Saturday, March 19, 2011

AT&T to Acquire T-Mobile USA for US$39 Billion

AT&T has agreed to acquire T-Mobile USA from Deutsche Telekom for US$39 billion.

AT&T said the deal will provide it with an optimal combination of network assets to add capacity sooner than any alternative and that it provides a fast, efficient and certain solution to the impending exhaustion of wireless spectrum in some market.

Specifically, AT&T is looking to increase its density of cell sites in urban areas. The T-Mobile USA facilities would boost its density by 30% in key markets. AT&T estimates it would take 5 years to build these resources on its own.

AT&T also plans to expand and accelerate its push into LTE, committing to reach 95 percent of the U.S. population, or an additional 46.5 million Americans, beyond its current plans – including rural communities and small towns.


As of 31-Dec-2010, AT&T posted a net gain in total wireless subscribers of 2.8 million, to reach 95.5 million in service, the best net gain in the company's history. AT&T added 442,000 iPad- and Android-based tablets to its network, with more than 90 percent of these booked to the prepaid category. Retail net adds for the quarter include postpaid net adds of 400,000 and prepaid net adds of 307,000. Connected device net adds were 1.5 million, and reseller net adds were 595,000. Postpaid churn was 1.15 percent. There were 4.1 million iPhone activations.

As of 31-Dec-2010, T-Mobile USA served 33.73 million customers, down from 33.76 million at the end of the third quarter of 2010 and 33.79 million at the end of the fourth quarter of 2009. In the fourth quarter of 2010, net customer losses were 23,000, compared to net additions of 137,000 in the third quarter of 2010 and 371,000 in the fourth quarter of 2009. Contract customers were the primary driver for the sequential and year-on-year change in net customers. Contract churn was 2.5% in the fourth quarter of 2010, up from 2.4% in the third quarter of 2010 and consistent with the fourth quarter of 2009.

"This transaction represents a major commitment to strengthen and expand critical infrastructure for our nation's future," said Randall Stephenson, AT&T Chairman and CEO. "It will improve network quality, and it will bring advanced LTE capabilities to more than 294 million people. Mobile broadband networks drive economic opportunity everywhere, and they enable the expanding high-tech ecosystem that includes device makers, cloud and content providers, app developers, customers, and more. During the past few years, America's high-tech industry has delivered innovation at unprecedented speed, and this combination will accelerate its continued growth."

Deutsche Telekom will receive 25 billion US-Dollar in cash and 14 billion US-Dollar in shares of AT&T. AT&T has the right to increase the portion of the purchase price paid in cash by up to 4.2 billion US-Dollar with a corresponding reduction in the stock component.

The merger will require approvals from the U.S. Department of Justice (DoJ) and the FCC. The companies hope to complete the deal in the first half of 2012.

Deutsche Telekom plans to use approximately 13 billion Euro of the proceeds to reduce its debts.

Deutsche Telekom Chairman and CEO René Obermann said, "After evaluating strategic options for T-Mobile USA, I am confident that AT&T is the best partner for our customers, shareholders and the mobile broadband ecosystem. Our common network technology makes this a logical combination and provides an efficient path to gaining the spectrum and network assets needed to provide T-Mobile customers with 4G LTE and the best devices. Also, the transaction returns significant value to Deutsche Telekom shareholders and allows us to retain exposure to the U.S. market."

The number of AT&T shares issued will be based on the AT&T share price during the 30-day period prior to closing, subject to a 7.5 percent collar; there is a one-year lock-up period during which Deutsche Telekom cannot sell shares. The cash portion of the purchase price will be financed with new debt and cash on AT&T's balance sheet.

In January 2011, AT&T announced plans to accelerate its LTE rollout with the goal of launching initial service by mid-year 2011 and substantially completing the network by year-end 2013. AT&T's mobile broadband strategy calls for both HSPA+ and LTE.

The company has already completed its deployment of HSPA+ to virtually 100 percent of its mobile broadband network. The network upgrade program calls for faster rollout of Ethernet + fiber backhaul and AT&T now expects that nearly two-thirds of its mobile broadband traffic will be on expanded backhaul by year-end 2011.

In an investor presentation at the Citi Annual Global Entertainment conference, John Stankey, President and CEO, AT&T Business Solutions, said that CAPEX at the company would remain relatively constant as a percentage of revenue (mid-teens) but that the accelerated LTE deployment means that some spending will be brought forward. The "tail-end" of the Uverse build means that more money can now be spend on wireless infrastructure and mobile broadband -- therefore a higher percentage of CAPEX will be devoted to wireless, while the company continues to look for synergies in its wireline and wireless backbones.

Regarding bottlenecks in its existing 3G network, Stankey said supply chain issues in procuring radio access network (RAN) equipment finally appear to be alleviated and that the company is now moving ahead with upgrade projects as quickly as it can. However, some projects, such as downtown San Francisco, are delayed by zoning and permitting requirements, while other sites, such as sports stadiums, are delayed by property owners.

Some key points from AT&T's Developer event at CES in Las Vegas:

  • AT&T is delivering 6 Mbps downlink speeds on its HSPA+ network where Ethernet backhaul is in place.

  • AT&T plans to introduce 20 4G devices by the end of the year, some on an exclusive basis. This will include more than 12 new Android devices in 2011. AT&T expects to offer two 4G smartphones in Q1 2011.

  • AT&T plans to launch two 4G tablets, including its first LTE tablet, by mid summer. Additional LTE tablets are planned for the second half of 2011.

  • AT&T is offering Wi-Fi access at more than 125,000 hot spots.

  • AT&T will launch an HTML-5 development kit. The company has also inked an agreement with Open Feint to offer a social gaming platform that can work across wireless networks. The agreement opens API's for the popular Open Feint social gaming platform for AT&T smartphones.

"AT&T is the only U.S. company committed to both HSPA+ and LTE technologies. Today our customers are benefiting as we repeatedly increase speeds on our mobile broadband network. As we accelerate our LTE network build, our customers will have blazing fast LTE speeds and when they go off LTE, they will still have faster mobile broadband speeds with HSPA+ -- something our competitors will not be able to match," stated Ralph de la Vega, president and CEO of AT&T Mobility and Consumer Markets. http://www.telekom.deAt a separate investors' conference in January 2011, Deutsche Telekom CEO Rene Obermann predicted that T-Mobile USA would return to growth this year and increase its revenue by $3 billion by 2014. The plan called for T-Mobile USA to become much more aggressive in mobile data services as it positions its HSPA+ network against LTE and WiMAX. It currently ranks as the fourth largest mobile operator in the U.S.

T-Mobile's HSPA+ network is currently available in 100 major metropolitan areas across the U.S., reaching approximately 200 million people nationwide. It currently supports peak downlink rates of 21 Mbps and an upgrade to 42 Mbps will occur this year. The company enables it claim the "4G" moniker and compete against Verizon's LTE.

One example is the newly-announced, T-Mobile exclusive, Samsung Galaxy S 4G -- its first smartphone capable of delivering theoretical peak download speeds of up to 21 Mbps. The phone is powered by Android 2.2 (Froyo) and features a Super AMOLED touch screen display. T-Mobile calls it the "fastest smartphone running on America's largest 4G network."

Some other points of interest presented at the event:

  • T-Mobile USA believes it has sufficient spectrum for the next few years. It will look to acquire more spectrum in the long-term, possibly 2014 or 2015, from auctions (700 MHz AWS) or from the secondary market. It might also look for partners.

  • Backhaul is competitive advantage for the company. It also nearly 75% of sites on fiber already and this number will climb to 87% by Q3.
    Growth in the U.S. market will come mostly from mobile data.

  • T-Mobile's growth strategy calls for "affordable" data services, a focus on both consumers and business, and better customer support.

  • Its first 4G tablet is expected this Spring.

  • No comment on the selling the iPhone, instead it will "go big" with Android.
    The company currently has 34 million subscribers.

  • T-Mobile USA expects to save $1 billion in operational costs through "process reinvention." This include Zero Waste (moving to eBills, reducing handset return rates), Self-Service Automation, Simplifying products, and Network Efficiencies (transitioning 100% to all-IP, roaming overbuilds).

Gulf Bridge Build Undersea Fiber Network from Qatar

Gulf Bridge International (GBI), the Middle East's first privately-owned submarine cable operator, along with its partner, Vodafone Qatar, announced the landing of its new cable at Vodafone's international cable landing station just north of Doha.

The GBI cable system is a high-capacity, fiber optic cable that will connect all the countries of the Gulf region to each other and provide onward connectivity to Europe, Africa and Asia.

Over the coming months, the cable ship, "Responder", will continue to install the GBI cable system, which is configured as a self-healing ring within the Gulf.

The GBI cable system deploys several state-of-the-art technologies, such as new dual-stage repeaters and wavelength monitoring units. The architecture offers 128 x 10 Gbps wavelengths per fiber pair to achieve a total system design capacity of 2.56 Tbps. It will incorporate Optical Add Drop Multiplexing (OADM) undersea branching units to reduce upgrade costs, and increase reliability and system resiliency with the ability to by-pass a branch.

Commissioning is expected later this year.

Thursday, March 17, 2011

Cisco Announces First Dividend in its History

For the first time since its IPO in 1990, Cisco will pay a quarterly cash dividend to its shareholders. A quarterly dividend of $0.06 per common share will be paid on April 20, 2011, to all shareholders of record as of the close of business on March 31, 2011. Future dividends will be subject to Board approval.

"As the role of the network expands across the IT sector, Cisco's leadership position in the markets we serve is strong, and the time is right for Cisco to pay our first-ever cash dividend," said Frank Calderoni, Executive Vice President & Chief Financial Officer, Cisco. "This dividend complements our leading position, and is an important part of our commitment to bring value to shareholders."

Telstra Postpones July 1 Vote on NBN Partnership

Due to ongoing negotiations, Telstra will not be able to complete work necessary to bring the proposed A$11bn deal with the NBN Co. to a shareholder vote on July 1. The company cited statutory requirements for the delay and said it is now looking for a later date. Telstra characterized the ongoing negotiations as continuing "to progress well."
  • In February 2011, Telstra provided an update on negotiations with NBN Co. concerning the National Broadband Network. Key commercial terms of the deal have been now been finalized. NBN Co. would gain access to Telstra facilities and there would be a progressive migration of Telstra traffic onto the National Broadband Network. The deal is expected to deliver approximately $9 billion in post-tax net present value to Telstra.

    Telstra has provisionally agreed commercial terms relating to copper network decommissioning, dark fibre and duct usage, exchange usage, certain roll-out arrangements and other matters with NBN Co. The parties are working to complete the associated operational details and ensure all contingencies are addressed as part of the documentation process which is expected to be completed in the near future.

FCC Approves CenturyLink+Qwest Deal with Conditions

The FCC approved the pending merger of CenturyLink and Qwest Communications, with the following binding and enforceable conditions:

Broadband adoption program for low-income consumers
  • Launch major broadband adoption program focused on connecting the millions of
    low-income consumers in the combined company's 37-state territory.
  • Offer qualifying households broadband starting at less than $10 per month and a
    computer for less than $150, and keep the window open for five years for
    qualifying consumers to sign up.
  • Make a significant annual commitment to marketing, outreach, and digital literacy
    training, and include detailed reporting on outcomes and an independent analysis
    of the program's effectiveness.

Broadband deployment
  • Significantly increase the capacity of the Qwest network, bringing broadband
    with actual download speeds of at least 4 Megabits per second (Mbps) to at least 4
    million more homes and businesses, and at least 20,000 more anchor institutions,
    such as schools, libraries, and community centers.

  • Significantly increase availability of higher-speed broadband: The company will
    more than double the number of homes and businesses that can get 12 Mbps
    broadband, and more than triple the number that can get 40 Mbps broadband.

Advancing Universal Service Fund reform
  • Phase down three forms of support designed for smaller companies, which the
    company currently receives from the federal Universal Service Fund.

Protection against potential transaction-related harms
  • No increase in enterprise service prices for 7 years in a few dozen buildings where
    the companies currently compete (Minneapolis, Minn., and Olympia, Wash.).

  • Safeguards for smooth transition of operations support systems, to protect
    wholesale customers.

  • Ensuring the merger does not harm interconnection agreements with competing
    phone carriers.

  • Maintenance of wholesale service quality.

CenturyLink offers voice, video, and data services in 33 states, serving
approximately 7 million access lines and 2.2 million broadband customers in its region.
CenturyLink also operates as a competitive local exchange carrier in certain local and regional

Qwest operates as a local exchange carrier serving 10.3 million lines in a 14-state region; has 3 million broadband customers; and sells wireless, video, and extensive wholesale services through its subsidiaries. Under the deal, Qwest will operate as a wholly owned subsidiary of CenturyLink.

The companies expect to close the merger and combine operations on April 1, 2011, subject to receipt of the remaining necessary regulatory approval. As previously announced, the combined company will use the name CenturyLink and its stock will continue to trade on the New York Stock Exchange under CenturyLink's current symbol, CTL. Qwest shares outstanding at the end of the business day immediately prior to the close date will convert to CenturyLink shares on the close date at an exchange rate of 0.1664 share of CenturyLink for each share of Qwest.http://www.fcc.gov

Xilinx Ships First 28nm FPGA

Xilinx has begun sampling its Kintex-7 K325T Field Programmable Gate Array (FPGA), marking the industry's fastest product rollout of next generation programmable logic devices built with 28nm technology.

Xilinx said its Kintex-7 K325T device is the first FPGA in this class to deliver the highest number of channels per dollar at less than 12 watts of power for LTE wireless radio cards and next generation wireless base stations. Kintex-7 FPGAs provide the optimized price performance required for flat panel displays, ultrasound equipment and many other applications and includes high-bandwidth, low jitter serial transceivers to address price sensitive wired communication applications. The Kintex-7 K325T FPGA is the first of 28 devices that make up the 7 series FPGA that includes the Artix-7 and Virtex-7 FPGA families.

"In parallel with the development of the first 28nm FPGAs Xilinx refined the Xilinx ISE design tools to enable faster runtimes, enable designs that use up to 2 million logic cells, and shorten migration of AXI protocol-compliant IP initially developed in Virtex-6 and Spartan®-6 FPGAs to the 7 series from weeks to hours," said Bruce Kleinman, Corporate Vice President of Platform Marketing at Xilinx. "As a result of these efforts Xilinx has been able to bring up the first 7 series targeted design platform within hours with a fully operational design that demonstrates the key benefits of the 7 series devices."http:/

NETGEAR to Acquire Westell Technologies' CNS Business

NETGEAR will acquire the Customer Networking Solutions (CNS) division of Westell Technologies, which supplies broadband networking products to U.S. telecommunications service providers, for approximately $33.5 million in cash. The CNS family of products enable high-speed transport and networking of voice, data, video and other advanced services over existing copper and fiber.

NETGEAR is acquiring a select team of Westell employees, including the CNS sales and marketing team, most of its customer base, its core CNS product and test engineering teams, nineteen patents and pending patent applications, proprietary technologies, current products, and products in development. The business relating to the assets that NETGEAR is acquiring generated approximately $39.5 million in net revenue for Westell during the twelve month period ended December 31, 2010.

Westell will retain certain customer relationships as well as its HomeCloud product line.

"This transaction will position NETGEAR as a leader in the U.S. telecommunications service provider home network equipment market. The addition of the CNS customer base that we are acquiring will allow us to accelerate our service provider revenue growth and strengthen our market position among North America Telecommunications operators. We believe that following completion of integration of the CNS business into NETGEAR that the transaction will not have an adverse impact on our overall company operating margins," said Patrick Lo, Chairman and CEO of NETGEAR.

Wednesday, March 16, 2011

Ericsson Completes HD Voice Call on CDMA

Ericsson completed a CDMA wideband High Definition (HD) voice call using the Enhanced Variable Rate Codec Narrowband-Wideband (EVRC-NW) codec. The lab demonstration marks a first first for the CDMA industry.

CDMA HD voice delivers speech in a wider spectral range of 50Hz to 7000Hz.

"We have demonstrated the first high-definition CDMA voice call in the world over an Ericsson network utilizing the new EVRC-NW 3GPP2 standard codec and ensuring interoperability with existing functionality while easing the rollout of future wideband services." says Surya Bommakanti, Vice President, Product Area Core, BU CDMA Mobile Systems, Ericsson. "This is the starting point of a voice quality revolution that will significantly enhance CDMA networks as we know them today."

The Ericsson CDMA development team collaborated with Qualcomm for the HD voice over CDMA demonstration.

GLG: Sprint's Project Leapfrom

The Gerson Lehman Group published a note discussing Sprint's "project leapfrog", which reportedly will involve removing iDEN base stations and moving to LTE with its 800 MHz spectrum. The carrier reportedly has been discussing network sharing/acquisition options with Clearwire, Lightsquared and T-Mobile.
  • In December 2010, Sprint unveiled its "Network Vision" for consolidating its infrastructure and spectrum into a single, more cost-effective and flexible network. Sprint also announced the selection of Alcatel-Lucent, Ericsson and Samsung as key partners to enable this transformation.

    The key idea behind Sprint's "Network Vision" is to operate a single network. Sprint currently uses separate equipment to deploy services on 800 MHz spectrum, 1.9 GHz spectrum and, through its relationship with Clearwire, 2.5 GHz spectrum. The New Vision blueprint calls for the deployment of multimode base stations for delivering 3G/4G services across all of these bands. New remote radio heads at the cell sites would be connected with fiber rather than coaxial risers. The consolidated cell site would be significantly more energy-efficient.

    Sprint intends to repurpose some of its 800MHz spectrum for CDMA service, thereby enhancing coverage, particularly the in-building experience for customers. Augmenting its 1.9GHz footprint with 800MHz, Sprint expects its CDMA coverage density will increase throughout the country.

    Regarding its iDEN network and push-to-talk, Sprint expects to launch the next-generation of PTT services in 2011 on the CDMA network, offering customers sub-second call set-up time along with robust data capabilities. There are no immediate plans to force migrate iDEN customers to the CDMA network, but Sprint expects its PTT device/app portfolio on the CDMA network will continue to evolve to include high-bandwidth data services.

    "Network Vision builds on our legacy of wireless innovation and represents the next step in the evolution of our networks to best meet unprecedented growth in mobility services. We are well- positioned to take advantage of new technology, chipsets, devices and applications. Working with these three partners, we expect to deliver to our customers the most cutting-edge network capabilities available today and in the future."

    The financial impact of the Network Vision plan includes a total, estimated incremental cost over the deployment period to be between $4 billion and $5 billion. Sprint estimates the total net financial benefit over a seven-year period will be between $10 billion and $11 billion.

    The vendor contracts with Alcatel-Lucent, Ericsson and Samsung includes purchases of hardware, software and services. These contracts are divided geographically:

    Alcatel-Lucent: New York City, Philadelphia, Boston, Washington, D.C./Baltimore and Los Angeles

    Ericsson: Atlanta, Miami, Houston, Kansas City and Dallas

    Samsung: Chicago, Denver, Pittsburgh, San Francisco and Seattle.

Video: Juniper's Converged Supercore

Presented by Luc Ceuppenns, VP, Product Marketing, Juniper Networks

India's Reliance Deploys Cisco ASR 5000, 7600, ME 3800X Routers

Reliance Communications has deployed the Cisco ASR 5000, Cisco 7600 and Cisco ME 3800X Series routers in its new 3G networks. The deployment also paves the way for Reliance's implementation of the recently announced Cisco® MOVE (Monetization, Optimization, Videoscape Experience) framework. The Cisco ME 3800X Series Carrier Ethernet Switch Router is a converged, full-featured aggregation platform purposely designed for the mobile, business, and residential markets. Financial terms were not disclosed.

Sprint Enhances Managed Security for Businesses

Sprint expanded its portfolio of managed security solutions for businesses by partnering with CompuCom as a Managed Security Service Provider (MSSP). Through the relationship, Sprint and CompuCom will deliver new and cutting-edge security solutions for businesses, including:

  • Sprint Secure Unified Threat Management (UTM) – Fully managed solution that uses a single device to manage security strategy. UTM services work together as a system to provide better visibility and protection against network threats. Services can include firewall, VPN, Intrusion Detection/Prevention, Antivirus/Antispyware, AntiSpam, Web Filtering, Application Control, and Data Loss Prevention.

  • Sprint Secure Log Management and Compliance – Comprehensive solution that helps identify and mitigate threats at the network, host and application layer, as well as address industry and government compliance requirements for log monitoring, collection and storage.

  • Sprint Secure Vulnerability Monitoring – Monitoring service that identifies and tracks the presence of vulnerabilities in system resources and the applications that run within servers, networks and desktops. Devices on the customer network are scanned on regular intervals, and corrective measures taken when needed to curb the occurrence and potential effects of security incidents.

  • Sprint Secure PCI-DSS Scanning and Assessment – A comprehensive assessment of business security needs, and the development and implementation of a security strategy that helps to ensure compliance with PCI-DSS requirements.

  • Sprint Secure Managed Host-Based Antivirus/AntiSpam – Managed Security experts stationed in the Sprint Security Operations Center remotely monitor and manage an organization's servers, hosting, Antivirus/AntiSpam and other web-filtering applications. The remote systems management service utilizes best practices and standard monitoring and management toolsets to optimize server performance and availability.

Rustock Botnet Taken Down -- up to 1 Billions Spams per Day

The notorious "Rustock" botnet, which used approximately one million infected PCs under its control to send up to a billion spam messages per day, has been taken out by Microsoft's Digital Crimes Unit (DCU) and law enforcement authorities. Writing in a blog post, Richard Boscovich, a Senior Attorney, Microsoft Digital Crimes Unit, describes how Operation b107 went about tracing the origins of the botnet, securing legal standings against the perpetrators, and obtaining a court order to work with the U.S. Marshals Service to physically capture evidence onsite and, in some cases, seize affected servers from hosting providers in seven cities across the U.S.

RSA Reports Attack on its SecurID Two-factor Authentication

RSA's own security systems have been the victim of an extremely sophisticated cyber attack and this possibly compromises its two-factor, SecurID Authentication product.

In an open letter to customers, RSA's Executive Chairman, Art Coviello, said that the attack penetrated its system and that certain information specifically related to its SecurID two-factor authentication products was extracted.

RSA believes the information extracted does not enable a successful direct attack on any of its RSA SecurID customers. However, the company warns that this information could potentially be used to reduce the effectiveness of a current two-factor authentication implementation as part of a broader attack.

The company does not believe its customers' security related to other RSA products has been similarly impacted.

ZTE's 2010 Revenue Rises 21% to US$10.7 Billion

ZTE Corporation reported annual revenue of RMB 70.264 billion (USD 10.609 billion) in 2010, representing an increase of 21% (in USD rate) against 2009. Net profit was RMB 3.250 billion (USD 490.74 million), representing an increase of 32.22% compared with 2009. Basic earnings per share were RMB RMB1.17 (USD 0.177).

ZTE's revenue from domestic operations in China amounted to RMB 32.198 billion (USD 4.861 billion), representing year-on-year growth of 5.90%. Hot areas in domestic sales included 3G, government and enterprise network sales. During the reporting period, ZTE also began supplying high-end data equipment such as T8000 and M6000 to the three major national carriers in large volumes, while its smart terminal equipment also gained significant market recognition.

ZTE's revenue from its international operations grew 27.45% to RMB 38.066 billion (USD 5.747 billion) and accounted for 54.18% of total operating revenue. For the first time, the US and European markets contributed the largest portion of overseas revenue. These markets recorded year-on-year growth of 50% which accounted for 21% of total operating revenue.

ZTE Chairman Mr. Hou Weigui, said: "In the coming year, the Group will proactively respond to the dynamic requirements of customers and strengthen strategic cooperation in response to the profound changes in the global telecommunications market. Other areas of focus will also include the recruitment and development of high-caliber staff, product differentiation as well as cost-effectiveness and quality of ZTE's solutions. We aim to achieve an excellent performance to benefit society and our shareholders."

Dell'Oro: Microwave Transmission Report


Tuesday, March 15, 2011

Verizon Works with SAP for Cloud Enterprise Application Delivery

Verizon will host the SAP Customer Relationship Management (SAP CRM) rapid-deployment solution for enterprise customers using its flagship cloud offering, Computing as a Service.

The SAP CRM rapid-deployment solution, the first in a series of SAP solutions deployed in the cloud by Verizon, can help enhance the productivity of enterprise sales, marketing and service professionals. By accessing SAP CRM and subsequent applications in the cloud, enterprises can benefit from easier and faster deployments. The SAP rapid-deployment solution offers enterprises a ready-to-use combination of software, pre-defined services and pre-configured content at a pre-defined price that can be deployed much more quickly, sometimes in as little as eight weeks.

Additionally, enterprises can now integrate their SAP applications with Verizon's Managed Mobility platform by leveraging the Sybase Unwired Platform to mobilize applications including the Mobile Sales for SAP CRM application.

Cortina Files for IPO

Cortina Systems filed a registration statement with the Securities and Exchange Commission for a proposed initial public offering of its common stock. The number of shares to be offered and the price range for the offering have not yet been determined.

Cortina Systems supplies communications semiconductor solutions enabling next generation network connectivity and efficient bandwidth from the core network to the home network. The portfolio includes carrier-class semiconductor devices for next generation optical transport and passive optical network systems, as well as data center connectivity and digital home solutions.

Japan: Update on Communications Outages

Japan's Ministry of Internal Affairs and Communications provided the following update on the effort to restore communications services (as of 16-March-2011)

NTT East landlines: 569,000 telephone subscriber lines remain out of services, 59,000 ISDN lines out of service, 148,000 FLET optical lines out of service.

Emergency messaging service remains in operation for Aomori, Iwate, Miyagi
Prefecture, Yamagata Prefecture, Fukushima, Ibaraki, Tochigi, Gunma, Saitama Prefecture, Chiba Prefecture and Tokyo, Kanagawa.

NTT West: no damage and no communication restrictions.

KDDI: 42,000 lines are not available. Submarine cables have been restored or rerouted.

Softbank: about 7,000 ISDN and analog phone lines are not available

NTT DoCoMo: 1,930 base stations remain out of service.

KDDI (au): 1,110 base stations remain out of service.

Softbank Mobile: 819 base stations remain out of service.

EMobile: 109 base stations remain out of service.

Willcom: 2,500 PHS base stations remain out of service.

The carriers have also extended fee payment deadlines.

Dell'Oro: Carrier IP Telephony Report