Saturday, December 31, 2011

2011 Mergers & Acquisitions

Tuesday, December 27, 2011

Newport to Acquire ILX Lightwave for Photonic Devices

Newport Corporation (NASDAQ: NEWP) today reported that it has entered into a definitive agreement to acquire ILX Lightwave Corporation ("ILX"), a market and technology leader in high-performance test and measurement solutions for laser diodes and other photonics components.

On December 28, Newport Corporation agreed to acquire ILX Lightwave Corporation, for $9.3 million in cash.

ILX , headquartered in Bozeman, Montana, is a supplier of high-performance test and measurement solutions for laser diodes and other photonics components. The product line includes laser diode controllers and drivers, temperature controllers, current sources, optical power and wavelength meters, semiconductor laser/LED burn-in, test and characterization systems, and fiber optic sources. The company expects 2011 revenues of approximately $8 million. The company is profitable, and Newport expects the acquisition to be accretive to its earnings immediately after closing.

Robert J. Phillippy, Newport's President and Chief Executive Officer, said, "The addition of ILX, together with our recent acquisition of Ophir Optronics, will further enhance Newport's position as the industry's leading provider of photonics instrumentation and measurement equipment. With our expanded portfolio of products and technology, we will offer our customers solutions to the most demanding applications in both the scientific and industrial markets."

http://www.newport.com http://www.ilxlightwave.com

Verizon Cancels Plans for $2 Convenience Fee

On December 28, Verizon Wireless announced plans to begin charging customers a $2 "convenience fee" for making payments via online credit or debit card transactions. The company later dropped the plan following media attention, consumer complaints, and a statement from the FCC promising to look into the matter. http://www.verizon.com

Exar Trims Financial Guidance

On December 28, Exar Corporation revised downward its financial guidance citing "weaker economic conditions in Asia and Europe and continued inventory corrections" across all product lines. Exar now expects revenue for the fiscal third quarter to be between $28 million and $30 million and non-GAAP gross margin to be between 48% and 50%. http://www.exar.com

Vodafone Egypt Upgrades Subscriber Data with NSN

Vodafone Egypt, the country’s largest telecom operator, is upgrading its subscriber data management system built on the One-NDS platform provided by Nokia Siemens Networks, enabling the operator to speed up the process of launching new, targeted services. Specifically, Nokia Siemens Networks is upgrading its comprehensive subscriber data management solution, including the One-NDS platform, and providing its Home Location Register (HLR), and Mobile Number Portability (MNP). The One-NDS platform unifies fragmented data into a single repository and is more efficient than having multiple databases for different front-end applications such as HLR and MNP. http://www.nsn.com

Verizon Wireless Cites LTE Growing Pains

During December, Verizon Wireless suffered three intermittent nationwide outages on its LTE network -- all of which were caused by glitches in the network's IP Multimedia Subsystem (IMS). Verizon Wireless' VP of network engineering Mike Haberman told GigaOM that these disruptions should be seen in light of the company's pioneering efforts with LTE. As of December 2011, Verizon Wireless has deployed its 4G LTE network in more than 190 markets across the U.S., covering more than 200 million people. The company said it has taken decisive steps to remedy each of the software bugs as well as to segment its network geographically to limit the extent of any future issues. http://www.verizon.com http://www.gigaom.com

Monday, December 26, 2011

Cavium Trims Guidance

On December 27, Cavium cut its financial guidance for the fourth quarter of 2011. The company currently expects that revenue in the fourth quarter of 2011 will be between $56 million and $57 million.


The company noted that revenues have been weaker than expected across both the enterprise and service provider as well as the broadband and consumer market segments, and further exasperated by a larger than expected impact of a hub transition at one of its major customers. http://www.cavium.com

Thursday, December 22, 2011

AT&T to Boost LTE Downlinks with Qualcomm's 700 MHz + Carrier Aggregation

The FCC granted regulatory approval for AT&T to acquire 700 MHz licenses from Qualcomm.


AT&T is purchasing 700 MHz spectrum licenses covering more than 300 million people for approximately $1.9 billion. The deal includes all 11 of Qualcomm’s D and E Block licenses in the Lower 700 MHz band.


In its FCC application for license transfer, AT&T said it plans to use supplemental downlink technology (carrier aggregation) to bond this unpaired spectrum with paired spectrum that it already holds. This will enable AT&T
to add substantial capacity on its LTE network once the LTE Advanced standards are released. The licenses at issue cover all of the United States with six or 12 megahertz of Lower 700 MHz spectrum. Specifically, Qualcomm holds all six of the Lower 700 MHz D Block licenses (six megahertz). In addition, Qualcomm holds five of the 176 Economic Area licenses35 (also six megahertz) in the Lower 700 MHz E Block, providing coverage in five of the top 15 metropolitan areas (New York, Boston, Philadelphia, Los Angeles, and San Francisco), covering more than 70 million people.


Qualcomm originally planned to use this spectrum for its Media FLO mobile TV service, which was launched in 2009 and then cancelled in early 2011 after failing to catch on in the market.


"This spectrum will help AT&T continue to deliver a world-class mobile broadband experience to our customers," said Bob Quinn, senior vice president-Federal Regulatory, AT&T. "We appreciate the FCC Chairman, the Commissioners and their staff for completing its review before the holidays. http://www.att.com http://www.fcc.gov

  • In 2008, Qualcomm won eight licenses in the FCC's 700 MHz spectrum auction at a total cost of $558.1 million. Specifically, Qualcomm purchased licenses in the E block covering the Boston, Los Angeles, New York City, Philadelphia and San Francisco Economic Area regions. These licenses doubled Qualcomm's 700 MHz spectrum holdings throughout a footprint of more than 68 million people in 28 individual markets for MediaFLO USA's "FLO TV" service (21 of its top 100 markets) at a cost of $554.6 million. In addition, Qualcomm purchased three licenses on the B block at a cost of $3.5 million.

December 22, 2011


Verizon Wireless Experiences Another LTE Glitch 
Verizon Wireless experienced a nationwide disruption on its 3G and 4G in the early morning hours of Wednesday, December 21. The service was slowly being restored throughout the day. The company has not yet commented on the cause of outage or any potential customer credits. http://bit.ly/t75MYf 21-Dec-11
Russia's Yota Launches Wholesale LTE Network in Novosibirsk 
Russia's Yota announced the launch of its first LTE network in Novosibirsk in Siberia. The network is ready for joint operation by several operators. Commercial service is expected to start by January 15, 2012, with modems available in retail shops by various network partners.

Novosibirsk is the third-largest city in Russia with a population of about 1.5 million. 
http://www.yota.ru 21-Dec-11
  • Earlier this year, Yota announced agreements with Beeline, Megafon, MTS and Rostelekom under which these leading Russian carriers will offer 4G services over Yota's LTE network.
  • Yota has been a leading WiMAX operator but changed course to LTE.
Jawbone Secures $40M for Mobile Lifestyle Products 
Jawbone, which has been known for its premium Bluetooth headsets, received a combined $40 million in funding from Deutsche Telekom, Kleiner Perkins Caufield & Byers, private investor Yuri Milner, and investors advised by J.P. Morgan Asset Management. This brings funding to nearly $210 million.

Jawbone, which is based in San Francisco, is positioning itself as a "leading innovator in products and services for the mobile lifestyle."

"We are experiencing fantastic growth and the worldwide demand for our mobile lifestyle products and services is unprecedented," said Hosain Rahman, CEO of Jawbone. 
http://www.jawbone.com 21-Dec-11
Infinera's CTO to Step Down 
Drew Perkins will step down as Infinera’s chief technology officer to pursue other opportunities and will continue to support Infinera in a technical advisory role. Mr. Perkins is one of Infinera’s co-founders and has been at the company since 2001.

Infinera said the office of the CTO will be assumed by Dave Welch, Executive Vice President and Chief Strategy Officer. A co-founder and current member of the Board of Directors, Dr. Welch was co-CTO for the four years after the company was founded. 
http://www.infinera.com 21-Dec-11
Swisscom Picks Ericsson for LTE 
Swisscom has selected Ericsson for an upgrade of its mobile infrastructure to LTE. The selection follows an open tender in which five vendors participated. Swisscom plans to invest several hundred million Swiss francs over the next five years to update all mobile base stations, increase network capacity at heavily frequented locations and press ahead with LTE expansion.

Swisscom plans to begin the rollout in January 2012 and by mid-2014 all 6,000 mobile base stations will be upgraded with new hardware and software and connected to fibre-optic lines. The carrier expects to add more than 300 new mobile sites each year. The antenna systems will not be affected, and the stringent radiation limits will continue to be met. Swisscom also said it intends to set up microcells at busy locations. In addition, the existing HSPA network will be increased to a maximum of 84 Mbps in the downlink. 
http://www.swisscom.com 21-Dec-11
JDSU Intros 40/100 G Test Solution 
JDSU announced that a tier-1 service provider in North America has selected its new T-BERD/MTS-8000 V2 40/100 G Transport Module for field-test applications. The unit is designed for field turn-up and troubleshooting of Carrier Ethernet/packet transport, long-haul, and metro-core networks, as well as government telecommunication centers. The T-BERD/MTS-8000 V2 40/100 G solution can be used for testing OTU3 and OTU4 with 100 GE client, 40 and 100 G Carrier Ethernet with RFC 2544, CoS with 10 data streams, and loop up/down. The T-BERD/MTS-8000 V2 can switch between 40 G and 100 G applications within 12 seconds. It supports both CFP- and QSFP+-based services and offers signature ruggedness, optional battery power, and control connectivity that can withstand extremely diverse test conditions. http://www.jdsu.com 21-Dec-11
Telstra International Launches Global DDoS 
Telstra International launched a Global Distributed Denial of Service (DDoS) Protection service provides for multinational customers.

The service offers 'in the cloud' protection and mitigation of DDoS attack traffic, averting congestion of customer Internet connections and protecting customer web infrastructure, whilst legitimate, clean traffic is delivered to the customer. Telstra's Security Operations Centre (SOC) systems and staff will offer 24/7 monitoring, extensive analysis and highly effective mitigation and traffic cleaning through global cleaning centres. 
http://www.telstra.com 21-Dec-11
Japanese Carriers Establish Consortium to Promote NFC 
A new Japan Mobile NFC Consortium has been established by NTT DOCOMO, KDDI and SOFTBANK MOBILE to coordinate the adoption of multiple international standards for near field communication (NFC) technologies incorporated in their mobile devices and services.

Japan’s three mobile operators already offer Osaifu- Keitai™(wallet phone) mobile services based on the contactless-IC smartcard called FeliCa.

Overseas, however, mobile operators and service providers are increasingly adopting Type A and Type B standards to develop growing markets for NFC services. In view of this worldwide trend, the consortium intends to work with mobile industry groups in Japan, including service suppliers and handset manufacturers, to incorporate compatibility with the Type A and B standards in the Japanese mobile ecosystem. 
http://www.ntt.co.jp 21-Dec-11
China Mobile Has Added 60 Million Users in 2011 
As of November 30, China Mobile had 644,319 customer lines in service. During the month of November, the carrier added 5,430,000 users, bringing the total number of additions during 2011 so far to 60,302,000. http://www.chinamobileltd.com 21-Dec-11

Wednesday, December 21, 2011

Akamai to Acquire Cotendo for Cloud Acceleration Suite

Akamai Technologies has agreed to acquire Cotendo, which specializes in cloud-based acceleration technologies, for approximately $268 million in cash, plus the assumption of outstanding unvested options to purchase Cotendo common stock.


Cotendo offers a suite of Web and mobile acceleration services using from over 30 global distributed point of presence (POPs). Cotendo's single platform software includes acceleration services for dynamic web applications, static and dynamic web content, SSL, Advanced DNS, Adaptive Image Compression, performance monitoring and automatic failover as well as real-time reports and analytics. Cotendo also offers a distributed cloud application environment called Cloudlet that allows decision-making (logic, data) at the edge, closest to the end users.


Cotendo was founded in 2008 and is headquartered in Sunnyvale, California, with a technology center in Israel. Cotendo currently has approximately 100 employees, with over 50 based in Israel.


Akamai said the acquisition will increase the pace of innovation in the areas of cloud and mobile optimization.


"As we look to accelerate growth across the dynamic landscapes of cloud and mobile optimization, we are excited to be joining forces with Cotendo," said Paul Sagan, president and CEO of Akamai. "Cotendo's technology, partnerships and people are a strong complement to Akamai. Together, we believe there is tremendous opportunity for our combined technologies as enterprises embrace the move to the cloud and seek solutions for an increasingly mobile world." http://www.akamai.com http://www.cotendo.com

  • In June 2011, , introduced a Mobile Acceleration Suite (MAS) to speed up delivery of mobile websites and mobile applications. The solution is especially aimed at reducing latency on mobile devices, which is one of the top revenue killers for content providers. Long page-load times reduce conversions and engagement with applications or sites. The new Cotendo service addresses these latency and page-load performance problems caused by slow or variable mobile network data connectivity rates.


    Cotendo's MAS does not require modifications to the origin site, such as creation of separate Web sites or infrastructure dedicated to mobile content. The MAS suite applies optimizations to speed up mobile content delivery at the logic, content and network layers.


  • Also in June 2011, Cotendo raised $17 million private funding for its cloud-based content acceleration technologies. Strategic investors and new business partners Citrix Systems and Juniper Networks, through its Junos Innovation Fund, participated in this round of funding along with existing venture backers Sequoia, Benchmark and Tenaya Capital. Citrix and Juniper, market leaders in their respective industries, join the growing ranks of Cotendo strategic partners, including AT&T, Google and Sumitomo.


  • In April 2011, Cotendo announced that AT&T is leveraging its "Cloudlet" capabilities in its AT&T Content Acceleration suite for the faster delivery of dynamic content, such as social media and shopping cart data. Specifically, AT&T is teaming with Cotendo to add their Search Engine Optimization and Cloudlet offerings to the AT&T Content Acceleration suite. This will push the business logic of dynamically generated web pages into the content acceleration cloud.


    AccuWeather, which provides up to the minute weather reporting, is using the Cloudlet module of the AT&T Content Acceleration service to improve response times without buying and maintaining additional servers. Previously, users with GPS-enabled smartphones were tying up AccuWeather's whole network with very specific requests for weather data. AT&T said that with the addition of the Cloudlet module, requests for updated weather information can now be made within a larger local geographic area, eliminating the need to travel back to headquarters for the latest forecast. As a result, update requests to headquarters have declined by 75 percent, and AccuWeather is now providing near real-time response important to its users.


  • In April 2011, ntroduced its "Cloudlet" Platform, which helps content providers to push business logic for Web content applications into the cloud and much closer to the end user.


    Cotendo said its Cloudlet paradigm will solve the challenge of quickly and efficiently delivering personalized web pages and device-specific content. This type of highly customized content typically cannot leverage the power of traditional content delivery network and site acceleration feature because each page must be generated individually.


    Cotendo's Cloudlet offers the capability to generate and deliver intelligent and real-time adaptive locally cached dynamic assets that can be content-aware (e.g. cookies), device specific, and selective by context (e.g. user's location). This includes the ability for granular authentication and contextual, personalized application delivery, which enterprises could leverage for serving content to employees and partners around the globe.


    Cotendo also sees an opportunity for its Cloudlet to serve content to mobile devices. Cloudlet promises the ability to deliver location and device-aware information on an as-needed basis while simultaneously reducing their origin server calls by 90%.


    Cloudlet will integrate with other Cotendo content delivery, site acceleration and Web performance optimization offerings. It does not require code alternations to websites or applications.

Tuesday, December 20, 2011

China Mobile Has Added 60 Million Users in 2011

As of November 30, China Mobile had 644,319 customer lines in service. During the month of November, the carrier added 5,430,000 users, bringing the total number of additions during 2011 so far to 60,302,000.
http://www.chinamobileltd.com

Japanese Carriers Establish Consortium to Promote NFC

A new Japan Mobile NFC Consortium has been established by NTT DOCOMO, KDDI and SOFTBANK MOBILE to coordinate the adoption of multiple international standards for near field communication (NFC) technologies incorporated in their mobile devices and services.


Japan’s three mobile operators already offer Osaifu- Keitai™(wallet phone) mobile services based on the contactless-IC smartcard called FeliCa.


Overseas, however, mobile operators and service providers are increasingly adopting Type A and Type B standards to develop growing markets for NFC services. In view of this worldwide trend, the consortium intends to work with mobile industry groups in Japan, including service suppliers and handset manufacturers, to incorporate compatibility with the Type A and B standards in the Japanese mobile ecosystem.
http://www.ntt.co.jp

Swisscom Picks Ericsson for LTE

Swisscom has selected Ericsson for an upgrade of its mobile infrastructure to LTE. The selection follows an open tender in which five vendors participated. Swisscom plans to invest several hundred million Swiss francs over the next five years to update all mobile base stations, increase network capacity at heavily frequented locations and press ahead with LTE expansion.


Swisscom plans to begin the rollout in January 2012 and by mid-2014 all 6,000 mobile base stations will be upgraded with new hardware and software and connected to fibre-optic lines. The carrier expects to add more than 300 new mobile sites each year. The antenna systems will not be affected, and the stringent radiation limits will continue to be met. Swisscom also said it intends to set up microcells at busy locations. In addition, the existing HSPA network will be increased to a maximum of 84 Mbps in the downlink.
http://www.swisscom.com

Jawbone Secures $40M for Mobile Lifestyle Products

Jawbone, which has been known for its premium Bluetooth headsets, received a combined $40 million in funding from Deutsche Telekom, Kleiner Perkins Caufield & Byers, private investor Yuri Milner, and investors advised by J.P. Morgan Asset Management. This brings funding to nearly $210 million.


Jawbone, which is based in San Francisco, is positioning itself as a "leading innovator in products and services for the mobile lifestyle."


"We are experiencing fantastic growth and the worldwide demand for our mobile lifestyle products and services is unprecedented," said Hosain Rahman, CEO of Jawbone.
http://www.jawbone.com

Russia's Yota Launches Wholesale LTE Network in Novosibirsk

Russia's Yota announced the launch of its first LTE network in Novosibirsk in Siberia. The network is ready for joint operation by several operators. Commercial service is expected to start by January 15, 2012, with modems available in retail shops by various network partners.


Novosibirsk is the third-largest city in Russia with a population of about 1.5 million.
http://www.yota.ru
  • Earlier this year, Yota announced agreements with Beeline, Megafon, MTS and Rostelekom under which these leading Russian carriers will offer 4G services over Yota's LTE network.


  • Yota has been a leading WiMAX operator but changed course to LTE.

Verizon Wireless Experiences Another LTE Glitch

Verizon Wireless experienced a nationwide disruption on its 3G and 4G in the early morning hours of Wednesday, December 21. The service was slowly being restored throughout the day. The company has not yet commented on the cause of outage or any potential customer credits.http://bit.ly/t75MYf

China Mobile Has Added 60 Million Users in 2011

As of November 30, China Mobile had 644,319 customer lines in service. During the month of November, the carrier added 5,430,000 users, bringing the total number of additions during 2011 so far to 60,302,000.
http://www.chinamobileltd.com

Japanese Carriers Establish Consortium to Promote NFC

A new Japan Mobile NFC Consortium has been established by NTT DOCOMO, KDDI and SOFTBANK MOBILE to coordinate the adoption of multiple international standards for near field communication (NFC) technologies incorporated in their mobile devices and services.

Japan’s three mobile operators already offer Osaifu- Keitai™(wallet phone) mobile services based on the contactless-IC smartcard called FeliCa.

Overseas, however, mobile operators and service providers are increasingly adopting Type A and Type B standards to develop growing markets for NFC services. In view of this worldwide trend, the consortium intends to work with mobile industry groups in Japan, including service suppliers and handset manufacturers, to incorporate compatibility with the Type A and B standards in the Japanese mobile ecosystem.
http://www.ntt.co.jp

See also