Thursday, May 2, 2013

CTO Perspectives: Radisys' Manish Singh on Network Innovation

Converge! Digest: Every study points to an aggressive growth in mobile video traffic over the next few years.  How will the network evolve to address this challenge?

Manish Singh:  Yes, if you look at the fastest growing segment of the mobile networks, it is video.

One of the challenges operators face is that  traffic is not necessarily monetizable.  So what Radisys is doing is really enabling operators to take all of this video and find ways to increase ARPU. 

We're trying to bring new services to market that will enable operators to start monetizing video, especially real-time video.  For example, video conferencing is a great solution that operators can offer as a premium service to enterprises.  Other examples are video ringback tones or video mail -- these are interesting services that can be customized by the consumer and have great appeal, at least in certain geographies, while being monetizable.  

Think of advanced business services.  Today you may call an airline and reach their interactive voice response system.  We believe that tomorrow, with all the smartphones and network infrastructure in place, the airline should be able to provide an interactive voice and interactive video response system that correctly communicates with the consumer. So services like these, where video truly enables a better real-time communications experience, are going to be hot.  

I believe there is a lot of potential for operators to monetize this traffic, drive ARPU up, and deliver a better experience to the consumer. 

Converge! Digest:  One of the big challenges that operators face is how to scale their networks for millions or even tens of million of LTE users.  What technologies do you see having a big impact here?

Manish Singh:  When it comes to network scalability, different dimensions come into play.

In the control plane layer, for example, workloads like MMEs or HLRs or PCRF, lend themselves very well for virtualization as well as scalability through cloud computing architectures.

So what we need is the right platform for virtualized payloads to scale up.  These could also provide workload consolidation to free up resources for other applications.

Converge! Digest: How do you expect the core network of mobile operators to evolve over the next 5 years?

Manish Singh:  Looking 5 years out, what I see is that a lot of the control plane infrastructure and a lot of the service plane infrastructure in the operator's core and IMS is going to get virtualized and will really be enabled by cloud-like technologies.  

The underlying platforms need to be telecom-grade so that the operators are not making any tradeoffs of five-nines versus cloud.  This means bringing a five-nine's carrier-grade cloud platform.  

In the data plane layer I also see a lot of gateways and policy enforcement platforms will have edge routing capacities built in. A lot of load balacing capabilities will also be brought into these gateways and they will be further enabled by SDN. So that's what I see five years ahead.

Converge! Digest: A lot of people say software is the future of networking. What does it take to be a key player in this area?

Manish Singh:  The future of networking is definitely going to be enabled by software but at the same time carriers will still need the underlying hardware to make it functional and secure.  

From a Radisys perspective, to really get to software enabled networks, we known that we must supply hardware solutions for edge routing, load balancing, compact gateways, etc.  We also must deliver the software required for an integrated solution while enabling our customers to be able to create a differentiated product.  

Converge! Digest:  Radisys has talked about an end-to-end vision for network evolution. How are the pieces of this solution coming together?

Manish Singh:  We do believe that operators need to maximize spectrum utilization in the RAN in order to effectively deal with the tsunami.  To do that, small cells are essential.  

We have developed a complete software solution for small cells.  We did that for 3G and are doing so again for LTE small cell solutions.  In fact, we recently announced the world's first small cell deployment at scale by network operator in South Korea.  This was enabled by our software and we are very pleased with the progress here.  Our partners now have over 30 active small cell trials underway with major operators around the world. In addition, we are moving the ball ahead with small cell solutions for LTE-Advanced -- we've had a world-first demonstration at Mobile World Congress in Barcelona showing LTE-Advanced with carrier aggregation in a small cell.  

So that's what we are doing in the RAN.  Further down in the packet core, we have an undisputed leadership position with our ATCA platforms.  These are enabling a wide range of network functions in both the control plane and the data plane.  We've added deep packet inspection (DPI) capabilities in these platforms to deliver policy enforcement capabilities.

As we look forward, we see a lot of interest building up in network virtualization and software defined networking (SDN) technologies.  Given our strong track record in the telecommunications field, Radisys is going to bring the right solutions forward for network virtualization functions at the control layer as well as SDN capabilities in the data plane.

Moving further on into the network's IMS domain, we also believe that wnetwork operators need to focus on traffic monetization capabilities that increase ARPU. With our IMS media resource function, we are enabling operators to start monetizing voice over LTE (VoLTE).  As a proof point, Radisys enabled the world's first VoLTE commercial rollout at MetroPCS.  This will be followed with a range of premium services, such as video conferencing, video mail, video ring back tones, interactive voice and video response system for better customer support... so a whole range of opportunites for mobile operators to monetize new traffic.

Converge! Digest: LTE rollouts are now underway by at least 145 operators worldwide, but already we see the next wave of LTE-Advanced moving through the standards committees. Is this next wave of standards upgrades any different from what we've seen before?

Manish Singh:  We know that standards are always a moving target for equipment vendors and network operators. There are many waves of technologies that come in to enable these new services or to bring new efficiencies to the infrastructure. For example, we are now seeing a lot of development in LTE-Advanced going on in the 3GPP working groups.  We are constantly releasing updates to keep pace. Capabilities such as carrier aggregation are becoming very important for LTE-Advanced, so we are bringing this to market. Another hot area of interest is ETSI's work in network function virtualization. Radisy is actively working on that with operators and equipment ecosystem partners to really help shape how the power of the cloud and SDN can deliver a more optimized network.  This could significantly improve network efficiency.  

With our 25-year track record of innovating in the telecom space, Radisys is well positioned to drive this next wave forward.

About Radisys

Radisys (NASDAQ: RSYS) is a market leader enabling wireless infrastructure solutions for telecom, aerospace and defense applications. Radisys’ market-leading ATCAMRF (Media Resource Function)and COM Express platforms coupled with world-renowned Trillium software, services and market expertise enable customers to bring high-value products and services to market faster with lower investment and risk. Radisys solutions are used in a wide variety of 3G & 4G / LTE mobile network applications including: Radio Access Networks (RAN) solutions from femtocells to picocells and macrocells, wireless core network applications, Deep Packet Inspection (DPI) and policy management; conferencing and media services including voice, video and data, as well as customized mobile network applications that support the aerospace and defense markets. 

About Manish Singh

Manish joined Radisys in 2011 with the acquisition of Continuous Computing. Prior to Radisys, Manish was the Vice President of Product Line Management at Continuous Computing. Before Continuous Computing, Manish held various engineering management and architect positions at Intel Corporation, Trillium Digital Systems, and C-DOT (Center for Development of Telematics).   Manish has an M.S. degree in computer science from India Institute of Science, Bangalore and a B.S. degree in electronics and telecommunication from Shri G.S. Institute of Technology & Science, Indore and sits on the Femto Forum board of directors.









CTIA: U.S. Mobile Operators Invested $30.1 Billion in 2012, up 19%


The U.S. wireless providers increased their annual network investments from $25.3 billion in 2011 to $30.1 billion in 2012 (up 19 percent), according to CTIA-The Wireless Association's semi-annual survey. CTIA represents the U.S. wireless communications industry. The investments represent approximately 25% of the world's total wireless capital expenditures fo 2012 , even though the U.S. has only five percent of the world's wireless users.

"The wireless industry invested billions of dollars to improve their networks and their customers' coverage in 2012, fueling the 'virtuous cycle' of innovation. New devices, apps and content were developed so consumers could take advantage of the faster network speeds and capabilities. That's why the U.S. leads the world in wireless innovation and competition," said Steve Largent, President and CEO, CTIA. "

Some highlights of the CTIA's year-end 2012 annual survey of U.S. mobile operators:

  • Wireless subscriber connections: 326.4 million (102 percent penetration); 2011: 315.9 million (3.3 percent increase).
  • Total prepaid / pay-as-you-go subscribers: 76.4 million (23.4 percent of subscribers); 2011: 71.7 million (6.6 percent increase).
  • Wireless network data traffic: 1.468 trillion megabytes; 2011: 866.8 billion (69.3 percent increase).
  • Active smartphones and wireless-enabled PDAs: 152.1 million; 2011: 111.5 million (36.4 percent increase).
  • Wireless-enabled tablets, laptops and modems: 22.3 million; 2011: 20.2 million (10.2 percent increase).
  • Minutes of Use (MOU): 2.2999 trillion; 2011: 2.2955 trillion (4.4 billion minute increase or .2 percent).
  • SMS sent and received: 2.19 trillion; 2011: 2.3 trillion (4.9 percent decrease).
  • MMS sent and received: 74.5 billion; 2011: 52.8 billion (41 percent increase).

http://www.ctia.org/advocacy/research/index.cfm/AID/10316

Taiwan's Chunghwa Telecom: 61% of Broadband Lines Now on FTTx

Taiwan-based Chunghwa Telecom reported Q1 2013 net revenue of NT$56.63 billion (US$1.92 billio), up 2.1% compared to last year.  This total was comprised of 49.3% mobile, 10.6% internet, 31.9% domestic fixed, 6.7% international fixed, and the remainder was from other businesses.

Some highlights for Q1 2013:

  • As of March 31st, the number of FTTx subscribers reached 2.79 million, accounting for 61.2% of total broadband users. Moreover, the number of subscribers signing up for 50Mbps and higher speed connections increased by 81.9%, reaching 964,000.  
  • Broadband access revenue, including ADSL and Fiber connections (FTTx), increased by 2.0% to NT$4.83 billion, demonstrating continued success in migrating subscribers to higher speed fiber services.
  • Total revenue for the mobile business increased to NT$27.90 billion for the first quarter 2013, representing 9.1% growth. The increase was primarily due to growth in mobile VAS revenue and handset sales from smartphone promotions.  This increase offset a decline in mobile voice revenue due to promotional packages and the National Communication Committee mandated tariff reductions.

  • Chunghwa's internet business revenue decreased by 2.7% to NT$6.02 billion in the first quarter of 2013.  The decrease was primarily attributable to lower ICT project revenue which offset the increase in HiNet ISP revenue and internet VAS revenue.
  • Domestic fixed revenue totaled NT$18.05 billion, representing a 5.9% decrease. Local service revenue decreased by 7.6% mainly due to mobile and VoIP substitution. Moreover, the 15.2% revenue decline in the DLD business was primarily due to tariff reduction which began in January 2012 and was reflected one month later in the February 2012 financials, resulting in a higher year over year comparison basis.
  • Broadband access revenue, including ADSL and Fiber connections (FTTx), increased by 2.0% to NT$4.83 billion, demonstrating continued success in migrating subscribers to higher speed fiber services.
  • International fixed revenue increased by 4.8% to NT$3.82 billion, mainly due to higher international long distance service and leased line revenue.
  • Total CAPEX for the first quarter of 2013 increased by 12.6% to NT$7.53 billion. Total capex was comprised of: 54.6% domestic fixed communications, 26.3% mobile, 15.7% internet, 1.9% international fixed communications, and the remainder was for other uses.

http://www.cht.com.tw/en/

Sprint Gives 60-Day Notice on Shutdown of iDEN Network


Sprint confirmed that June 29, 2013 will be the last full day of service for its Nextel iDEN network.

Sprint said it will shut down iDEN switch locations in rapid succession on June 30, followed by powering down equipment and eliminating backhaul at each cell site.

The transition of Sprint’s push-to-talk service from iDEN to CDMA is part of the company’s Network Vision plans. Customer migration initiatives have been underway for the past 11 months.

http://www.sprint.com


  • The Sprint iDEN network traces its roots to the 1987 foundation of FleetCall, which later became Nextel Communications in 1993. Sprint acquired Nextel in 2005. The Nextel network operates in the 800MHz Specialized Mobile Radio band and uses iDEN technology developed by Motorola.

Mellanox to Showcase Quagga L3 Stack on its Ethernet Silicon


Mellanox Technologies is planning to showcase its new Open Ethernet platforms at next week's Interop in Las Vegas.

The Open Ethernet demonstration will include Quagga L3 open source stack running on top of Mellanox’s SwitchX based 10/40/56GbE switch systems.

Mellanox describes its Open Ethernet initiative as an alternative approach to traditional closed-code Ethernet switches, providing customers with full flexibility and freedom to custom-design their data center in order to optimize utilization, efficiency and overall return-on-investment.

"Our demonstration with Quagga highlights the power of Open Ethernet to provide the capability to fully customize open source software packages on top of Mellanox 40 and 56GbE switches, enabling our customers to add differentiation and competitive advantages in their networking infrastructure while reducing cost," said Gilad Shainer, vice president of marketing at Mellanox Technologies.

http://www.mellanox.com/interop2013/

Intel Picks COO for Next CEO


Intel's board of directors named Brian Krzanich as its next chief executive officer (CEO), succeeding Paul Otellini who steps down later this month.

Krzanich has served as Intel's chief operating officer since January 2012 and has been with the company since 1982.

The board of directors also named Renée James to be president of Intel. She has served as chairman of Intel's software subsidiaries -- Havok, McAfee and Wind River -- and also currently serves on the board of directors of Vodafone Group and VMware. Previously, she was chief of staff for former Intel CEO Andy Grove.

http://www.intel.com

Mexico Undertakes Telecom Reform

Mexico will undertake a structural reform of its telecom sector after its Congress voted almost overwhelming to create a new regulatory autonomous body with the power to revoke licenses of monopolies.  


Carlos Slim's America Movil holds an estimated 80% of the wireline sector and 70% of the wireless sector.


Procera Lands Multi-Million Dollar Follow-On Order in Europe


Procera Networks confirmed a a multi-million dollar follow-on order from a Tier 1 European network operator for multiple PacketLogic PL20000 systems.  The equipment will be used to expand the existing deployment and provide more capacity and functionality for the operator.

The PL20000 platform supports up to 320Gbps and up to 5 Tbps per cluster of Intelligent Policy Enforcement (IPE) providing scalability for up to ten million subscribers and 120 million active flows in a single chassis. The platform enables network operators to grow their IPE deployments in a modular fashion, simply by adding modules to the existing system, without requiring additional overhead from cluster deployment, which add network complexity and operational challenges.

"Network operators in EMEA continue to adopt the PL20000 as the platform of choice for large broadband deployments," said Paul Gracie, senior vice president Global Sales and Services at Procera. "Network operators are purchasing solutions that can handle their traffic growth for the next three to five years, and we believe Procera delivers the most scalable Intelligence Policy Enforcement solutions available on the market."

http://www.proceranetworks.com

FeedHenry Raises $9 Million for HTML5


FeedHenry, a start-up based in Ireland with offices in Boston, raised US$9 million for its cloud- based mobile enterprise application solutions.

FeedHenry's mobile application development platform enables development of native, hybrid and HTML5 apps that securely connect to multiple backend systems and supports deployment of server-side code to private, public or hybrid cloud environments.  The company said its solution offers IT departments the ability to create, control, measure, adapt and future-proof their mobile business strategies.

The new funding round was led by Intel Capital and includes a seven figure investment from existing investor Kernel Capital. Other existing investors VMware Inc., Enterprise Ireland and private investors also participated and were joined by new investment from ACT Venture Capital.

http://www.feedhenry.com


Wednesday, May 1, 2013

Brocade Leverages Virtualization for "On-Demand Data Center" Strategy


Brocade outlined an "On-Demand Data Center" Strategy for evolving networks toward a highly virtualized, open and flexible infrastructure.

Brocade's strategy will leverage its VCS Fabric technology as its foundation.  The goal is to enable data center customers to provision compute, network, storage and services faster and easier than ever before as a step on the path toward mass customer adoption of Software-Defined Networking (SDN).

This week Brocade announced a series of networking hardware and software products including the Brocade Vyatta vRouter, the Brocade Virtual ADX Application Delivery Switch, the Brocade MLXe 4×40 GbE Core Router module, Brocade the NetIron CES/CER Carrier Ethernet Switch/Router modules and a Brocade NetIron OS update.

Building on its acquisition of Vyatta last year, the Brocade Vyatta 5400 vRouter family is a software networking solution for highly virtualized data centers. The lastest software release (6.6) adds support for Multicast routing and Dynamic Multipoint VPN (DMVPN).  The platform- and hypervisor-agnostic Brocade Vyatta vRouter is already deployed in environments ranging from virtual private data centers to public clouds, such as Amazon Web Services (AWS), and supports all major hypervisors, including VMware, Microsoft, Citrix and Red Hat.

The Brocade Virtual ADX is a virtual application delivery platform that increases the speed of application resource deployment and differentiated services for dynamic cloud environments. It enables rapid application delivery service provisioning via the SOAP/XML API, enabling integration with third-party or homegrown orchestration and automation tools.  Brocade said this is especially useful to validate, test and replicate production or QA environments on demand.  Brocade also enhanced its cloud provisioning capability with an update to Brocade Application Resource Broker and continued work on the OpenStack plugin for load balancing as a service.

"Strengthening the Brocade software networking portfolio, the Brocade Virtual ADX combined with the Brocade Vyatta vRouter and Brocade Application Resource Broker delivers an end-to-end software networking solution that increases data center agility and reduces network complexity," said Ken Cheng, vice president of the Routing, Application Delivery and Software Networking Group at Brocade. "Brocade's ability to unite the physical and virtual networking elements provides our customers with heightened agility not only in their deployment options, but also when it comes to implementing emerging technologies that simplify business processes."

The new four-port 40 GbE Brocade MLXe module for the flagship Brocade MLXe Core Router integrates with the VCS Fabric technology for an end-to-end multitenant 40 GbE solution in the data center. For smaller data centers that are integrated into Carrier Ethernet networks, Brocade has introduced the new versions of the compact Brocade NetIron CER routers, featuring up to four ports of 10 GbE.

The NetIron software updates deliver new routing and SDN capabilities, including support for OpenFlow Hybrid Port Mode technology. This enables customers to optimize specific data flows using OpenFlow without disrupting the existing production traffic. Additionally, new software features support multitenant data center environments to improve cloud service delivery and enforce tighter service level agreements.

http://www.brocade.com

Arista Scales its Flagship Switch


Arista Networks announced significant enhancements enabling its flagship Arista 7500 modular switching platform to scale to support over 100,000 servers and millions of virtual machines.  The Arista 7500E offers 1,152 10GbE, 288 40GbE, or 96 100GbE wire-speed ports.

Key improvements of the Arista 7500E compared to the first generation Arista 7500:

  • Three times the fabric bandwidth at 30 Terabits per second
  • Three times the packet buffer at 144 Gigabyte per switch
  • Three times the control plane performance
  • Triple the power efficiency at less than 4 watts per 10GbE port
  • The industry’s first triple-speed 10/40/100GbE line card. It features integrated MXP (multi-speed-port) optics that can be software configured on a per port basis delivering constant price-per-bandwidth at every port speed. 
  • Much larger L2 and L3 Table Sizes
  • Wirespeed VXLAN capability on every port

Entry level US list prices start at $99,995 for the switch and $10,000 per 100GbE port, $2,200 per 40GbE and under $600 per 10GbE port.

In a leaf-spine data center architecture, using the Arista 7500E as the spine and Arista 7150/7050 as the leaf, Arista said the network  can support more than 100,000 servers that deliver consistent performance for dynamically scaling workloads in public or private clouds, including Hadoop, Big Data, storage, Web 2.0, VM farms, and network virtualization.
SDN capabilities include fuctioning as wirespeed VXLAN gateways that enable multi-tenant network virtualization.  Arista also supports Rapid Automated Indication of Link-Loss (RAIL) for accelerated convergence in Big Data analytics and Hadoop applications.

“The 7500E Series is a major engineering achievement, offering the industry’s highest throughput and three times the capability of the original Arista 7500 in every dimension - performance, density and power without a chassis upgrade,” said Andreas Bechtolsheim, Arista’s Chairman and Chief Development Officer. “It enables customers to build the world’s largest switching infrastructures that handle the most demanding workloads with ease.”

http://www.aristanetworks.com

T-Mobile USA + MetroPCS: 43 Million Subscribers and Rising

Deutsche Telekom and T-Mobile USA completed the acquisition of MetroPCS Communications.  The combined company, T-Mobile US, Inc., began trading on the New York Stock Exchange today under the ticker "TMUS."

Some key statistics on the No. 4 carrier in the U.S. market:

  • TMUS is based in Bellevue, Washington and maintains a significant presence in Richardson, Texas.
  • The company is headed by John Legere, President & CEO.  Former MetroPCS Vice Chairman and Chief Financial Officer, J. Braxton Carter, serves as the new CFO.
  • 2012 combined entity results would have reflected $24.8 billion of revenue, $6.4 billion of adjusted EBITDA1, $3.7 billion of capital expenditures (excluding spectrum purchases)2, and $2.7 billion of free cash flow.
  • Approximately 43 million subscribers as of March 31, 2013, two strong brands, and 70,000 customer touch points.
  • The combined company will operate T-Mobile and MetroPCS as separate brands, led by Jim Alling and Thomas Keys, respectively, migrating to a common network infrastructure and with common support functions.
  • The company will focus on simple, affordable rate plans for unlimited talk, text and Web - with no annual service contracts.
  • The combined company's total PoP coverage is 301 million, of which 283 million are covered by owned network.  228 million are currently served with 4G and 200 million are expected to be covered with 4G LTE by the end of 2013.
  • An enhanced spectrum position -- combining the two companies' spectrum provides a path to at least 20+20 MHz of 4G LTE in approximately 90% of the top 25 metro areas in 2014.
  • Target five-year (2012 - 2017) compounded annual growth rates in the range of 3% - 5% for revenues, 7% - 10% for EBITDA and 15% - 20% for free cash flow.
  • Projected cost synergies of $6 - $7 billion (net present value), with additional potential upside from the focused geographic expansion of the MetroPCS brand. 

http://www.t-mobile.com/
http://www.metropcs.com/metro/

On October 3, 2012, MetroPCS agreed to merge with T-Mobile USA to create a much strengthened No.4 mobile operator in the U.S. market with deeper network coverage and the need for an accelerated path to one common LTE network. 

Despite operating incompatible legacy networks (CDMA and GSM), the companies said rapid handset turnover (60% - 65% per year) will make for a relatively quick migration of MetroPCS customers to LTE.   MetroPCS customers will also benefit from T-Mobile's much more extensive network.

At the time, the companies said the basis for the merger will be to re-farm MetroPCS spectrum to create capacity services.  Specifically, the spectrum migration plan for the merged company will be:


  • GSM will become the merged company's “universal” technology for roaming, M2M and legacy device
  • MetroPCS PCS spectrum will be migrated to HSPA+
  • T-Mobile AWS will be repurposed from HSPA+ to LTE over time
  • Available MetroPCS AWS spectrum will be migrated to LTE
  • AWS will become NewCo's primary LTE band across America.



CenturyLink Plans a 1 Gbps FTTP Rollout in Omaha


CenturyLink plans to rollout out fiber-to-the-premises (FTTP) in west Omaha, Nebraksa to deliver downlink Internet speeds of up to 1 Gbps.

CenturyLink begins rolling out its 1 Gbps service next week and expects to have its new fiber network available to all 48,000 customers by early October 2013. The company will evaluate its Omaha 1 Gbps offer before determining further deployments.

"CenturyLink is pleased to offer its Omaha customers ultra-fast broadband speeds up to 1 Gbps to help keep pace with growing broadband demands," said Karen Puckett, CenturyLink chief operating officer. "This demonstrates our commitment to deliver communications solutions that provide our customers with the technology they need to enhance their quality of life, now and into the future."

http://www.centurylink.com

Spirent Adds High Density 10/40/100G Modules & Testing Chassis

Spirent Communications introduced new high density test modules along with a high performance chassis that enable doubling of port densities while lowering power consumption and total cost of ownership.

The product rollout includes:


  • Spirent dX2  -- 8-port 40GbE/32-port 10GbE dual-speed test module in a single slot configuration packing up to 96 ports of 40GbE onto a single chassis. 

  • Spirent fX2  -- 40/10GbE dual-speed test modules that combine Spirent’s layer 2-7 traffic generation and analysis with scalable network emulation. The fX2 module supports up to five 40GbE and 20 10GbE ports per slot, making it ideal for functional, conformance and performance testing of service provider, data center, SDN, or cloud infrastructure environments.

  • Spirent fX and Spirent mX 2-port single slot 100GbE test modules now support CFP2 optical transceivers. Targeting the testing of high density service provider core routers and high-speed Ethernet cloud infrastructure, the fX 100GbE module validates data plane QoS performance over realistic routing, and cloud infrastructure topologies. Sprirent said its mX 100GbE module features Cloud Core, its patent-pending technology designed to add elastic computing to the Spirent Layer 2-7 performance software platform.  

  • Spirent SPT-N11U chassis  -- supports Sprirent new and existing high-speed test modules. Capabilities include double the levels of port density, Intelligent Power Control that lowers the power consumption of high scale test beds by up to 60 percent and four fold improvement in boot time. With a 400 GbE ready architecture, this chassis is the backbone of Spirent’s product portfolio.

http://www.spirent.com/go/Ethernet_Testing


Infonetics: Shipments of 100G Optical Transceivers Take Off


The global optical transceiver market, including 10G, 40G, and 100G transceivers, grew 10% in 2012 from 2011, to $1.63 billion, according to a new report from Infonetics.

Some highlights:

  • Shipments of 40G QSFP long- and short-reach modules are forecast by Infonetics to triple in 2013
  • Tunable XFP shipments more than doubled in 2012, though at the expense of falling prices
  • Despite surging in Japan, the overall market for 40G coherent modules is declining as 100G coherent deployments accelerate in China and other regions
  • Tunable XFPs are the big growth opportunity: Infonetics expects unit shipments to grow at a 36% CAGR from 2012 to 2017, driven by the continued strength of the 10G metro market.

“100G optical transceivers arrived in force in 2012, with virtually every vendor fielding a solution. Though the market is nascent and the growth rate will slow, coherent 100G shipments are on track to more than double in 2013 and again in 2014,” expects Andrew Schmitt, principal analyst for optical at Infonetics Research. “2012 likely was the peak year for 40G WDM, but QSFP-based enterprise applications are ramping nicely.”

http://www.infonetics.com

MassBroadband 123 Goes with Ciena for 40G

The Massachusetts Broadband Institute (MBI) is deploying Ciena’s 6500 Packet-Optical Platform, equipped with WaveLogic Coherent Optical Processors, to provide  40G connectivity across 120 communities in western and central Massachusetts, as part of a planned state-wide optical network.

The MassBroadband 123 network, which is funded by a combination of federal and state investment, will provide direct connections to schools, hospitals, libraries and public safety facilities that currently lack reliable, affordable Internet services.
 
Funding includes a $45.4 million grant from the American Recovery and Reinvestment Act’s Broadband Technology Opportunities Program (BTOP) and $26.2 million from Mass. statewide resources.


Ciena noted that OpenCape, a 350-mile fiber optic network across Southeastern Massachusetts, is also using its coherent optical transport and packet networking solutions. 


President Obama Nominates Wheeler for FCC Chair

In a press conference in Washington, President Obama nominated Tom Wheeler to be the next chairman of the FCC.

Tom Wheeler "was one of the leaders of a company that helped create thousands of good, high-tech jobs.  He’s in charge of the group that advises the FCC on the latest technology issues. He’s helped give American consumers more choices and better products," said President Obama.

Some other background notes on Wheeler:



  • Currently Managing Director of Core Capital Partners, a venture capital firm headquartered in Washington, D.C. with approximately $350 million under management. Portfolio investments of Core Capital Partners include Sourcefire (NASDAQ: FIRE), Inlet Technologies (acquired by Cisco), SwapDrive (acquired by Symantec), IXI Corporation (acquired by Equifax), SilverStorm (acquired by QLogic), Roundbox, Twisted Pair Solutions, BridgeWave Communications, UpdateLogic, Infinite Power Solutions, GENBAND, PureWave, Trust Digital and others.
  •  Served as President of the National Cable Television Association (NCTA) from 1979 to 1984
  •  Served as CEO of the Cellular Telecommunications & Internet Association (CTIA) until 2004
  • Campaigned for Obama for six weeks in Iowa during the 2008 race.
  • Serves on the boards of Earthlink (NASDAQ: ELNK) and Transaction Network Services (NYSE: TNS).

Brocade Warns of Softness in the SAN Business in Q2

Brocade expects to report revenue in the range of $536 million to $541 million for the fiscal quarter ended 27-April-2013, compared to previous guidance of $555 million to $575 million.  Diluted earnings per share (EPS) are now expected to be in the range of $0.15 to $0.16 on a non-GAAP basis, compared to previous guidance in the $0.14 to $0.16 range.

Brocade anticipates that it will report Q2 2013 Storage Area Networking (SAN) business revenue, including product and services, between $373 million to $376 million, which is down approximately 6% to 7% year-over-year and down approximately 10% to 11% quarter-over-quarter. SAN product revenue is typically down 5% to 8% sequentially in the Company's second fiscal quarter, but the lower-than-expected SAN revenue was due to storage demand softness in the overall market which impacted the Company's revenue from some of its OEM partners.

Brocade anticipates that it will report Q2 2013 IP Networking business revenue, including product and services, between $163 million to $165 million, which is an increase of approximately 14% to 15% year-over-year and down approximately 4% to 5% quarter-over-quarter. The year-over-year revenue growth was driven in part by the updated Brocade campus LAN portfolio, higher VDX and Ethernet fabric sales, as well as improvements in sales execution.

"In Q2, we saw lower-than-expected revenue in SAN due to softness in the overall storage market. However, customers continued to increase their purchases of our Gen 5 Fibre Channel SAN portfolio and we made good progress on our IP Networking growth initiatives including solid growth in Ethernet fabrics during the quarter," said Lloyd Carney, CEO of Brocade. "We believe that by leading the Fibre Channel industry with innovative technology and solutions that are relevant to the problems that customers face today, Brocade continues to be well-positioned for long-term success in the data center. We will provide more details on our second quarter results at our earnings call on May 16."

http://www.brocade.com


JSDU Reports Quarterly Sales of $405 Million, Cites Delayed Carrier Spending


JDSU reported GAAP net revenue  $405.3 million for its fiscal quarter ending 30-March-2013, with net loss of $(28.0) million, or $(0.12) per share.  Prior quarter net revenue was $429.4 million, with net income of $4.1 million, or $0.02 per share. Net revenue for the same period a year ago was $403.3 million, with net loss of $(17.4) million, or $(0.08) per share.

“The March quarter experienced delayed carrier capex budget releases resulting in lower revenue than expected in our Communications Test and Measurement and Optical Communications businesses,” said Tom Waechter, President and CEO of JDSU. “Despite the revenue challenges, the JDSU team delivered solid results in most areas of the business. Our innovation engine and product portfolio align well with our customers’ strategic priorities, enabled by healthy cash generation and our strong balance sheet.”

http://www.jdsu.com

Tuesday, April 30, 2013

Telefónica Opens Massive Alcalá Data Center - Phase 1


Telefónica inaugurated the first phase of its massive Alcalá Data Centre project outside of Madrid, which aims to be one of the largest Tier IV data centers in Europe and the world.

The first phase, which is now operational, is a new building measuring 24,700 m2, with seven IT rooms covering an area of 682 m2 each. The complete project, which will progress gradually, will cover a total area of 65,700 m2 (over 700,000 square feet) and include a further 16 IT rooms, on a 78,400 m2 plot of land (the size of 8 football pitches).

Telefónica, which has invested more than 120 million euros in the project so far, said the new facility is key to transforming the company into one of the leading companies in the new digital world.  The data center will be home for the whole range of ICT services, from housing, infrastructures and cloud computing to full outsourcing of customer applications. It will also operate as Telefónica’s cloud services base for Europe and will house platforms for customers in Spain, the United Kingdom, Germany and the Czech Republic.

The Alcalá Data Centre uses a modular architecture with redundant energy supplies and communications for each hall. Telefónica expects an annual reliability of 99.995%.   Each module will be independent, allowing new rooms to be activated without affecting the operation of the rest. Similarly, the 1,200 kW of IT power for each room can be multiplied up to fourfold without impacting the housed systems.  A redundant fiber optic ring connects to the company's Julián Camarillo Data Centre (Madrid), providing mutual back-up in case of faults.

The design has Tier IV certification from the Uptime Institute, which guarantees the highest level of fault tolerance.

The facility was built by Ferrovial and Master Ingeniería, with technological advice provided by Digital Realty.

http://www.telefonica.com