Tuesday, January 20, 2009

NSN Tests Orthogonal Sub Channel, Doubling GSM Capacity

Nokia Siemens Networks successfully employed Orthogonal Sub Channel (OSC) technology to carry four calls in one GSM radio timeslot. This effectively doubles the voice capacity of the GSM radio network.

The OSC demonstration was conducted as a drive test using four handsets sharing only one radio timeslot and without compromising the call quality. The demonstration, which was held on January 21, used existing commercially available GSM handsets.

Nokia Siemens Networks said the OSC demonstration was the first of its kind The company is actively contributing to the standardization of OSC and is planning to have the technology commercially available in 2010.

"This successful demonstration opens up a profitable growth path for operators, evolving their networks to a new level of efficiency with minimized CAPEX and OPEX. This is made possible by a software upgrade to existing Flexi EDGE Base Station and Base Station Controller. OSC is fully interoperable with existing handsets, so it promises immediate cost saving for operators", said Prashant Agnihotri, Head of GSM/EDGE product management, Nokia Siemens Networks.

The OSC innovation is also an important addition to Nokia Siemens Networks' offering of sustainable and green products and solutions. With OSC, operators can gain more capacity from the same base station hardware, meaning fewer base station sites are needed in network rollouts and capacity extensions, which in turn saves energy and decreases the CO2 emissions.

SingTel Offers WAN Optimization based on Riverbed

Singapore Telecommunications (SingTel) is now offering a Traffic Optimization and Profiling Service Application Accelerator (TOPS AA) service based on Riverbed's WAN optimization platform. The service accelerates the delivery of data over WAN, improving the performance and speed of corporate applications such as e-mail, data back-up, web browsing, document sharing and management, Enterprise Resource Planning (ERP) and Customer Relationship Management (CRM). The TOPS AA solution is hosted and fully managed by SingTel.


ZTE Selects PMC-Sierra's Metro Transport Silicon

ZTE has selected PMC-Sierra's CHESS metro transport architecture for its Unitrans product line. ZTE's Unitrans series of optical network products is widely deployed by over 250 operators in more than 90 countries worldwide.

PMC-Sierra's CHESS III chipset for aggregating, grooming and transporting 2.5 Gbps and 10 Gbps metro services offers a wide range of STS-1/AU-3 cross-connect solutions as well as a highly integrated framer solution for MSPPs and ROADMs.

Blue Coat Opens "Green" Corporate Headquarters

Blue Coat Systems, which supplies WAN optimization and Secure Web Gateway products, has occupied its new corporate headquarters in Sunnyvale, California. The new facility is are designed to minimize its environmental impact through reduction in electricity and water consumption, increased recycling and reduction of waste. The new facility is an integral element of the company's "Blue Planet" initiative intended to reduce the company's environmental impact, save operational costs and educate employees to decrease their own carbon-footprints.

"Blue Coat is committed to being a good steward of the environment in all aspects of business through the lessening of our carbon footprint and reduction of resources we consume," said Brian NeSmith, president and chief executive officer, Blue Coat Systems. "Blue Planet is our corporate initiative for a greener company, and is intended to help our employees, partners and even customers become more environmentally responsible. It's the right thing to do for our planet and it provides us considerable operational savings in the process."

Besides the new environmentally-friendly headquarters, Blue Planet programs encompass:

  • Significant changes to its IT systems to reduce power consumption from servers and other resources

  • Design for environment engineering and development efforts to create more energy-efficient products that are recyclable and environmentally-friendly; Blue Coat products are already RoHS compliant and meet the other environmental requirements of international jurisdictions

  • Travel-reduction programs coupled with new video conferencing systems and other virtual meeting enablers

  • Employee education, contests and best practices collaboration

  • Worldwide product fulfillment streamlining for carbon reduction and cost reduction

  • Use of Blue Coat's own ProxyClient software to enable employees to work safely and efficiently from home or remote locations

  • Blue Coat expects its Blue Planet initiative to reduce operational costs by at least $4 million and at least 4,000 metric tons of carbon dioxide (CO2) in the next 12-18 months.

Veraz Networks Exceeds Financial Guidance

Veraz Networks expects preliminary financial results for the fourth quarter ended December 31, 2008, to exceed previously provided guidance. Specifically, based on preliminary data, Veraz Networks expects to announce the following selected Q4 results:

  • Revenues to be in the range of $25.5 million to $26.5 million, as compared to previous guidance of $22 million to $24 million.

  • Net loss to be in the range of ($2 million to $1 million), or ($0.04 to $0.02) loss per share, as compared to previous guidance of a loss of ($3 million to $2 million), or ($0.07 to $0.04) loss per share.

  • On a non-GAAP basis (after exclusion of stock compensation and SEC inquiry related expenses), net income to be breakeven to $1 million, or $0.00 to $0.02 income per share, as compared to previous guidance of a net loss of ($2 million to $1 million), or ($0.04 to $0.01) loss per share.

  • Net cash and short term investments to have increased by approximately $3.5 million, as compared to previous guidance of net cash used by operations of ($3 million to $2 million).

Full results are expected on February 17, 2009.

BridgeWave Supplies Gigabit Wireless Gear for State of Maryland

BridgeWave Communications announced a contract with the State of Maryland specifying BridgeWave as an approved gigabit wireless vendor for state and local agencies throughout the State of Maryland.

The Two-Way Radio Equipment and Services Master Contract includes BridgeWave Communications' entire catalogue of high-capacity 60-80 GHz products.

In addition, BridgeWave Communications noted that it is the only wireless vendor in the State of Maryland's Master Contract offering exclusive AdaptRate (AR) technology with the Advanced Encryption Standard (AES) feature. Unfavorable weather conditions like rain may at times interfere with ordinary outdoor wireless solutions' connectivity. BridgeWave's AR-enabled radios switch transmissions from GigE to 100 Mb/s data rates in times of torrential downpour to maintain a highly available link. Additionally, BridgeWave's advanced security products, including the AES feature add another layer of data protection to the inherently secure wireless links.

Avago Debuts 10 Gbps Parallel Optic Module with 120 Gbps Throughput

Avago Technologies introduced a 10 Gbps parallel optics transmitter and receiver pair that can reach data throughput levels of up to 120 Gbps.
The AFBR-810BxxZ and AFBR-820BxxZ high-density modules leverage 12 independent channels each and deliver superior signal integrity with support for the new P-POD pin-out standard. These modules are capable of supporting distances of up to 50 m. Avago's new parallel optic modules require only 2.4W per module.

Westell Appoints Richard Gilbert as new CEO

Westell Technologies has appointed Richard S. Gilbert as its new President and CEO, replacing Bernie Sergesketter ,

who has served as interim CEO since July 2008. Gilbert most recently served as President and CEO of Kineto Wireless, a provider of Unlicensed Mobile Access (UMA) technology as well as supporting products that are used to enable Fixed-Mobile Convergence (FMC). From 1998 to 2005, Gilbert was the Chairman and CEO of Copper Mountain Networks, a provider of broadband access products. Prior to Copper Mountain, Gilbert was the President of ADC Kentrox, one of the fastest growing and most profitable divisions of ADC Telecommunications.

AT&T and WebTech to Provide Vehicle Tracking under "Clean Trucks" Program

AT&T Business Solutions is working with WebTech Wireless Inc. to provided a wireless vehicle tracking and monitoring solution to the Port of Los Angeles and the Port of Long Beach in California. The telematics program supports the ports' Clean Trucks Program. The initial phase of the tracking system includes the installation of 600 WebTech Locators in new trucks and is available immediately to program applicants.

The technology and services from AT&T Business Solutions and WebTech combines GPS and General Packet Radio Service (GPRS) to track newly replaced port drayage trucks equipped with low-emission engines.

Ericsson Reports Q4 Sales Growth of 23%, Job Cuts

Ericsson's sales in the quarter increased by 23% year-over-year to SEK 67.0 billion (54.5) and by 11% for the full year to SEK 208.9 (187.8) billion. The company said the global economic downturn so far has had limited effect on mobile network investments by its customers. The handset market, however, has been clearly affected, as seen in Sony Ericsson's results last week. The company said it is difficult to predict to what extent consumer telecom spending will be affected and how operators will act. Operators are generally financially strong, the networks are fairly loaded and traffic continues to increase. However, large currency movements and uncertainties in the credit markets could affect operators' investment capacity. In this respect, Ericsson announced a further 5,000 job cuts (including 1,000 in Sweden) in order to position itself with lower on-going costs.

Ericsson cited a number of other positive market indicators. Mobile subscriptions grew by some 176 million in the quarter to a total of 3.98 billion. The number of WCDMA subscriptions grew by 24 million to a total of 290 million. In the twelve-month period ending September 30, 2008, fixed broadband connections grew by 20% year-over-year to more than 385 million. In addition, broadband Internet revenues for fixed operators are expected to grow from 20% to more than 30% of total revenues in the next five years. Mobile operators' data revenues, currently at some 20% of total revenues, are expected to grow even faster. Currently, 20 million households are served by IPTV. This is expected to grow to approximately 100 million households within the same timeframe.

Some highlights from the quarterly financial report:

In the quarter, Ericsson's gross margin was 35.2% (36.1%), excluding restructuring charges. Full year gross margin amounted to 36.8% (39.3%). The sequential decline was mainly due to a high proportion of network rollout services. The network rollout sales increased sequentially by 61%.

Ericsson's net cash position increased sequentially to SEK 34.7 (30.2) b. Cash, cash equivalents and short-term investments amounted to SEK 75.0 (57.7) b. Of a total debt position of SEK 30.5 b., SEK 5.5 b. matures in the next twelve months.

Restructuring charges are estimated to SEK 6-7 b. and annual savings of SEK 10 b. are expected by the second half of 2010, with an equal split between cost of sales and operating expenses.


  • Sales in Networks increased by 22% in the quarter, year-over-year, positively impacted by a weaker SEK. For the full year sales grew by 10%. 2008 was another record year for rollout of GSM. In addition, major 3G rollouts are ongoing in many markets while key markets, such as China and India, will soon start their 3G buildouts.

  • Mobile broadband is now firmly established and networks with speeds of 21 Mbps have been launched in several countries. LTE is established as a true global world standard for mobile broadband. In January, 2009, Ericsson announced its first contract for a commercial LTE network.

  • The transition from traditional circuit switching to softswitching has come far and Ericsson has established a clear leadership position. Sales of Redback's SmartEdge products noted very strong growth for the second consecutive quarter
  • .

  • Sales of network rollout services increased 61% sequentially, reflecting a high proportion of completions of large new network buildouts.

Professional Services

  • Sales of Professional Services increased by 34% in the quarter, year-over-year, and by 14% for the full year. Growth in constant currencies amounted to 26% and 13% respectively. Managed services continued to grow substantially, and consulting and systems integration showed strong growth due to a high amount of customer projects finalized during the quarter. Operating margins in the quarter reached18% (15%) due to favorable mix, continued efficiency gains and high volumes.

  • During the quarter, 11 new managed services contracts were signed. The total number of subscribers in managed operations now amounts to 250 million, of which 60% are in high-growth markets. The growth in managed services is fueled by operators' desire to reduce operating expenses and improve efficiency in network operation and maintenance.


  • Sales in Multimedia increased by 4% in the quarter, year-over-year, and by 13% for the full year. For comparable units, i.e. excluding divestment of the enterprise PBX operations and adjusted for the transfer of the IPX operations, sales grew by 21% in the quarter, year-over-year and by 16% for the full year. Tandberg Television and revenue management continued to show good growth while the mobile platform business is starting to experience effects of the weakening handset market. Operating income in the quarter, excluding effects from the divestment of shares in Symbian, was SEK -0.2 (-0.4) b.

Regional Trends

Western Europe sales increased by 5% in the quarter, year-over-year, and decreased by 2% for the full year. The year-over-year increase in the quarter was driven by strong performance mainly in Germany, Denmark and Italy. The strong sequential increase of 39% is above normal seasonality and driven by good demand for mobile broadband and professional services.

In Central and Eastern Europe, Middle East and Africa, sales increased by 24% in the quarter, year-over-year, and by 9% for the full year. A strong year-over-year quarterly performance in Nigeria, Saudi Arabia and South Africa is driven by continued 2G buildout, while a strong growth in Russia is driven by ongoing 3G rollouts.

Asia Pacific sales increased by 49% in the quarter, year-over-year, and by 16% for the full year. The Chinese market rebounded after the Olympic Games. 3G licenses were awarded in the beginning of January 2009 and rollouts will start soon. India, with large network rollouts, remains Ericsson's largest and fastest growing market. Japan and Indonesia showed strong development in the quarter and are now Ericsson's fifth and sixth largest markets. The market in Pakistan is still weak due to political uncertainties.

Latin American sales increased by 16% in the quarter, year-over-year, and by 25% for the full year. The year has been impacted by a combination of 2G enhancements and 3G buildouts, and 3G is now an established technology across the region. Mexico and Brazil showed strong development, both in the quarter and for the full year, and show no signs of slow-down despite the economic downturn.

North American sales increased by 13% in the quarter, year-over-year, and full year sales increased by 34%. The recorded slower growth in the fourth quarter is mainly an effect of a tough year-over-year comparison despite positive effects of the increasing USD in the fourth quarter. For the full year, the effects from changes in currency exchange rates were limited. Mobile broadband is now well established with good consumer take-up, which is driving continued rollouts as well as capacity enhancements.

IP/MPLS Forum Announces Mobile Backhaul Certification Program

The IP/MPLS Forum is launching a formal certification program for mobile backhaul solutions utilizing Circuit Emulation services over MPLS. The certification program introduces a set of strictly-repeatable test procedures, and will be administered through the IP/MPLS Forum's certified lab partner, Iometrix.

The pilot phase of the certification program will conclude in early March, and the forum will announce the first group of certified vendors at the MPLS Ethernet World Congress that will be held in Paris, France, 10-13 February 2009.

The IP/MPLS Forum said its new certification program allows vendors and operators to work together to provide a globally recognized and trusted benchmark for use by backhaul providers, mobile operators and their end users.

"Operators require readily-deployable backhaul solutions today to resolve the bandwidth challenges associated with increasing traffic demands," said Andrew G. Malis, Chairman and President of the IP/MPLS Forum. "The Mobile Backhaul Certification Program represents a needed step in the evolution of MPLS solutions which have already proven in lab trials to be ready to meet the needs of operators around the world."

"The IP/MPLS Forum Certification program will provide assurance that technologies meet industry specifications through an independent testing service. Certification demonstrates that businesses are forming the correct partnerships to deliver an industry-accepted service." said
Christopher Mayer, Vice President - Systems Integration & Testing at Verizon Communications.

Apple Sells 4,363,000 iPhones in Q4

Apple reported Q4 2008 iPhone units sales of 4,363,000, representing 88 percent unit growth over the year-ago quarter. This brings cumulative iPhone sales for 2008 to 13.7 million.

Apple first began selling iPhone 3G in July 2008 and now has carrier relationships in over 70 countries. During the first quarter of iPhone 3G availability ended September 27, 2008, 6.9 million units were sold, exceeding the 6.1 million first-generation iPhone units sold in the prior five quarters combined.

Apple also noted that there are now 15,000 apps now available on its AppStore and that 500,000,000 downloads.

Content Delivery Networks See Spike for Obama Inauguration

Akamai Technologies and Limelight Networks each report record traffic during President Barack Obama's inauguration.

Akamai delivered a peak of over 7 million active
simultaneous streams (the majority being live streams). Tuesday also represented a single-day peak on the Akamai EdgePlatform for concurrent live streams utilizing Adobe Flash technology, serving over 800 Gbps of Flash streaming. Total traffic on the Akamai network surpassed a rate of more than 2 terabits per second at approximately 12:15 p.m. ET. Akamai also delivered over 12,000,000 requests per second at the same time.

Limelight Networks webcast President Barack Obama's inaugural address live to an estimated 2.5 million viewers - over two full Nielsen ratings point of viewing audience. This represents a new record for the company. Limelight reported that the overwhelming majority of viewers joined a live video stream just before Obama began his inaugural address. Audience members remained connected to the live stream for almost the entirety of Obama's speech.

"Today's inauguration is an example of the global power of the Internet as a platform to unite. Like never before, people from around the world joined together to experience this historic moment," said Nathan Raciborski, chief technical officer and co-founder, Limelight Networks, Inc.

Monday, January 19, 2009

Mintera Expands 40G Product Family with DQPSK DWDM Module

Mintera has expanded its 40 Gbps optical transport system with an enhanced-DQPSK module. The commercially available MI 5000XM delivers high PMD tolerance, high launch power tolerance, ROADM support and Ultra-Long Haul (ULH) reach. The device can support channel spacing as small as 25GHz. The MI 5000XM modulation format also incorporates an enhancement to enable higher channel launch powers resulting in increased transmission reach and greater system design flexibility.

Excel Reaches One Billion Minutes/Month with Veraz Switch

Excel Telecommunications has reached one billion minutes of traffic per month using Veraz's ControlSwitch. By replacing 18 Nortel TDM and Alcatel DECs switches with a distributed ControlSwitch, Excel was able to double its traffic load while reducing network management labor costs significantly. Veraz said the ControlSwitch's programmability enabled migration from Excel's 18-switch legacy network over a period of 18 months, and new traffic was carried on the Veraz infrastructure within twelve weeks, thereby speeding time to revenue for new services. In addition, the ControlSwitch's open application interfaces and service brokering capabilities enabled Excel to include services such as Local Number Portability and Teleblock.

Hibernia Atlantic Lights Fiber from Amsterdam to Dublin and North America

Hibernia Atlantic is launching service on its new route between Amsterdam and its 37 POPs in North America.

The network completely bypasses London's common congested terrestrial fiber routes. Latency on the new Amsterdam to Boston route is now 74 milliseconds making this the fastest available route, according to the company. It also offers the fastest route between Amsterdam and Dublin, Ireland. By using its northern cable, Hibernia's new network shaves two milliseconds off the latency on the existing London to Amsterdam route. The new North London bypass intercepts Hibernia's existing network between Southport and London at Peterborough, approximately 185km North of London. From there it extends eastward to Pakenham where the new constructed route meets Hibernia's existing cable to Amsterdam, approximately 150km North of London.

NTT America Expands IPv6 Across Switch and Data Network Centers

NTT America has completed an expansion across Switch and Data's colocation facilities in Atlanta, Dallas, New York, Seattle, and Palo Alto, California. Enterprise and service provider customers in Switch and Data's sites in these markets will now have direct access to NTT's commercial grade Global Tier-1 IPv6 backbone, which operates across four continents.

NTT America noted that as of September 2008, there are 39 /8s remaining in the IPv4 free address pool. The Regional Internet Registries (RIRs) have collectively allocated about ten to twelve /8s of IPv4 address space each year, on average. If that trend continues unchanged, by mid-2012 the American Registry for Internet Numbers (ARIN) and the other RIRs will no longer be able to allocate large new blocks of IPv4 address space. This scenario assumes that demand does not increase -- which is unlikely, given the ever increasing number of Internet-enabled devices.

Harmonic Introduces 1550 NM DWDM System

Harmonic introduced its SUPRALink 1550 nm DWDM transmission system for cable operators. The new SUPRALink platform delivers up to a four-fold increase in fiber reach over 1310 nm systems. It supports up to eight wavelengths per single fiber over link distances of 40 km with optical amplification and 25 km without optical amplification, for up to 1 GHz of both digital and analog content per wavelength. Operating in the 1550 nm band, SUPRALink is also more immune to impairment mechanisms of 1310 nm WDM systems and as a result is more robust.

Harmonic said its system can be scaled in one-wavelength increments, providing a simple, seamless, "pay-as-you grow" expansion path.

Riverbed to Exceed Previous Guidance for Q4

Riverbed Technology announced preliminary financial results saying it now expects fourth quarter fiscal 2008 revenues of approximately $91 to $92 million, representing a Riverbed record for quarterly revenue, and approximately 20% growth over the same period one year ago. Fourth quarter GAAP EPS is expected to be in the range of $0.29 to $0.33 per diluted share. GAAP EPS estimates benefit from the expected reduction of the valuation allowance on Riverbed's deferred tax assets.

These preliminary fourth quarter revenue and non-GAAP EPS results exceed the guidance the company provided on October 23, 2008. At that time, the company estimated revenue between $87 and $90 million and non-GAAP earnings between $0.15 and $0.17 per share.

"We are pleased with our preliminary fourth quarter financial results," said Jerry M. Kennelly, Riverbed president and CEO. "We achieved full year 2008 revenue growth of approximately 40% against the backdrop of a challenging global economy."http://www.riverbed.com

Riverbed to Acquire Mazu for Application Management Software

Riverbed Technology agreed to acquire Mazu Networks, a privately-owned company that supplies WAN management software, for $25 million in cash at closing plus up to an additional $22 million in cash if certain sales targets are met.

Mazu Networks' software provides a holistic, real-time view of application usage and performance. This perspective is critical to understanding the application environment and taking the right steps to validate and ensure delivery of business-critical applications across the wide area network (WAN). Mazu is based in Cambridge, Massachusetts.

Riverbed said the acquisition of Mazu Networks allows it to meet enterprise and service provider customer demands by extending its suite of WAN optimization products to include global application performance, reporting and analytics.

"The market for WAN optimization is fast becoming more mainstream and increasingly our enterprise and service provider customers are demanding more visibility, reporting and analytics capabilities from us as they seek to deploy more robust infrastructure for managing their global applications," said Jerry M. Kennelly, president and CEO of Riverbed. "This requirement is driven by the enterprise's need to reduce costs via consolidation, improve end-user productivity, and leverage technology to streamline business processes."http://www.riverbed.com
  • Mazu Networks is headed by Paul Brady, who previously was president and chief operating officer of Guardent, a leading Managed Security Services Provider (MSSP) that was acquired by Verisign in February of 2004.

  • Mazu's investors include Greylock Partners, Matrix Partners, Pilot House Ventures, StarVest Partners, Benchmark Capital and Symantec.