experiences while maintaining strict regard for user privacy. In addition, Chandra's teams will build technologies for data mining, vertical industries and parametric capabilities to go beyond the search bar experience.

Nokia Estimates 2 Billion Mobile Subscribers Globally, 795 Million Mobile Phones Shipped in 2005

Nokia shipped 84 million mobile devices in Q4 2005, up 26% sequentially and 27% year on year. The company calculates it held 34% of the global market, which is it estimates at 244 million units, up 23% sequentially and 25% year on year .

Jorma Ollila, Nokia's Chairman and CEO, said "Our quarterly sales reached more than EUR 10 billion for the first time ever this quarter, and we achieved record breaking device volumes and healthy device market share gains during the full year. Nokia's sales grew 16% in 2005, the highest sales growth we have seen since 2000, while our EPS grew 20%.

For our industry, it was another year of strong growth in mobile device volumes. Nokia estimates that the global device market grew 24% in 2005, to 795 million units for the full year, with an estimated 2.2 billion mobile subscribers worldwide by year end.

Nokia's own mobile device volumes in 2005 increased 28%, reaching a record 265 million units. We also increased our full year global market share to an estimated 33%, driven by gains in China, Asia-Pacific, and Europe. At the same time we more than tripled our market share in WCDMA."

Outlook for 2006

Nokia expects the mobile device market volume to grow more than 10% in 2006, from its preliminary estimate of approximately 795 million units in 2005. Nokia also expect the device industry to experience value growth in 2006, but also expect some decline in industry average sales prices (ASPs), primarily reflecting the increasing impact of the emerging markets.

Nokia expects moderate growth in the mobile infrastructure market in EUR terms in 2006.

Level 3 to Acquire Florida's Progress Telecom for $137 Million

Level 3 Communications agreed to acquire Progress Telecom, a regional wholesale network services company based in St. Petersburg, Florida, for $137 million, consisting of $68.5 million in unregistered shares of Level 3 Common Stock and $68.5 million in cash.

The Progress Telecom network features diversely routed fiber, DWDM and SONET connecting nearly 200 POPs across the south-eastern U.S. The infrastructure includes over 8,524 route-miles of fiber and 29 metro networks. Progress Telecom currently generates annualized revenue of approximately $70 million and approximately $7 million of annualized positive free cash flow.

Progress Telecom is jointly owned by Progress Energy and Odyssey Telecorp.

"This transaction represents a unique opportunity to expand Level 3's footprint in the southeastern region of the United States, where we have seen strong demand for our services," said Kevin O'Hara, president and chief operating officer of Level 3. "More importantly, we serve a number of the same large, key customers, particularly certain wireless and international customers. We believe that the completion of this transaction will enable us to expand our relationship with these customers and offer them a broader set of services in more markets outside the southeast. Progress Telecom is a very successful wholesale carrier in the southeastern United States and this acquisition will increase the extent of our network coverage in the region."http://www.level3.com

Tellabs Reports Revenue of $521 million, up 16% YoY

Tellabs reported Q4 2005 revenue of $521 million, up 37% from $379 million in the fourth quarter of 2004. For the year 2005, Tellabs revenue totaled $1.9 billion, up 53% from $1.2 billion in 2004. Compared with the full revenues of Tellabs, AFC and Vinci Systems, revenue increased 16% for the fourth quarter of 2005 and 13% for the full year.

Tellabs earned $92 million or 20 cents per share in the fourth quarter of 2005 on a GAAP basis, compared with a year-ago net loss of $139 million or 32 cents per share.

  • Transport -- Revenue from transport systems totaled $170 million, up 8% from $157 million in the fourth quarter of 2004. For the full year, transport revenue was $638 million, up 7% from $598 million in 2004.

  • Access -- Revenue from access solutions totaled $180 million, up from $53 million in the fourth quarter of 2004. Compared with the full fourth-quarter 2004 access revenues of Tellabs, AFC and Vinci Systems, access revenue increased 46%. Access revenue for 2005 was $617 million, up from $53 million in 2004. Full-year 2005 access revenue was 29% higher than the full 2004 access revenues of Tellabs, AFC and Vinci Systems.

  • Managed Access -- Revenue from managed access systems was $91 million, down 19% from $112 million in the fourth quarter of 2004. Managed access revenue for 2005 was $365 million, up 10% from $331 million in 2004.

  • Broadband Data -- Revenue of broadband data products was $31 million, compared with $3 million in the fourth quarter of 2004. Full-year 2005 revenue in broadband data was $60 million, more than triple the 2004 year-end revenue of $17 million.

  • Voice-Quality Enhancement -- Revenue from voice-quality enhancement amounted to $6 million, versus $13 million in the fourth quarter of 2004. VQE revenue for the full year was $36 million, down from $75 million in 2004. Since Tellabs has incorporated voice-quality enhancement features into its transport products, in 2006 the company will include this revenue in the transport category.

  • Services and Solutions-Services and solutions revenue was $44 million, up 8% from $40 million in the fourth quarter of 2004. Services revenue for 2005 totaled $167 million in 2005, up 6% over the 2004 total of $158 million.

"Customer demand for broadband wireless and fiber access continues to propel Tellabs' growth," said Krish A. Prabhu, Tellabs president and chief executive officer. "Tellabs is well-positioned to grow as our customers invest in upgrading their network infrastructure to handle the proliferation of broadband devices and multimedia Internet content."

Avaya and SAP Team on CRM

Avaya and SAP America will jointly market mySAP Customer Relationship Management (mySAP CRM) with Avaya Interaction Center software. Initially, both companies will be working with select customers to build awareness of the relationship and the intrinsic value of Intelligent Communications that will result from the joint solutions that are being developed.

The companies said this combination of Avaya intelligent routing within the context of information from mySAP CRM will get the right customer to the right business associate more efficiently, reducing holding times, delays and call backs for customers while optimizing company resources.

Customer service agents using SAP's market leading CRM solution will have the capability to interact with customers through voice, email, and Web communication through their mySAP CRM console, enabled by Avaya contact center software.

Casio Licenses QUALCOMM's 3G CDMA

QUALCOMM has granted Casio a worldwide license to develop, manufacture and sell subscriber units implementing any 3G CDMA standard. The royalties payable by Casio are at QUALCOMM's standard rates and are the same irrespective of the CDMA standard implemented by the subscriber unit.

QUALCOMM also signed a worldwide subscriber unit license agreement with Yulong Computer Technology Co., a subsidiary of China Wireless Technologies, to develop, manufacture and sell subscriber units implementing any 3G CDMA standard (i.e., CDMA2000(R) 1X/1xEV-DO, WCDMA/UMTS). The royalties payable by Yulong are at QUALCOMM's standard rates and are the same irrespective of the CDMA standard implemented by the subscriber unit.

EMC Scales Storage Array to Over One Petabyte

EMC introduced the first storage array capable of scaling to more than one petabyte (1,024 terabytes) of capacity. The record capacity is made possible through the qualification of Symmetrix DMX-3 system configurations supporting up to 2,400 disk drives and the availability of new 500 gigabyte low-cost Fibre Channel (LC-FC) disk drives.

The new disk drive technology, which compatible with the company's Symmetrix DMX systems, enables the consolidation of more information, applications and storage tiers into fewer arrays and storage networks. EMC said it is the first to deliver this new disk drive technology in a high-end array.

EMC also introduced a new entry-level Symmetrix DMX-3 system that enables customers to incrementally scale the performance and capacity of a single array from 7 terabytes, using 96 disk drives, to more than a petabyte with 2,400 disk drives.

BT to Manage Microsoft's Global Call Center Routing

BT was awarded a 2-year contract to manage Microsoft's global OneCall call center routing. Under the agreement, BT will design, build, deploy and manage a solution to unify and manage Microsoft's contact centers throughout the world into a single network-based contact center environment. The contract calls for an 18-month deployment schedule across 77 Microsoft call centers around the world, with potential to expand to more than a hundred centers globally.

The OneCall solution will enable Microsoft's call centers world-wide to be centrally managed for call routing, resulting in improved customer service levels and better use of call center agents. The call centers support customer service and support, sales and marketing.