Thursday, December 1, 2011

Zayo Completes Acquisition of 360networks

Zayo completed its previously announced acquisition of 360networks.


The deal adds 360networks' 18,500 route miles of metro and intercity fiber to Zayo's network, interconnecting 73 markets across the central and western United States, including 24 existing Zayo fiber markets. In addition to its intercity network, 360networks operates metropolitan fiber networks across 25 markets. The acquisition also provides Zayo access to a number of new markets including Albuquerque, Bismarck, Des Moines, San Diego, San Francisco and Tucson.


Zayo's network now encompasses: 44,000 route miles, 4,500 buildings on-net, 450 Points-of-Presence (POPs), 2,100 cell towers on-net, and over 170,000 square feet of colocation space.http://

Metaswitch Hire Former Cisco Executive

Metaswitch Networks has appointed Ray Smets as senior vice president of field operations, reporting to CEO Kevin DeNuccio. Smets most recently served as vice president/general manager of the Wireless Networking Business Unit at Cisco Systems. Before that, he served as vice president of sales and marketing at Packeteer, executive vice president of sales and marketing at Netopia, and president of Network General at McAfee Security, Inc. http://www.metaswitch.com

Tellabs Appoint VP Sales for Asia-Pac

Tellabs has appointed Sharat Sinha as vice president, Asia Pacific sales. Most recently, he served as Cisco's managing director, service provider partners/channels for the Asia-Pacific region. His background includes leading sales teams, setting sales and marketing strategy, developing channels and speaking in industry forums.
http://www.tellabs.com

Verizon Wireless to Acquire AWS Spectrum from Cable Operators

Verizon Wireless announced a deal to acquire 122 Advanced Wireless Services spectrum licenses from SpectrumCo, a joint venture between Comcast Corporation, Time Warner Cable, and Bright House Networks, for $3.6 billion. The transfer of licenses will require approval from the FCC and review from the Department of Justice.


The companies also announced several agreements to resell each others' services. The cable companies will have the option of selling Verizon Wireless' service on a wholesale basis. Furthermore, the companies will form an innovation technology joint venture to develop technology that better integrates wireline and wireless products and services.



"Spectrum is the raw material on which wireless networks are built, and buying the AWS spectrum now solidifies our network leadership into the future, and will enable us to bring even better 4G LTE products and services to our customers," stated Dan Mead, President and CEO of Verizon Wireless.


"These agreements, together with our Wi-Fi plans, enable us to execute a comprehensive, long-term wireless strategy and expand our focus on providing mobility to our Xfinity services. We're excited about this partnership with Verizon Wireless and the future innovations we will bring to consumers," said Neil Smit, President of Comcast Cable.


Comcast owns 63.6% of SpectrumCo and will receive approximately $2.3 billion from the sale. Time Warner Cable owns 31.2% of SpectrumCo and will receive approximately $1.1 billion. Bright House Networks owns 5.3% of SpectrumCo and will receive approximately $189 million.

http://www.verizon.com
http://www.comcast.com
  • In October 2006, SpectrumCo, a joint venture including Comcast Corporation, Time Warner Cable, Cox Communications, Advance/Newhouse (cable MSOs) and Sprint Nextel Communications, was the winning bidder for 137 wireless spectrum licenses in the FCC's recent advanced wireless services auction. The price paid was $2.37 billion. Comcast's portion of the total costs to purchase the licenses was $1.29 billion. Time Warner Cable's portion of the costs was $632.2 million and Cox Communications' portion was $248.3 million.


  • The FCC's auction of Advanced Wireless Services (AWS-1) licenses in 2006 were for spectrum in the 1710-1755 MHz and 2110-2155 MHz bands .

Zayo Completes Acquisition of 360networks

Zayo completed its previously announced acquisition of 360networks.


The deal adds 360networks' 18,500 route miles of metro and intercity fiber to Zayo's network, interconnecting 73 markets across the central and western United States, including 24 existing Zayo fiber markets. In addition to its intercity network, 360networks operates metropolitan fiber networks across 25 markets. The acquisition also provides Zayo access to a number of new markets including Albuquerque, Bismarck, Des Moines, San Diego, San Francisco and Tucson.


Zayo's network now encompasses: 44,000 route miles, 4,500 buildings on-net, 450 Points-of-Presence (POPs), 2,100 cell towers on-net, and over 170,000 square feet of colocation space.http://

Metaswitch Hire Former Cisco Executive

Metaswitch Networks has appointed Ray Smets as senior vice president of field operations, reporting to CEO Kevin DeNuccio. Smets most recently served as vice president/general manager of the Wireless Networking Business Unit at Cisco Systems. Before that, he served as vice president of sales and marketing at Packeteer, executive vice president of sales and marketing at Netopia, and president of Network General at McAfee Security, Inc. http://www.metaswitch.com

Tellabs Appoint VP Sales for Asia-Pac

Tellabs has appointed Sharat Sinha as vice president, Asia Pacific sales. Most recently, he served as Cisco's managing director, service provider partners/channels for the Asia-Pacific region. His background includes leading sales teams, setting sales and marketing strategy, developing channels and speaking in industry forums.
http://www.tellabs.com

Verizon Wireless to Acquire AWS Spectrum from Cable Operators

Verizon Wireless announced a deal to acquire 122 Advanced Wireless Services spectrum licenses from SpectrumCo, a joint venture between Comcast Corporation, Time Warner Cable, and Bright House Networks, for $3.6 billion. The transfer of licenses will require approval from the FCC and review from the Department of Justice.


The companies also announced several agreements to resell each others' services. The cable companies will have the option of selling Verizon Wireless' service on a wholesale basis. Furthermore, the companies will form an innovation technology joint venture to develop technology that better integrates wireline and wireless products and services.



"Spectrum is the raw material on which wireless networks are built, and buying the AWS spectrum now solidifies our network leadership into the future, and will enable us to bring even better 4G LTE products and services to our customers," stated Dan Mead, President and CEO of Verizon Wireless.


"These agreements, together with our Wi-Fi plans, enable us to execute a comprehensive, long-term wireless strategy and expand our focus on providing mobility to our Xfinity services. We're excited about this partnership with Verizon Wireless and the future innovations we will bring to consumers," said Neil Smit, President of Comcast Cable.


Comcast owns 63.6% of SpectrumCo and will receive approximately $2.3 billion from the sale. Time Warner Cable owns 31.2% of SpectrumCo and will receive approximately $1.1 billion. Bright House Networks owns 5.3% of SpectrumCo and will receive approximately $189 million.

http://www.verizon.com
http://www.comcast.com
  • In October 2006, SpectrumCo, a joint venture including Comcast Corporation, Time Warner Cable, Cox Communications, Advance/Newhouse (cable MSOs) and Sprint Nextel Communications, was the winning bidder for 137 wireless spectrum licenses in the FCC's recent advanced wireless services auction. The price paid was $2.37 billion. Comcast's portion of the total costs to purchase the licenses was $1.29 billion. Time Warner Cable's portion of the costs was $632.2 million and Cox Communications' portion was $248.3 million.


  • The FCC's auction of Advanced Wireless Services (AWS-1) licenses in 2006 were for spectrum in the 1710-1755 MHz and 2110-2155 MHz bands .

Emerald Networks Plans $300 Million TransAtlantic Cable

Emerald Networks, a new company backed by Wellcome Trust, has recently retained Jefferies & Company to raise $300 million to fund its proposed transatlantic cable.


Emerald Networks' submarine cable system will be a new-build 5,200 km, 100 Gbps undersea cable system along the "Great Circle" route connecting North America to Europe via Iceland. The ambitious project, which has set a late 2012 commissioning date, aims to be the first 100 Gbps, long-haul, undersea fiber cable. The northerly route has an expected latency of less than 62 milliseconds round trip from New York to London, making it one of the fastest networks across the Atlantic. Landing points will include Shirley, New York (Long Island) and Belmullet on the West Coast of Ireland, with a branching unit to Grindavik, Iceland. The company notes that the last of the transatlantic cables were installed back in 2003, as a result transatlantic demand is expected to outstrip capacity by 2015.


The connectivity to Iceland will benefit the benefit the growing number of data centers locating there.


The Emerald cable is designed to support 100 x 100Gbs on each of its six fibre pairs. The company has already awarded a construction contract to TE SubCom to proceed with the project. Completion is estimated in Spring of 2013. http://emeraldnetworks.com

India Advances Plan to Extend Fibre to Rural Villages

The Indian government approved a plan for extending the forthcoming National Optical Fibre Network (NOFN) to rural villages. The goal is to extend broadband connectivity to some 250,000 rural villages by utilizing the Universal Services Obligation Fund (USOF) and creating an institutional mechanism for management and operation of the NOFN for ensuring non discriminatory access to all service providers. An initial project will map the networks of various telecom operators such BSNL, Rail Tel, Power Grid, etc. The incremental fibre length can then be determined for connecting rural villages to the nearest fibre point. http://pib.nic.in/newsite/erelease.aspx?relid=78075

SAP to Acquire SuccessFactors for $3.4 Billion

SAP agreed to acquire SuccessFactors, a provider of cloud-based human capital management (HCM) solutions, for $40.00 per share in cash, representing an enterprise value of approximately $3.4 billion.


SuccessFactors has over 3,500 enterprises using its cloud-based Business Execution solution to perform organizational tasks such as employee reviews, compensation management, employee performance measurement, etc. The company is based in San Mateo, California.


"The cloud is a core of SAP's future growth, and the combination of SuccessFactors' leadership team and technology with SAP will create a cloud powerhouse. The acquisition will help us address the top priority for CEOs globally – managing people and talent," said Bill McDermott, Co-CEO, SAP. http://www.successfactors.com/http://www.sap.com

Wednesday, November 30, 2011

Ericsson Exits PC Modules for Mobile Broadband

Ericsson has decided to phase out its business of supplying PC modules for mobile broadband access. The company said that it began supplying PC modules in 2007 in order to spur the market for mobile broadband, but now that this segment is well established, it will focus its efforts on supplying carrier infrastructure while letting it ST-Ericsson joint venture focus on this aspect of mobile connectivity.
http://www.ericsson.com

Sprint Extends Funding and WiMAX & LTE Partnership with Clearwire

Sprint Nextel and Clearwire reached agreements valued at up to $1.6 billion over the next four years in payments for WiMAX services, possible pre-payments for LTE services and potential equity investments. The agreements further align Clearwire's LTE network build as a complement to Sprint's Network Vision strategy.


Key points:

  • Sprint will pay Clearwire a total of $926 million, approximately two-thirds of which will be paid in 2012, for unlimited 4G WiMAX retail services during 2012 and 2013,


  • Long-term usage-based pricing is established for WiMAX services in 2014 and beyond.


  • Sprint will have access to Clearwire's WiMAX network through at least 2015.


  • Plans lay the foundation for the deployment of Clearwire's LTE Advanced-ready overlay network and outline the terms for Sprint to gain access to the additional LTE capacity.


  • Clearwire's TDD-LTE rollout will capitalize on its deep spectrum resources.


  • Sprint will pay Clearwire up to $350 million in a series of prepayments over a period of up to two years for LTE capacity if Clearwire achieves certain build-out targets and network specifications by June 2013.


  • Long-term usage-based pricing for LTE services is established for 2012 and beyond.


  • Clearwire and Sprint will collaborate on a network build plan and will jointly select LTE macro-cell sites to cover Sprint's high usage area “hotspots.�?


  • Clearwire plans to seek additional funding before initiating the build-out of its LTE Advanced-ready network. Sprint may participate in an equity offering on a pro rata basis up to $347 million.


  • Clearwire and Sprint will work collaboratively to support the ecosystem for TDD-LTE in Band Class 41 for devices, chipsets and standards.


  • Sprint expects to launch devices including laptop cards and phones that will utilize Clearwire's TDD-LTE network in 2013.


“These agreements are a result of the technical MOU we outlined during our third quarter results call and extend our relationship with Clearwire,�? said Dan Hesse, Sprint CEO. “It provides Sprint improved pricing, allows us to continue to provide WiMAX 4G services to our customers today and to new customers in the future and provides additional LTE capacity to help complement our Network Vision strategy and meet our customers' growing data demands.�?http://www.sprint.com
http://www.clearwire.com

Windstream Emerges as Formidable National Telecom Player

Windstream completed its previously announced acquisition of PAETEC Holding Corp. for approximately $2.3 billion.


PAETEC is a competitive local exchange carrier and provides telecommunications services primarily to business customers in 46 states and the District of Columbia. The company operates seven data centers in the U.S. and owns approximately 36,700 route miles of fiber in portions of 39 states and the District of Columbia. It has approximately 5,000 employees, including about 875 in the Rochester, N.Y. area. The company was founded in 1998.


Windstream, headquartered in Little Rock, Ark., is an S&P 500 company with operations in 29 states and the District of Columbia and about $4 billion in annual revenues. Windstream provides IP-based voice and data services, MPLS networking, data center and managed hosting services and communication systems to businesses and government agencies. The company also delivers broadband, digital phone and high-definition TV services to residential customers primarily located in rural areas and operates a local and long-haul fiber network spanning approximately 60,000 route miles.


The new combined company will serve business customers in 46 states and the District of Columbia and maintain approximately 100,000 fiber route miles across the country. Windstream will offer data center services across the United States and have improved capability to serve multi-location business customers. It would have had $6.1 billion in total revenue and about $2.4 billion in adjusted operating income before depreciation and amortization, which excludes non-cash pension expense, restructuring charges and stock-based compensation expense, on a pro forma basis for the last 12 months ended March 31, 2011. Business and broadband revenues would have comprised approximately 70 percent of total revenue.
http://www.windstream.com
  • In December 2010, PAETEC acquired privately-owned Cavalier Telephone for $460 million, making it one of the largest competitive local communication service providers in the United States. The acquisition includes Cavalier's wholly owned subsidiary, Intellifiber Networks, which operates a high capacity fiber network spanning approximately 16,600 route miles and representing over $2 billion of investment by companies Cavalier acquired over the last decade. The expansive 11,947 route-mile intercity network spans the Midwest and Eastern U.S., as well as 4,681 route miles throughout several existing PAETEC metro areas, allowing for broad connectivity options for customers. With this deal complete, PAETEC now has over 10,600 metro fiber-route miles, over 36,700 total fiber-route miles, and 1,178 collocations to support connectivity to enterprise businesses nationwide.


  • In June 2010, Windstream acquired Iowa Telecommunications Services, Inc. in a transaction valued at approximately $1.2 billion. As of March 31, 2010, Iowa Telecom provided service to approximately 249,000 access lines, 96,000 high-speed Internet customers and 27,500 digital TV customers in Iowa and Minnesota.


  • In July 2006, Alltel completed the spin off its wireline business, which was merged with VALOR Communications Group to create Windstream, a major wireline operator focused on the rural U.S. market.


  • In 2007, Windstream acquired CT Communications (NASDAQ: CTCI) for $585 million, adding approximately 158,000 access lines and 29,000 broadband customers. CT Communications served residential and business customers located primarily in North Carolina.

  • Windstream is based in Little Rock, Arkansas.

AT&T Blasts FCC's Staff Report -- "Logical Inconsistencies"

AT&T harshly criticized the recently released FCC report which found its proposed acquisition of T-Mobile USA would hurt competition. Two points in its stinging rebuke stand out.


First, AT&T notes that the FCC incorrectly assumes that it will expand its LTE network to rural areas of the country even if the merger fails. Likewise, the FCC assumes that Deutsche Telekom will continue to invest in the T-Mobile USA network and upgrade it to LTE if the merger fails. Neither of these conclusions is supported by facts, claims AT&T.


Secondly, on the issue of whether the merger would create jobs or not, AT&T notes that the FCC holds a much different opinion of its own broadband stimulus programs. The FCC's report concludes that the billions of dollars in additional capital investment promised by AT&T to bring LTE to rural America would create no new jobs and spur no new investment by others. However, FCC recently announced that its own $4.5 billion Connect America broadband fund will create “approximately 500,000 jobs and $50 billion in economic growth over the same period.�?


"This notion — that government spending on broadband deployment creates jobs and economic growth, but private investment does not—makes no sense," stated Jim Cicconi, AT&T Senior Executive Vice President of External & Legislative Affairs.http://attpublicpolicy.com/wireless/att-response-to-fcc-staff-report/

Huawei Opens Global Network Operation Center in Bangalore

Huawei inaugurated a new Global Network Operations Center (GNOC) in Bangalore. The facility will offer a wide range of managed services capabilities that will meet the current and future needs of Huawei's operator customers, enabling them to substantially improve their network quality, leverage network investment, and reduce operating costs.


Huawei also operates a Network Operation Center (NOC) located in New Delhi.
http://www.huawei.com

Avago Posts Record Revenue of $623 Million, up 3% Sequentially

Avago Technologies reported record net revenue of $623 million, an increase of 3 percent compared with the previous quarter, and up 9 percent from the same quarter last year. Fourth quarter net income was $154 million, or $0.61 per diluted share, up from $144 million, or $0.57 per diluted share last quarter, and net income of $164 million, or $0.66 per diluted share in the same quarter last year. Gross margin was $304 million, or 48.8 percent of net revenue. This compares with gross margin of $297 million, or 49.3 percent of net revenue last quarter, and gross margin of $276 million, or 48.3 percent of net revenue in the same quarter last year.


“Despite a slowdown in our Industrial market, we delivered sequential revenue growth in the fourth quarter as we ramped with next generation smartphones,�? said Hock Tan, President and CEO of Avago Technologies Limited. “However, looking to the first quarter, we expect a seasonal slow-down in handsets while the supply chain contraction in our Industrial market continues.�?http://www.avagotech.com

LightSquared Signs Smarter Car for Remote Vehicle Diagnostics

LightSquared announced a wholesale mobile data deal with Smarter Car, a start-up planning to offer a remote diagnostics tool for automobile dealerships. Smarter Car will sell devices and connectivity directly to automobile dealerships who will in turn offer these as options to customers when they purchase new cars. The Smarter Car device will attach to an On-Board Diagnostics (OBD)-specified port and, using LightSquared's 4G-LTE network, will allow drivers and dealerships to use smart phones, tablets or PCs to access and analyze a variety of data about the car. LightSquared's satellite will ensure nationwide coverage.
http://www.lightsquared.comhttp://smartercar.com/

See also