Wednesday, October 27, 2010

NetLogic Posts Q3 Revenues of $100M. up 5% Sequentially

NetLogic Microsystems reported revenue for the third quarter of 2010 of $100.1 million, a 5.3% sequential increase from $95.0 million for the second quarter of 2010 and a 136% increase from $42.3 million for the third quarter of 2009. Net income (GAAP) was $5.2 million or $0.08 per diluted share, compared to a GAAP net loss of $3.9 million or $0.09 per diluted share for the third quarter of 2009.

"We recently marked another significant milestone in our technology roadmap with the transition of our product portfolio of multi-core processing, knowledge-based processing and physical layer solutions to TSMC's advanced 40 nanometer process node," said Ron Jankov, president and CEO. "This is a considerable achievement given the size and complexity of our solutions and further highlights the tremendous execution and expertise of our team."

Alcatel-Lucent Announces Latest ISAM, Contract with Denmark's TDC

Alcatel-Lucent released its latest Intelligent Services Access Manager (ISAM) offering support for both fiber and copper services through the same node. The ETSI-based 7302 ISAM and 7330 ISAM FTTN access nodes offer high-capacity GPON and point-to-point fiber capabilities, allowing service providers to offer a mix of access technologies.

Alcatel-Lucent's new ISAM platform release also introduces an application enablement processor along with local storage. This enables service providers to cache and replicate content at the node, reducing the demand for bandwidth across the network. Personalized content can be stored and assigned from the node, opening new routes to enrich the end user experience and create value.

Alcatel-Lucent said that in the future, an intelligent access network could send different, tailored advertising to two adjacent homes watching the same TV broadcast, for example.

"By adding GPON capabilities to our 7302 ISAM and 7330 ISAM FTTN platforms, we are helping our customers to launch their next-generation fiber projects from a solid, familiar and installed base," said Dave Geary, head of Alcatel-Lucent's Wireline activities. "This is also the first access node to comply fully with FSAN's GPON interoperability guidelines. We are committed to interoperability, a principle which translates into shorter times to market and lower engineering barriers for our customers."

In addition, the company announced that TDC, the incumbent operator in Denmark, will deploy its latest ISAM platform. Bringing VDSL2 access points closer to its subscribers to support higher bandwidths over the existing copper loops, TDC also will deploy a high volume of Alcatel-Lucent's customized street cabinets - in addition to the selection of Alcatel-Lucent's 7302 ISAM and 7330 ISAM FTTN platforms and the related 5520 Access Management System (AMS).

"Our broadband strategy is to provide our residential and business customers high quality services from the best network in Denmark. This has been -- and continues to be - top of mind to us. In addition, we want to invest in new networking technology wisely, and that includes leveraging as much as possible our existing assets," says Jess Julin Ibsen, CTO, TDC.

Michigan's Agri-Valley to Roll out 700 MHz LTE with NSN

Michigan-based Agri-Valley Communications, a rural internet service provider, has selected Nokia Siemens Networks for a regional rural LTE deployment using 700 MHz spectrum. The contract includes core and radio elements as well as network management and related services.

Nokia Siemens Networks will supply its Flexi Multiradio Base Stations and Evolved Packet Core (EPC) using Flexi NS (Network Server) and Flexi NG (Network Gateway). It will also provide its NetAct network management system to efficiently monitor, manage and optimize the operator's network. Nokia Siemens Networks' Value-Added Reseller (VAR), Avion Systems will manage installation, commissioning and integration of the solution.

Australia's NBNCo Picks NSN for Optical Gear

Australia's NBN Co. has selected Nokia Siemens Networks to supply optical data transmission infrastructure for the country's National Broadband Network. The initial purchase order with Nokia Siemens Networks will be for $10 million and include the acquisition of test laboratory equipment and systems to support early release sites. The potential value of the contract is up to AU$400 million over ten years.

Under the scope of the frame agreement, Nokia Siemens Networks will supply its DWDM equipment and management systems. The company will also provide related services including design, logistics, installation, commissioning, local pre-deployment system testing and care.

NBN Co's transmission network requires connectivity at 10, 40 and 100 Gbps. The network building stage of the project will span for ten years with the bulk of the optical transmission network being rolled out in the first three years.

"NBN Co wants to build a super-fast broadband network to cater to the current and future network traffic demands," said Kalevi Kostiainen, head of Australia and New Zealand, Nokia Siemens Networks. "We are committed to providing the best combination of a world-class optical transmission with local expertise that will provide advanced digital services to the entire nation."
  • In August 2010, political consensus was reached following the Australian elections to proceed with the $43 billion National Broadband Network. The agreement between political factions placed an emphasis on rural deployment ahead of urban areas.

  • In June 2010, NBN Co., the consortium established to design, build and operate Australia's forthcoming wholesale-only National Broadband Network (NBN), reached an agreement with Telstra that would provide access to Telstra facilities and the progressive migration of Telstra traffic onto the National Broadband Network, subject to regulatory approval.

  • NBN Co was established in April 2009 to design, build and operate a wholesale-only national high-speed broadband network for all Australians. In the fibre footprint, the network will deliver broadband speeds of up to 100 Mbps, subject to the retail plan chosen.

France Telecom Group Reaches 203.4 million Customer Lines

As of 30-September-2010, the France Telecom Group was serving 203.4 million customer lines, up 5.1% on a comparable basis compared to a year earlier. Revenues for the Group rose 1.1% in the third quarter of 2010 compared with the third quarter of 2009 -- following a 0.3% increase in the second quarter and 0.3% decrease in the first quarter. Including the effects of regulation, revenues fell 0.6% in the quarter on a comparable basis.

Some highlights:

Mobile services led the Group's growth, with a total of 144.5 million customers at 30 September 2010, a year-on-year increase of 8.0%.

The Group's 3G customer base reached 33.5 million at 30 September 2010, an increase of 36.6% year on year.

Mobile revenues improved significantly in France, rising 6.6% in the third quarter (excluding the impact of regulation) on the success of 3G handsets and growth in data services.

Revenue growth was strong in Africa and the Middle East, up +9.8% in the third quarter (excluding Egypt and the impact of regulation) after rising 7.9% in the second quarter, with new operations in Africa up 41%.

In the Enterprise segment, the gradual improvement in revenues since the beginning of the year continued, with the third quarter decline limited to 3.7%, compared with -4.9% in the second quarter and 7.0% in the first quarter (on a comparable basis).

CAPEX was 3.4 billion euros (10.0% of revenues) in the first nine months of 2010, down 1.8% from the previous year (on a comparable basis).

FCC Grants Build-out Extension to FiberTower

The FCC has granted an extension of time to FiberTower for on deadline for the build-out on 102 of its 24 GHz spectrum licenses. The deadline is postponed through June 1, 2012. FiberTower now plans to file renewal applications in mid-January 2011 referencing the build-out extension. FiberTower also has one additional 24 GHz license that does not expire until 2015.

Previously, FiberTower's 39 GHz licenses with 2007 build-out deadlines and license expiration dates went through a similar process.

"The build-out extensions benefit both the public interest and the company by allowing FiberTower to further develop its valuable 24 GHz and 39 GHz spectrum assets in response to market demands instead of building to meet an artificially set timeframe," said Joseph M. Sandri, Jr., FiberTower's Senior Vice President, Regulatory and Government Affairs.

Motorola Posts its First Growth Quarter since Q4 2006

Motorola reported Q3 2010 sales of $4.9 billion , up 13 percent from the third quarter a year ago. Financial results related to the portion of the Company's Networks business expected to be acquired by Nokia Siemens Networks are reported as discontinued operations. GAAP net earnings in the third quarter of 2010 were $109 million, or $0.05 per share, compared to $12 million, or $0.01 per share, in the third quarter 2009. On a non-GAAP basis, including discontinued operations, earnings in the third quarter of 2010 were $380 million, or $0.16 per share, exceeding the company's guidance of $0.10 - $0.12 per share.

"In the third quarter, Motorola Mobility showed positive momentum across the business, with Mobile Devices reaching profitability for the first time in over three years and Home continues to maintain its leadership position," said Sanjay Jha, Motorola co-chief executive officer and Motorola Mobility CEO. "Mobile Devices' DROID™X continues to sell extremely well, and we have had several other successful smartphone launches globally, including the DROID 2, the MING series in China, as well as a well-received introduction of our enterprise-ready DROID™ PRO. As we continue to make progress across the organization, we remain focused on further improving our financial results and pursuing the delivery of best-in-class software and hardware experiences to consumers and business users."

Greg Brown, Motorola co-chief executive officer and Motorola Solutions CEO, said, "Our Enterprise Mobility Solutions business continues to deliver very solid financial results. In enterprise markets, we continued to experience double-digit sales growth in all four geographic regions we serve. Additionally, our public safety business remains resilient. Going forward, we are focused on next-generation public safety and enterprise solutions and services. I am excited about the opportunities ahead as we approach our targeted separation."

Some highlights:

Mobile Devices segment sales were $2.0 billion, up 20 percent compared with the year-ago quarter. The company shipped 3.8 million smartphones with a total of 22 smartphones introduced during 2010.

Home segment sales were $912 million, up 5 percent compared with the year-ago quarter. The company recently introduced a hosted switched digital video solution that provides independent operators with the bandwidth reclamation and management capabilities needed to launch HDTV, VOD, 3DTV and interactive TV applications.

Enterprise Mobility Solutions segment sales, which now includes the iDEN infrastructure business, were $1.9 billion, up 9 percent compared with the year-ago quarter. The company recently secured a $50 million federal government grant to expand broadband access to communities in the San Francisco Bay Area, including a private broadband LTE network for public safety. The company also announced a strategic alliance with Ericsson for an LTE-based solution that will be integrated with Motorola's Next Generation Public Safety Broadband solution.

China Telecom Reaches 83 Million Mobile Subscribers

China Telecom reported revenue of RMB 163 billion for the first nine months of 2010, up 5.4% for the year. The company reported continued growth in mobiles and broadband, but continued local line losses and churn in its Personal Handyphone System (PAS) subscribers.

Facing the challenges from the intensified mobile substitution and churn of Personal Handyphone System
(PAS) subscribers, the Group continued to record negative growth in its number of local access lines in
service for the first three quarters.

The number of wireline broadband subscribers reached 61.07 million, representing a net addition of 7.61 million.

The number of mobile subscribers reached 82.98 million (of which 3G subscribers reached 9.15 million), representing a net addition of 26.89 million for the first three quarters.

Verizon Wireless Settles Data Charge Issue with FCC

Verizon Wireless and the FCC reached a settlement regarding "mystery fees" the company charged its customers over the last several years. The settlement includes a record $25 million payment to the U.S. Treasury and refunds amounting to a minimum of $52.8 million to approximately 15 million customers. Verizon Wireless will also ensure that consumers are no longer charged the mystery fees for unwanted or inadvertent data sessions.

Verizon Wireless said that the single largest problem, involving the vast majority of credits, was caused by a very small data "acknowledgment" session sent by software pre-loaded on certain phones. For customers who did not have data plans and who were not otherwise using data features on their devices, this triggered a "pay as you go" charge of $1.99. http://www.fcc.gov

GSMA Video: TD-LTE vs. Mobile WiMAX

Presented by Jaikishan Rajaraman, Senior Director, GSMA

Tuesday, October 26, 2010

LSI and IP Infusion Team on Mobile Backhaul and Carrier Ethernet

IP Infusion has collaborated with LSI to develop an advanced carrier-grade solution for mobile backhaul and Carrier Ethernet. The solution combines LSI's multicore communications processors and IP Infusion's ZebOS Network Platform and is standards-compliant and pre-tested for interoperability.

Cisco Ships its 30 Millionth IP Phone

Cisco recently shipped its 30 millionth IP phone to one of the world's largest financial institutions -- HSBC. The company released its first IP phone 12 years ago.

Portugal Telecom Tests 10G GPON with Alcatel-Lucent

Portugal Telecom will conduct a trial of symmetrical 10 Gbps GPON technology in conjunction with Alcatel-Lucent. The 10G GPON technology will be able to co-exist with standard GPON on the same access network - meaning that the existing optical fibre outside plant is not impacted when the massive usage of the technology occurs.

"Portugal Telecom has been leading systematically in services and technology innovation, strongly investing in fiber-to-the-home - using GPON technology - to enable its customers to enjoy the highest bandwidths with the best quality of service," says Alfredo Baptista, CTO of Portugal Telecom. "However, as services and bandwidth requirements keep on evolving rapidly, it is fundamental to continue to assess and evaluate the latest innovations -- such as the symmetrical 10G GPON technology that Alcatel-Lucent is providing for this trial."

The Carlyle Group to Privatize CommScope

The Carlyle Group has agree to acquire all of the outstanding shares of CommScope for $31.50 per share in cash -- a transaction valued at approximately $3.9 billion. The deal will result in CommScope becoming a private company. The transaction is expected to close in the first quarter of 2011.

CommScope, which includes brands such as Andrew, SYSTIMAX and Uniprise, offers a range of telecom infrastructure products.

"As a private company, we believe CommScope will have greater flexibility to focus on our long-term strategic direction as a global leader in infrastructure solutions for communications networks. Carlyle understands our industry and our business well, and will be a tremendous asset as we build upon our leadership position and continue to implement our strategic plan to deliver enhanced value to our customers around the world," stated Eddie Edwards, CommScope's president and chief operating officer.

Verizon Business Integrates Carrier Ethernet into Managed Services Portfolio

Verizon Business is adding Global Managed Ethernet to its Managed Services portfolio, enabling multinational organizations to place Verizon Ethernet services in a managed network environment containing just those services, or in combination with other network services for a complete end-to-end, global managed network solution.

The new capabilities allow the combination of MPLS and Ethernet services in a fully-managed, end-to-end solution. Supported flavors of Ethernet are Ethernet Private Line Service (EPL), Ethernet Virtual Private Line Service (EVPL) and Virtual Private LAN Service (VPLS). To ensure network management for Ethernet WAN circuits, Verizon Business is using an IP SLA mechanism from Cisco to monitor performance of each connection.

"For the first time, our customers can combine the power of MPLS and Ethernet in a fully managed end-end-to-end global networking solution," said Anthony Recine, vice president of networking and communications solutions for Verizon Business. "Together our Private IP and Ethernet services deliver an ideal business communications platform to handle big-bandwidth applications in a similar fashion, no matter where they are located around the world."

Starbucks Expands Mobile Wallet Program in NY

Starbucks is expanding its Starbucks Card Mobile payment test to nearly 300 company-operated stores in New York City, and Nassau and Suffolk counties on Long Island. The Starbucks Card Mobile App for BlackBerry smartphones, iPhone and iPod touch devices enable customers to pay electronically.

"Mobile technology is part of our customers' daily routine and with the expansion of mobile payment in our test cities, we're seeing more and more customers using their smartphones as their mobile wallets," said Brady Brewer, vice president Starbucks Card and Loyalty.

ASSIA Secures $20.8 Million for Dynamic Spectrum Mgt

ASSIA, which supplies software for Dynamic Spectrum Management (DSM) of DSL networks, has secured $20.8 million in strategic investment financing. New investors Telefonica, AT&T, and Sandalwood Partners join current investors Mingly China Growth Fund, SFR Development, Sofinnova Partners, Stanford University, Swisscom Ventures, and T-Ventures. ASSIA previously announced an early close of $10 million in this financing round.

"ASSIA is pleased to have additional telecommunications service providers close this financing round to accelerate ASSIA's next-generation products to market. These strategic investments are an endorsement of ASSIA's solutions and recognize the successful deployment of ASSIA's first generation of software products," said Dr. John Cioffi, Chairman and CEO. "ASSIA welcomes our new investors and thanks current investors for their continuing support."

  • ASSIA stands for Adaptive Spectrum and Signal Alignment Incorporated.

  • ASSIA is headed by Dr. John Cioffi, a veteran of the DSL industry, having served as founder, CTO and Vice President of Engineering at Amati prior to its acquisition by TI in 1997. Dr. Cioffi also held a tenured endowed professorship at Stanford University in the Department of Electrical Engineering from 1985-2009, where he is now an active Professor Emeritus with small research efforts there in broadband access.

Sprint Adds 644,000 Total Wireless Subscribers

Sprint Nextel added 644,000 wireless subscribers in Q3, its best total company wireless subscriber net additions since 2006. This includes a positive net postpaid subscriber growth of 354,000 for the Sprint brand. The company cited growing demand for smartphones like Samsung Epic 4G and HTC EVO 4G.

Sprint announced third quarter consolidated net operating revenues of almost $8.2 billion, a net loss of $911 million and a diluted loss per share of 30 cents. The company generated $384 million of free cash flow in the quarter, and maintained a strong liquidity position with approximately $4.7 billion in cash and cash equivalents at the end of the quarter.

"Driven by record customer satisfaction, and the performance of iconic devices like the EVO and Epic, Sprint's momentum continued this quarter," said Dan Hesse, Sprint CEO. "The Sprint brand gained postpaid customers for the fourth consecutive quarter as, for the second consecutive quarter based on porting data, more customers switched to Sprint from our competitors than switched from Sprint to our competitors. In addition, our last two quarters have been all-time bests for postpaid churn. We also saw improvement sequentially in prepaid net adds and our lowest prepaid churn in almost five years."