Thursday, October 25, 2012

Apple Sells 26.9 Million iPhones in Q3

Apple reported robust demand for its iPhones. The company sold 26.9 million iPhones in Q3, representing 58% unit growth over the year-ago quarter, and up from 20.3 million in the previous June quarter.  

A total of 125 million iPhones have been sold to date.

Another note -- Apple is now holding $121.25 billion in cash.

Vertical Systems: Business Ethernet Passes Legacy Bandwidth

Vertical Systems Group calculates that business Ethernet service have passed a significant milestone:  global bandwidth purchased for business Ethernet service connections surged past the volume of bandwidth utilized for legacy data services.  This bandwidth crossover milestone was reached in the U.S. market in 2011. Connection speeds available for Ethernet services range from sub-10 Mbps rates to above 10 Gbps.

"Global growth for legacy bandwidth is flattening, while Ethernet bandwidth continues to mount at a healthy double-digit pace," said Rosemary Cochran, principal at Vertical Systems Group. "Enterprises throughout the world are stepping up the migration of their legacy network applications to Ethernet, driven by increasing availability of Ethernet services, lower bandwidth costs, and more flexible bandwidth scalability. Applications contributing to the bandwidth surge include data backup/disaster recovery, high definition video, cloud computing, mobile backhaul and industry-specific applications."

China Mobile Awards TD-LTE Contract to NSN

China Mobile has selected Nokia Siemens Networks for the deployment of TD-LTE in three cities by the end of 2012 as part of its large-scale, pre-commercial trial of TD-LTE.

Nokia Siemens Networks will deploy its TD-LTE 8-pipe radio and Flexi Multiradio Base Stations. In addition, Nokia Siemens Networks will help China Mobile with Circuit Switched Fallback (CSFB) technology testing in Hangzhou, a technique used to offer voice calls alongside TD-LTE services.

Nokia Siemens Networks noted that through its parent companies it has an over 20-year working relationship with China Mobile and was one of the first vendors to support the operator’s initial GSM network.

  • In September, Nokia Siemens Networks announced a new speed record for TD-LTE -- 1.6 Gbps. The previous record -- also set by NSN - was 1.3 Gbps.
  • The record was set using the company's commercial Flexi Multiradio 10 Base Station to receive and send data in simultaneous downlink and uplink connections, reaching an overall speed of 1.6 Gbps.  The test used 60 MHz of aggregated spectrum with an 8-pipe radio module that enables eight streams of uplink MU-MIMO.  The test was performed at the Nokia Siemens Networks lab in Arlington Heights, Illinois.
  • NSN also noted that the 8-pipe radio module design even exceeded the specs of LTE-Advanced, which requires only four streams of uplink MU-MIMO. 

Telesis Tanzania Picks Alcatel-Lucent for LTE

Telesis Tanzania, a new carrier which operates as a Mobile Virtual Network Aggregator (MVNA) supporting services for a number of Mobile Virtual Network Operators (MVNOs), has selected Alcatel-Lucent to deploy LTE.

For the project, Alcatel-Lucent will provide its 4G LTE solution including Radio Access network (RAN) products, the Evolved Packet Core solution (EPC), the Service Aware Manager the Subscriber Data Manager, Convergent Charging System as well as its services expertise including project management, integration and optimization.

The mobile broadband network will be launched using the digital dividend spectrum.

Mihayo Wilmore, Director and Co-Founder of Telesis said "Telesis lives by its motto, ‘connecting the unconnected’. The wireless broadband project allows us to work towards bridging the gap in the digital divide by addressing the key stumbling blocks – access and affordability.  Both Alcatel-Lucent and Telesis have been entrusted by the regulator (TCRA) and the Tanzanian Government at large to truly become a game changer, leading the establishment of a business model where collaboration rather than competition will benefit the economy at large. Tanzania has over 20 million addressable broadband users, 200,000 registered businesses, and nearly 30,000 educational institutions that all need to be connected."

Ericsson Appoints Head of Research

Ericsson has appointed Dr. Sara Mazu as Head of Ericsson Research, Group Function Technology, replacing Jan Färjh, who has taken up another position within Ericsson as Head of  Standardization and Industry, Group Function Technology.

Mazur, who holds a Ph.D. in electrical engineering, is currently Vice President and Head of System Management within Business Unit Networks. Her most recent focus has been on unit-wide technology and research coordination and strategic management of technologies.

Mazur has worked on advanced technology throughout her career to strengthen Ericsson’s technical excellence.

Mazur graduated with a M.Sc. and a Ph.D. in electrical engineering from the KTH Royal Institute of Technology in Sweden, where she is an Associate Professor in fusion plasma physics.

Wednesday, October 24, 2012

Tellabs Announces Q3 Revenue of $264 million, 200 Job Cuts

Tellabs posted Q3 revenue of $264 million, compared with $330 million in the year-ago quarter, and a net loss of $4 million or 1 cent per share, compared with a net loss of $130 million or 36 cents per share in the third quarter of 2011. Q3 results included impairment charges for goodwill and other intangible assets of $102.7 million.

For the third quarter of 2012, Optical segment revenue was $108 million, Data segment revenue was $66 million, Access segment revenue was $42 million and Services segment revenue was $48 million.

Tellabs also announced plans to eliminate approximately 200 jobs over the next year.  The company expects to take a restructuring charge of about $11 million in the fourth quarter of
2012, consisting principally of severance and related costs.

“As we transform Tellabs’ business model and create a path to sustained future growth and profitability,
we must continue to lower costs and expenses,” said Dan Kelly, Tellabs acting CEO and president. “At
the same time, we are increasing R&D investments in our next-generation products to help our customers succeed with Tellabs optical, data and access solutions.”

Infinera Cites 16 Purchase Commitments for DTN-X

Infinera reported Q3 revenues of $112.2 million, compared to $93.5 million in the second quarter of 2012 and $104.0 million in the third quarter of 2011.  GAAP net loss for the 2012 third quarter was $(19.1) million, or $(0.17) per share, compared to net loss of $(29.5) million, or $(0.27) per share, in the second quarter of 2012 and net loss of $(21.8) million, or $(0.21) per share, in the third quarter of 2011.

“The DTN-X is experiencing strong traction around the world,” said Tom Fallon, president and chief executive officer. “We now have 16 purchase commitments, representing five new customers and 11 existing customers. These commitments come from customers in North America, Europe and Asia Pacific and include commitments from all of our vertical markets. The DTN-X is in full deployment across the globe and, as forecasted, we began recognizing revenue from this platform in the third quarter. "

On a conference call, Infinera confirmed that it has shipped over one thousand 100G ports for revenue as of the end of the quarter.
  • Infinera's new DTN-X platform features 5 Tbps of optical transport network (OTN) switching capacity. It uses large scale Photonic Integrated Circuits (PICs) to enable 500 Gbps, long-haul FlexCoherent super-channels. 

Sea Fibre Connects Dublin and Amsterdam

Sea Fibre Networks, which owns and operates the CeltixConnect sub-sea cable between the UK and Ireland, has activated a new route from the greater Dublin area to Amsterdam.  The link, which uses selected third party fibre, delivers an end-to-end fibre solution from Dublin to Amsterdam, via London, while remaining carrier-neutral.

Amsterdam's AMS-IX carries an average 1.25 Tbps with a year high peak of 2 Tbps.

Dublin is a central Internet hub in Europe, hosting major data centres of Google, Amazon and Microsoft.

Fusion-io Posts Growth for its Flash Storage

Fusion-io reported revenue of $118.1 million for its fiscal first quarter 2013, up 59% from $74.4 million for the same quarter of 2012 and up 11% from $106.6 million for the preceding quarter. Net income for the fiscal first quarter of 2013 was $3.9 million, or $0.04 per diluted share, compared to net income of $7.2 million, or $0.07 per diluted share, in the fiscal first quarter of 2012.

"We are pleased with our execution in the first quarter and our ability to continue to capture market share," said David Flynn, Fusion-io chairman and chief executive officer.  "Our innovative use of flash memory technology in our portfolio of software defined data acceleration solutions is yielding significant performance and efficiency improvements for our customers' data centers.  We believe the economic benefits enabled by flash technology and Fusion-io software become only more compelling over time."

YOTA Activates LTE-Advanced Carrier Aggregation on Moscow Base Stations

YOTA Networks has activated LTE-Advanced on its commercial LTE network in Moscow.

For the project, Huawei supplied its end-to-end SingleRAN LTE/EPC solution for LTE-Advanced (3GPP rev10).  The deployment uses Carrier Aggregation to provides downlink peak rates of up to 300Mbps, depending on the capacity of the radio channel.

YOTA said LTE-A is deployed on 11 base stations.  The company expects the first devices supporting LTE-A to be on the market in the second half of 2013.

“We are proud to be selected as a partner of YOTA Networks and we fully intend to support YOTA in the launch of their most advanced services yet. To date, Huawei has realized a large number of commercial LTE projects across many countries, and the launch of the first test LTE-A network in Moscow is a major step in the development of mobile broadband access markets around the world," stated Sergey Varyukhin, Key Account Department Vice President for Huawei in Russia, Ukraine, Belarus and Armenia.

Alcatel-Lucent Boosts its Mobile Backhaul Portfolio

Alcatel-Lucent rolled out a set of enhancements to its mobile backhaul portfolio to address the challenges associated with delivering mobile broadband services in crowded, urban environments where growing customer demand is creating a need for a rapid introduction of small cells.

The announcement includes:

  • New variants of Alcatel-Lucent’s 7705 Service Aggregation Router (SAR) to provide an end-to-end service layer for more efficient OAM (operations, administration and management), and also featuring advanced timing/synchronization, flexible powering options, and Auto-Discovery and Provisioning (ADP) capabilities.
  • An expanded range of microwave transport solutions, including 60 gigahertz (Ghz) point-to-point line-of-sight, and sub 6 Ghz for point-to-point and point-to-multipoint non-line-of-sight applications.
  • Increased capacity on the company’s flagship 9500 Microwave Packet Radio platform brings greater backhaul bandwidth capabilities to mobile operators for both their macro and small cell sites.
  • Optimization of the company’s existing broadband access portfolio to support small cell backhaul requirements. New copper- and fiber-based small cell backhaul access solutions enable mobile operators to make better use of their existing broadband network to backhaul metro cell networks at low incremental cost.
  • A broader range of professional services to help design, optimize and deploy backhaul networks to support metro cell deployments further extends the recently announced Alcatel-Lucent lightRadio™ Metrocell Express ‘build-operate-transfer’ solution for turnkey deployments.

"The combination of our strengths in IP, optics, microwave, fixed access and wireless puts us in a relatively unique position amongst the other vendors in the market, and places us in an ideal position to address the mobile backhaul challenge with the introduction of small cell deployments. Not only do we offer the most comprehensive set of backhaul options in the industry, we also bring unmatched solution integration experience to the table. We are confident that our leadership in mobile backhaul will only increase in the metro cell era," stated Philippe Keryer, President of Alcatel-Lucent’s Networks Group.

AT&T: Smartphones Now Represent 81% of Sales

Driven by 18.3 percent growth in wireless data revenues and a 38.3 percent growth in U-verse revenues, AT&T posted Q3 revenues of $31.5 billion, flat versus the year-earlier quarter. but up 2.6% when excluding the divested Advertising Solutions business unit.

AT&T said its LTE deployment is ahead of schedule, already covering more than 135 million POPs.

Operating income was $6.0 billion, down from $6.2 billion; and AT&T’s operating income margin was 19.2 percent, compared to 19.8 percent.

Net income for the quarter totaled $3.6 billion, or $0.63 per diluted share, consistent with $3.6 billion, or $0.61 per diluted share, in the year-earlier quarter. When adjusted for Advertising Solutions, earnings per share was $0.62 compared to $0.59 in the year-ago quarter.

“We had another impressive quarter with strong earnings growth, record cash flows and solid returns to shareholders through dividends and share buybacks”, said Randall Stephenson, AT&T chairman and chief executive officer. “In wireless, we had another excellent smartphone quarter, penetration of usage-based mobile data plans continues to climb, and our 4G LTE network build is ahead of schedule. And in wireline, our IP network continues to deliver strong gains in U-verse high speed Internet connections, which helped drive an almost 10 percent increase in broadband data ARPU. Our strong performance allows us to increase our free cash flow guidance to $18 billion or higher this year, exceeding our previous outlook by $2 billion."

Some highlights:


  • Wireless service revenues increased 4.5 percent, to $14.9 billion, in the third quarter.
  • Postpaid subscriber ARPU increased 2.4 percent versus the year-earlier quarter to $65.20, the strongest growth in six quarters.
  • AT&T sold 6.1 million smartphones in the third quarter, 1.3 million more than in the third quarter a year ago.
  • Smartphones represented 81 percent of postpaid device sales.
  • At the end of the quarter, 63.8 percent, or 44.5 million, of AT&T's postpaid subscribers had smartphones, up from 52.6 percent, or 36.1 million, a year earlier and up 1.4 milion from the second quarter.
  • About 64 percent, or 28.5 million of all smartphone subscribers are on usage-based data plans.


  • Total third-quarter wireline revenues were $14.8 billion, down 1.6 percent versus the year-earlier quarter and down slightly sequentially.
  • Revenues from residential customers totaled $5.4 billion, an increase of 2.0 percent versus the third quarter a year ago and their strongest growth in more than four years.
  • Total AT&T U-verse subscribers (TV and high speed Internet) reached 7.4 million in the third quarter. AT&T U-verse TV added 198,000 subscribers to reach 4.3 million in service.
  • AT&T U-verse High Speed Internet delivered a third-quarter net gain of 613,000 subscribers to reach a total of 7.1 million, helping offset losses from DSL.
  • Overall, AT&T wireline broadband connections decreased 42,000.
  • Total business revenues were $9.1 billion, down 2.6 percent versus the year-earlier quarter and slightly lower than the second quarter of 2012.
  • AT&T's most advanced business solutions — including Ethernet, VPNs, hosting, IP conferencing and application services — grew 11.4 percent versus the year-earlier quarter.

SiTime Advances Network Timing with Digitally Controlled MEMS Oscillators

SiTime introduced a new MEMS-based Digitally Controlled Oscillator (DCXO) with an in-system digital control interface that is used for tuning the output frequency.

The company said its new device (SiT3907 DCXO), which is targeted at telecom, networking, video, audio and embedded applications, offers 100 times better linearity and 8 times better pull range than quartz VCXOs. The SiT3907 is fully programmable to accelerate development. Samples are shipped in 48 hours and production quantities are available with three weeks lead time.

“SiTime’s innovative MEMS technology and analog expertise is leading the revolution in the timing industry,” said Piyush Sevalia, executive vice president of marketing at SiTime. “For decades, the quartz industry has offered VCXOs with no new features. Our customers requested an all-digital control interface that simplified their design and improved performance. We listened, and used our semiconductor expertise to quickly deliver this new feature. This is a great example of how SiTime is changing the game in the timing industry.”

Some key features:
  • New - 1-wire digital interface for easy, low-noise, and dynamic in-system frequency control. Quartz VCXOs use an analog interface that requires an external DAC in the control path and generates additional system noise.
  • Best linearity at less than 0.1%. Typical quartz VCXOs are limited to 10% linearity.
  • Widest pull range from ±25 to ±1600 PPM with 1 PPB resolution for flexible, in-system calibration. Quartz VCXOs are limited to ±200 PPM pull range.
  • Programmable drive strength for best EMI reduction. This feature is not available in quartz VCXOs.
  • Industry-leading frequency stability as low as ± 10 PPM for enhanced system reliability. Typical quartz VCXOs are only available in ± 25 - 50 PPM stabilities.
  • LVCMOS output, programmable for any frequency between 1 and 220 MHz with best-in-class 6 decimal places of accuracy. Quartz VCXOs offer selected, fixed frequencies only.
  •  of customized devices are shipped in 48 hours and production quantities are available in 3 to 5 weeks. Customization of quartz VCXOs requires NREs and 12 to 18 week lead times.
  • Outstanding reliability of 500 million hours MTBF, which is up to 15 times better han quartz VCXOs.
  • 50,000 g shock and 70 g vibration resistance which is 30 times better than quartz VCXOs.
  • Industrial (-40 to +85 °C) and commercial temperature (-20 to +70 °C) operation.
  • 1.8V and 2.5 to 3.3V operation.
  • Available in 4-pin 3225 and 6-pin 5032 and 7050 packages.

The SiT3907 is in production now. Pricing is available upon request.

Tuesday, October 23, 2012

Juniper Sees Revenue Growth in Q3, PTX Customers

Juniper Networks reported net revenues for Q3 2012 increased 4% sequentially, and increased 1% on a year-over-year basis, to $1,118 million. GAAP net income was $17 million, or $0.03 per diluted share for the third quarter. The GAAP diluted income per share includes $0.16 impact from restructuring and other charges. Non-GAAP net income was $118 million, or $0.22 per diluted share, for the third quarter of 2012, up 16% sequentially but down 21% compared to last year.

"Juniper delivered top line revenue growth in the third quarter as we focus on excellence in execution throughout our business," said Kevin Johnson, chief executive officer of Juniper Networks.

In a conference call, juniper executives said its service provider business so healthy performance in the U.S. market and good performance in Europe and Asia PAC.  The company said customer engagements around its core networking products are underway and that interest in the T4000 core routers and PTX platform is strong with more than 15 customers.  Juniper noted recent wins for its Qfabric including with the University of Frankfurt and a financial firm in China.  While the Service Provider segment is growing (up 4% sequentially) the company saw a decline in enterprise sales in the U.S. market.

Company Ceo Kevin Johnson also said its software defined networking is a major opportunity for Juniper.  The company expects to have OpenFlow running on its MX and EX routers as well as its Qfabric data centre platform next year.

Juniper ended Q3 with 9584 employees, not including in recent layoff.

Cisco: Global Data Center Traffic Expected to Surge

Global data center traffic will grow fourfold and reach a total of 6.6 zettabytes annually by 2016, according to a newly published Cisco Global Cloud Index (2011-2016).   

Global cloud traffic, the fastest-growing component of data center traffic, is forecast to grow sixfold – a 44 percent combined annual growth rate (CAGR) – from 683 exabytes of annual traffic in 2011 to 4.3 zettabytes by 2016.  

The study predicts a massive migration to the cloud -- so much that nearly two-thirds of all workloads will be processed in the cloud by 2016.  

The forecast covers network data centers worldwide operated by service providers as well as private enterprises. 

"This year's forecast confirms that strong growth in data center usage and cloud traffic are global trends, driven by our growing desire to access personal and business content anywhere, on any device. When you couple this growth with projected increases in connected devices and objects, the next-generation Internet will be an essential component to enabling much greater data center virtualization and a new world of interconnected clouds," said Doug Merritt, senior vice president, Corporate Marketing, Cisco.

The 28-page report is online.

Some highlights:

  • Roughly 76 percent of data center traffic will stay within the data center and will be largely generated by storage, production and development data.
  • About 7 percent of data center traffic will be generated between data centers, primarily driven by data replication and software/system updates.
  • About 17 percent of data center traffic will be fueled by end users accessing clouds for Web surfing, emailing and video streaming.
  • In 2011, North America generated the most cloud traffic (261 exabytes annually); followed by Asia Pacific; (216 exabytes annually); and Western Europe (156 exabytes annually).
  • By 2016, Asia Pacific will generate the most cloud traffic (1.5 zettabytes annually); followed by North America (1.1 zettabytes annually); and Western Europe (963 exabytes annually).
  • In 2011, North America had the most cloud workloads (8.1 million, or 38 percent of the global cloud workloads); followed by Asia Pacific, which had 6.7 million, or 32 percent of the global workloads in 2011.
  • By 2016, Asia Pacific will process the most cloud workloads (40.6 million, or 36 percent of the global cloud workloads); followed by North America, which will have 17.4 million, or 26 percent of the global workloads in 2016.

Facebook's Key Usage Indicators Continue to Rise

Facebook's monthly active users (MAUs) were 1.01 billion as of September 30, 2012, an increase of 26% year-over-year.  Daily active users (DAUs) were 584 million on average for September 2012, an increase of 28% year-over-year.  Meanwhile, mobile MAUs were 604 million as of September 30, 2012, an increase of 61% year-over-year.

"As proud as I am that a billion people use Facebook each month, I'm also really happy that over 600 million people now share and connect on Facebook every month using mobile devices," said Mark Zuckerberg, Facebook founder and CEO. "People who use our mobile products are more engaged, and we believe we can increase engagement even further as we continue to introduce new products and improve our platform. At the same time, we are deeply integrating monetization into our product teams in order to build a stronger, more valuable company."

Broadcom Posts Revenue of $2.13 billion up 8.7% YoY

Broadcom reported record Q3 revenue of $2.13 billion, up 8.0% compared with the $1.97 billion reported in Q2 2012 and an increase of 8.7% compared with the same period last year.  GAAP net income was $220 million, or $.38 per share (diluted), compared with GAAP net income of $160 million, or $.28 per share (diluted), for Q2.

"Broadcom delivered record quarterly revenue and operating cash flow in Q3 driven by strength across all of our business segments," said Scott McGregor, Broadcom's President and Chief Executive Officer. "We also achieved key company milestones including our first quarter above $2 billion in revenue and our first quarter of Mobile and Wireless revenue above $1 billion. Despite challenging market conditions, Broadcom's product pipeline is stronger than ever, positioning us for continued success in the communications semiconductor space."

Rackspace Debuts Cloud Block Storage Powered by OpenStac

Rackspace Hosting introduced a new Cloud Block Storage service powered by OpenStack.

Rackspace is offering a standard volume option for everyday storage.  The company said performance has been tested to be at least 30% less variable than that of alternatives.  The new product’s Solid State Drive (SSD) volume option has also been tested to deliver even higher performance, 5x to 6x faster than competing solutions.

Both options feature a transparent, flat pricing structure with no charge for I/O, and are now available for Cloud Servers powered by OpenStack.

Standard – $0.15 per gigabyte per month; SSD – $0.70 per gigabyte per month
$.10 per gigabyte per month for snapshot data stored

Apple Expands LTE Choices for iPad

Apple announced expanded LTE coverage in its new iPad mini and fourth generation iPad with Retina display.  Several LTE radio options are supported.

In the U.S. market, iPad LTE service will now be available from AT&T, Sprint and Verizon.

International LTE Coverage

Canada -- Bell, Rogers, Telus
Germany -- Deutsche Telekom
UK -- EE
Australia -- Optus
Japan -- KDDI, Softbank
Korea -- SK Telecom, KT
Hong Kong -- Hurchison, SmarTone
Singapore -- M1, SingTel, StarHub

EE's LTE Service in UK to Offer Film Service Too

EE (everything Everywhere), which is the company that runs the Orange and T-Mobile networks in the UK, confirmed plans to launch its 4G service, along with its new fixed-line fibre broadband service.

The mobile service will be called 4GEE and will offer speeds five times faster than 3G, and speeds typically ten times faster than currently available in homes and offices.  The launch is going live on October 30, initially across ten cities .  A further six cities are expected to be online in the run up to Christmas, with further cities and rural locations planned for 2013, and 98% of the population due to be covered by the end of 2014.

The company will also be launching "EE Film", a service that combines 2 for 1 cinema ticketing, listings, trailers and film downloads or streaming.  EE customers will be able to watch a film of their choice on their mobile, on their PC or even on their TV (via their laptop). 4GEE customers will able to download or stream a film, each week, on EE, without impacting their data allowance. Further films can be downloaded or streamed with prices starting at 79p, and the cost can be charged to customers’ mobile bill, or credit and debit cards.