Sunday, May 10, 2015

DISA Approves 23 Commercial Cloud Services

The Defense Information Systems Agency has approved 23 cloud services to host Department of Defense (DoD) mission data up to Impact Level 2 in a cloud environment.

DoD defines impact levels based on the sensitivity and risk associated with the data, which was used to establish the minimum protection and controls required. There are four impact levels: 2, 4, 5 and 6, with mandated protections increasing with each successive level. Impact Level 6 is for data classified as Secret.

Impact Level 2 is for Non-Controlled Unclassified Information which includes all data cleared for public release, as well as some DoD private unclassified information not designated as CUI or critical mission data, but the information requires some minimal level of access control.

Cloud service offerings that were granted DoD PAs:

  • AINS eCase. Service Model: Platform as a Service (PaaS) and Software as a Service (SaaS). FedRAMP Agency ATO by Department of Housing and Urban Development (HUD)
  • Akamai Content Delivery Services.  Service Model: Infrastructure as a Service (IaaS). FedRAMP JAB PA
  • Amazon Redshift. Service Model: Infrastructure as a Service (IaaS). FedRAMP Agency ATO by Department of Health and Human Services
  • AT&T Storage as a Service (STaaS).  Service Model: Infrastructure as a Service (IaaS) . FedRAMP JAB PA
  • Autonomic Resources Cloud Platform (ARC-P). Service Model: Infrastructure as a Service (IaaS) . FedRAMP JAB PA
  • Clear Government Solutions FedGRID Government Community Cloud. Service Model: Infrastructure as a Service (IaaS) . FedRAMP JAB PA
  • Concurrent Technologies Corporation Unclassified Remote Hosted Desktops (URHD). Service Model: Software as a Service (SaaS) . FedRAMP JAB PA
  • Economic Systems Federal Human Resources Navigator (FHR Navigator).  Service Model: Software as a Service (SaaS) . FedRAMP JAB PA
  • Edge Hosting CloudPlus – Managed Cloud for Secure Windows and Linux Application Hosting. Service Model: Platform as a Services (PaaS) and Infrastructure as a Service (IaaS). FedRAMP Agency ATO by Department of Labor
  • IBM SmartCloud for Government. Service Model: Infrastructure as a Service (IaaS) . FedRAMP JAB PA
  • Lockheed Martin SolaS-I Government Community Cloud. Service Model: Infrastructure as a Service (IaaS) . FedRAMP JAB PA
  • MicroPact Product Suite. Service Model: Platform as a Service (PaaS). FedRAMP Agency ATO by Department of the Interior
  • Microsoft Office 365 Multi-Tenant & Supporting Services Including Azure Active Directory. Service Model: Software as a Service (SaaS). FedRAMP Agency ATO by Department of Health and Human Services
  • Microsoft Windows Azure Public Cloud Solution. Service Model: Infrastructure as a Service (IaaS) . FedRAMP JAB PA
  • OMB MAX General Support Services. Service Model: Infrastructure as a Service (IaaS). FedRAMP Agency ATO by Office of Management and Budget (OMB)
  • OMB Shared Services. Service Model: Platform as a Service (PaaS) and Software as a Service (SaaS). FedRAMP Agency ATO by Office of Management and Budget (OMB)
  • Oracle Federal Managed Cloud Services. Service Model: Platform as a Service (PaaS) . FedRAMP JAB PA
  • Oracle Service Cloud. Service Model: SaaS. FedRAMP JAB PA
  • Salesforce Government Cloud. Service Model: Platform as a Service and Software as a Service (SaaS). FedRAMP Agency ATO by Department of Health and Human Services
  • SecureKey ExchangeT for Connect.Gov. Service Model: Software as a Service (SaaS) . FedRAMP JAB PA
  • US Treasury Community Cloud. Service Model: PaaS, SaaS. FedRAMP Agency ATO by Department of the Treasury
  • USDA National Information Technology Center. Service Model: Infrastructure as a Service (IaaS).  FedRAMP Agency ATO by United States Department of Agriculture
  • Verizon Enterprise Cloud Federal Edition. Service Model: Infrastructure as a Service. FedRAMP Agency ATO by Department of Health and Human Services

What's Next for NFV? One Minute Responses from Layer123's NFV World Congress

Filmed at Layer 123's NFV World Congress in San Jose, California

Intel's Renu Navale

Ericsson's Anders Olin

Nokia's Jane Rygaard
Cyan's Steve West

F5's Peter Margaris

Tech Mahindra's Manish Singh

Metaswitch's Martin Taylor

Juniper's Wayne Cheung

Napatech's Dan Joe Barry

6Winds's Eric Carmès

Facebook Achieves Power Efficiency with Cold Storage

Facebook is now operating modified Open Rack designs in its Cold Storage data center facility in Prineville, Oregon, which preserves the billions of photos shared by its users.

The modified Open Rack architecture packs 2 PB storage (using 4 TB drives).  Facebook has achieved one-quarter the power usage of conventional storage servers, according to the company's engineering blog. Because this facility is used for cold storage rather than live streaming, Facebook was able to remove all redundant electrical systems, including all uninterruptible power supplies (DCUPS) and power generators.

In  addition, rather than storing multiple copies of the data in different hardware failure domains, Facebook is now implementing a Reed Solomon Redundancy technique to store fewer than two copies of the same data but still protect against loss should a hardware failure occur.  The technique involves cutting the data up into small pieces and using Reed-Solomon error correction codes to generate additional sets of blocks for file reconstruction.

Facebook's blog posting notes that its two cold storage data facilities are now protecting hundreds of petabytes of data.

Linksys Releases 802.11ac Router with MU-MIMO

Linksys introduced its Max-Stream AC2600 MU-MIMO Gigabit Router (EA8500) -- the first MU-MIMO enabled 802.11ac router.  The new Linksys router leverages the 802.11ac Wave 2 MU-MIMO (Multi-User, Multiple-Input, Multiple Output) technology, which helps ensure uninterrupted Wi-Fi connectivity to all the devices in the home.  The company says the experience is as if multiple devices have their own dedicated router.

The Linksys EA8500 router incorporates Qualcomm MU | EFX MU-MIMO technology+, which helps to provide up to 3x faster speeds compared to current Wi-Fi. The combined 2.53 Gbps Wi-Fi speeds (up to 1733 Mbps for 5 GHz and 800 Mbps for 2.4 GHz‡) help minimize buffering and enable faster downloads. It features a 1.4 GHz dual-core CPU and four Gigabit ports. Users can attach devices to the USB 3.0 port and a combo USB 2.0/eSATA port for uninterrupted personal cloud content streaming or to share data across their network. The four removable external antennas are adjustable for maximum coverage, while beamforming technology concentrates the Wi-Fi signal to each device for stronger, better performance and increased mobile speed and range.

“MU-MIMO technology revolutionizes the wireless experience in the home,” said Mike Chen, vice president of product management, Linksys. “The average home has more than 8 devices connecting to the Internet, and they’re not used for just sending emails and tweets. We’re streaming movies and TV shows in high definition, we’re video chatting with our friends and family, and we’re playing video games against competitors around the globe, all on different devices and often at the same time. To have dedicated bandwidth for their devices simultaneously will enhance the users’ experience so they won’t see that buffering icon when streaming a movie or listening to choppy music or worse, playing games with lag. We are so confident in the experience that MU-MIMO provides that we will be expanding our product line in the future to include more MU-MIMO routers.”

Ericsson Sues Apple in Germany, UK, the Netherlands

Ericsson has filed new lawsuits against Apple in Germany, the United Kingdom and the Netherlands. The suits refer to the 2G and 4G/LTE standards, as well as other technology that is not standardized, but is related, such as the design of semiconductor components and non-cellular wireless communications.

Ericsson says it has attempted to reach a licensing agreement with Apple for more than two years to no avail.

Nokia Expands Partnership with Check Point

Nokia Networks is expanding its partnership with Check Point Software Technologies to offer certification and integration with the Nokia Networks telco cloud security solution.

Nokia Networks offers a 3-part solution:

  • Nokia Cloud Security Director, launched at Mobile World Congress 2015, enables operators to automatically deploy security policies and functions in cloud and hybrid networks. This greatly reduces effort and cost compared to manual methods, and mitigates the risk of losing revenue from security breaches. Compliant with forthcoming ETSI NFV security standards, Cloud Security Director allows operators to meet local regulations cost-effectively.
  • Cloud perimeter firewalls and management systems from leading vendors can be integrated with the Nokia Networks telco cloud security solution, with the Check Point firewall being the first to be certified. This approach is part of the Nokia Networks partnering strategy for business growth.
  • Nokia cloud wise services support operators from analysis of cloud strategy, to architectural design and implementation of full telco cloud security. The implementation phase provides secure migration alongside a hardening procedure for the hypervisor and overall telco cloud infrastructure.

"As operators migrate to the telco cloud, a new approach is needed to address the corresponding security threats. Our strategy is to provide operators with the industry’s most secure solutions. To achieve that, we combine our mobile network and security portfolio and know-how with the expertise of the leading security vendors.”

Saturday, May 9, 2015

Qualcomm Sharpens Focus on Internet of Everything

Qualcomm Atheros introduced two new intelligent, Wi-Fi connectivity solutions for the Internet of Everything (IoE).

The QCA401x, which is Qualcomm Atheros' most integrated and feature-rich intelligent connectivity solution to date for the IoE, features a fully integrated micro controller unit with up to 800KB of on-chip memory available to programmers and an expanded set of interfaces to directly interconnect with sensors, display and actuators, further reducing system cost, size and complexity. It includes a suite of communication protocols including Wi-Fi, IPv6, HTTP and other cloud enablers, and an advanced security feature designed to maximize security in the smallest IoE devices. The QCA401x is currently being sampled by leading OEMs.

The QCA4531 is a low-cost turnkey solution that brings high-performance connectivity capabilities with a user-programmable Linux/OpenWRT environment benefiting from the extended range based on 2x2 11n. It is designed to serve as a feature-rich IoE node leveraging the Linux framework and as a hub to enable an IoE Ecosystem. As the IoE ecosystem expands, the QCA4531 is ideal for multi-protocol bridging and communication, bringing together multiple wireless medium and bridging between different ecosystems. The QCA4531 can function as an Access Point supporting up to 16 simultaneous devices, and is also power-optimized to enable appliances to meet international standards for energy efficiency. The QCA4531 is currently shipping to leading appliance manufacturers and other IoE-focused customers.

"A big part of Qualcomm Atheros' strategy for the IoE is pairing the right mix of connectivity and computing capabilities from our deep technology portfolios to address the varying needs of the IoE," said Joseph Bousaba, senior director, product management, Qualcomm Atheros, Inc. "Both the QCA401x and QCA4531 align to this strategy and pair well with the range of offerings from our intelligent connectivity portfolio, including the QCA4002 and QCA4004 solutions, which have shipped in over 35 million products since their launch."

NeoPhotonics Sees Boost from 100G

NeoPhotonics, which supplies hybrid photonic integrated optoelectronic modules and subsystems, reported Q1 2015 revenue of $81.4 million, up $13.2 million, or 19.4%, from the first quarter of 2014, and up $2.4 million, or 3.0%, from the prior quarter. Gross margin was 29.6%, up from 20.2% in the first quarter of 2014, and up from 28.7% in the prior quarter. Net income was $0.1 million, up from a loss of $12.6 million in the first quarter of 2014, and down from $1.6 million in the prior quarter.

“We are very pleased with our first quarter results that clearly demonstrate our leadership in 100G product solutions and strong execution toward our goal of delivering sustained profitability,” said Tim Jenks, NeoPhotonics Chairman and CEO. “We’ve delivered a third consecutive quarter of non-GAAP profitability and we’re particularly excited about the strengthening of our market position within the 100G market with our acquisition in January of the tunable laser products of EMCORE, which has enhanced our position as the market share leader for both 100G coherent receivers and 100G narrow line-width tunable lasers,” continued Mr. Jenks.

Thursday, May 7, 2015

Microsoft Builds Azure's Networking Capabilities

Microsoft announced several new Azure networking services and features, including expanded ExpressRoute connectivity to other Microsoft Cloud services like Office 365 and Skype for Business Enterprise Voice.

Some of the new features include:

  • Standard VPN gateway enabling Site-to-Site (S2S) connectivity to a Virtual Network that also has a gateway connected to an ExpressRoute circuit.
  • Virtual Network Enhancements, including user defined routes and IP forwarding, reserved IP-mobility, multiple VIPs per cloud service, and public fully qualified domain names (FQDN) resolution for VM instances in a cloud service.
  • New Network Virtual Appliance partners, including A10, Cisco, F5, Fortinet and NGINX. Appliance types include firewalls, Intrusion Prevention Systems, WAN optimization, and Application Delivery Controllers (ADC/Load Balancing).
  • Azure DNS, a new service to host DNS domains and provides name resolution using Microsoft’s global infrastructure.

Microsoft's Azure Service Fabric is a microservice application platform that allows developers to decompose their work into logical subsystems that are loosely coupled and can be updated independently.

In this video, Mark Russinovich, Chief Technology Office for Microsoft Azure,  talks about how Azure Service Fabric is becoming a key differentiator for the company's cloud initiatives.

Recorded at Open Networking Summit 2015 in Santa Clara, California.

#ONS2015 - Microsoft Azure Puts SDN at Center of its Hyperscale Cloud

To handle its hyperscale growth, Microsoft Azure must integrate the latest compute and storage technologies into a truly software-defined infrastructure, said Mark Russinovich, Chief Technology Officer of Microsoft Azure in a keynote presentation at the Open Networking Summit in Santa Clara, California. The talk covered how Microsoft is building its hyperscale SDN, including its own scalable controllers and hardware-accelerated hosts.  Microsoft...

More on core technologies for enabling hyperscale clouds

See Brad Booth on Hierarchical SDN, the move toward on-board optics, and Flexible Ethernet for data center operations.

Google Launches Bigtable: Same NoSQL Database that powers Google Search, Gmail and Analytics

Google officially launched Cloud Bigtable - a fully managed, high-performance, extremely scalable NoSQL database service that uses the same code and infrastructure that powers Google Search, Gmail and Analytics and nearly all of Google's largest applications.

Google Cloud BigTable is accessible through the industry-standard, open-source Apache HBase API, which makes it natively integrated with much of the existing big data and Hadoop ecosystem.

Google Cloud Bigtable is now available as a beta release in multiple locations worldwide. Google also announced a number of service partners to help enterprises, including SunGard, Pythian, CCRI and Telit Wireless Solutions.

OIF Launches New Integrated Photonics Projects

The Optical Internetworking has started work on technical specifications for high bandwidth optical modulators and receivers for coherent applications.

The utilized coherent ASIC Baud Rate is no longer sufficient information to define the frequency response requirements for coherent electro-optical (EO) components now that the industry has embraced the use of preconditioning. The High Bandwidth Polarization Multiplexed Quadrature Optical Modulator project enables coherent electro-optical modulation of a wider optical spectrum per optical carrier defined in terms of frequency response. The Intradyne Coherent Receiver project proposes an improved RF high frequency response that e
nables coherent electro-optic demodulation of a wider optical spectrum peroptical carrier.

OIF have also approved implementation agreements for 100G applications.
The IA for Integrated Dual Polarization Micro-Intradyne Coherent Receivers targets coherent 100G PM-QPSK applications with nominal symbol rates up to 32 GBaud in a CFP2 form factor.  This IA also defines a low speed electrical interface incorporating an SPI bus for control of the TIAs in the coherent receiver.

The IA for Generation 2.0 100G Long-Haul DWDM Transmission Module-Electromechanical applies to optical line interface applications. The IA reduces the size and power consumption requirements by defining a 4x5 module that can be used for 100G long-haul DWDM transmission applications.

The OIF noted that work is continuing on the FlexEthernet and Common Electrical Interface (CEI) projects begun in 2014.

“Our members are working at full capacity right now,” said Karl Gass, of Qorvo and the OIF Physical and Link Layer Working Group vice chair, Optical. “With as many as 19 documents going to ballot this quarter alone we are completing technical work at an extremely fast pace. These two new electro-optical component projects will fill a gap in the line side component space, providing systems engineers more tools to increase channel capacity beyond 100Gb/s.”

Cisco to Acquire Tropo for Phone/SMS APIs

Cisco agreed to acquire Tropo, a start-up offering real-time communications APIs. Financial terms were not disclosed.

Cisco and Tropo will provide a collaboration platform-as-a-service, which allows customers and developers to create and sell new communications services with minimal development effort. Tropo makes it simple to build phone and SMS applications. The company says its APIs have attracted a network of 200K+ developers.

The Tropo team will join Cisco's Collaboration Technology Group under the leadership of Rowan Trollope, SVP and general manager.

Equinix May Bid for Telecity

Equinix confirmed that it is in preliminary discussions with the Board of TelecityGroup regarding a possible cash and share offer for the company.

Equinix said that in the United Kingdom, the acquisition of TelecityGroup would add capacity in Central London and Docklands that would complement the focus of Equinix’s current operations in Slough. Additionally, the acquisition would add capacity in several of Equinix’s current locations throughout Europe, and extend Equinix’s footprint into new locations with identified cloud and interconnection needs including Dublin, Helsinki, Istanbul, Milan, Stockholm and Warsaw.

Telecity confirmed that it continues to progress the proposed merger agreement with Interxion announced earlier this year.

In February 2015, TelecityGroup plc and Interxion, both leading operators of data centers across Europe, announced plans for a merger. 

Under the deal, Interxion shareholders would receive 2.3386 new TelecityGroup shares per Interxion share. As a result, Interxion shareholders would own approximately 45%, and TelecityGroup shareholders approximately 55%, of the combined group. The primary listing for the combined group would be in London with a New York Stock Exchange listing for TelecityGroup’s existing ADR programme.

TelecityGroup, headquartered in the United Kingdom, operates 39 data centers in key European cities. It has annual turnover of £349 million.

Interxion, which is based in Amsterdam, operates 39 data centres across 11 countries.  It has annual turnover of £274 million.

Wednesday, May 6, 2015

ONOS-based Peering Router Enters Pacific Deployment

An ONOS-based software-defined peering router has been deployed on a trans-Pacific network by a coalition consisting of the Open Networking Operating System (ONOS) Project, the Open Networking Foundation (ONF), Corsa Technology (Corsa), ESnet, AARNet and CSIRO.

The router located at AARNet/CSIRO in Australia exchanges routes with the Vandervecken software-defined networking (SDN) controller stack at ESnet in California and uses high performance data planes comprised of Corsa switches in both locations.

The deployed SDN-based peering router, developed by ONF and the ONOS Project, is a free, open source application built on ONOS and is currently available for download from the ONOS Project website. It enables SDN networks to seamlessly interact with software-defined and traditional (non-SDN) networks by peering with one another to advertise, collect and exchange routes using eBGP. The peering application receives route advertisements from peers, resolves next hops and then programs the OpenFlow™ switch in the SDN data plane through ONOS.

The ONOS-based peering router is deployed across two sites in Sydney, Australia. The Corsa switch is located in an AARNet data center in Haymarket and the ONOS application in a CSIRO research laboratory in Marsfield, approximately 15km away. It controls the high throughput Corsa OpenFlow DP6410 data plane and successfully peers across a trans-Pacific Layer 2 VLAN with a complementary SDN-based router, Vandervecken, at ESnet in Berkeley, Calif. (see figure 2).

The ESnet site also uses a Corsa DP6420 data plane, programmed by the Vandervecken SDN router software developed by Google and based on Routeflow project1 and Quagga on a Ryu controller.

"Having successfully exchanged 15,000 routes in this deployment reflecting true Internet scale and 100,000 routes in lab tests, it was programming the data plane with large forwarding tables that presented the real technical challenge here," said Bill Snow, vice president of Engineering at ON.Lab.

"This operation has been up and running for over a month now, so it is no longer a question of whether SDN control planes can be deployed to support worldwide infrastructure. With ONOS' support for high availability, scale and performance and with Corsa's high performance, programmable data plane, the promise of SDN is turning into reality. An SDN control plane that readily interoperates with existing infrastructure, whether traditional or software-defined is the key to providing a migration path from legacy systems as well as a roadmap to pure SDN infrastructure."

"As the Department of Energy's high-bandwidth network for science, it's exciting to be a partner in this project that is helping to transform networking," said ESnet CTO Inder Monga. "Operational deployment of SDN-IP stacks will enable existing networks to seamlessly integrate with innovative SDN network deployments. Since we are funded by the U.S. government, it's important this software is free and open source so that our investment in the project can be further leveraged by the rest of the networking community."

Cisco Joins Intel Network Builders Ecosystem

Renu Navale discusses the Intel Network Builders program, which aims to accelerate the market for network functions virtualization (NFV) and help carriers to transform their infrastructure.

Over 150 companies now participate in this program. Cisco is the latest to join.

See video:

Cyan Expands Its Blue Orbit SDN and NFV Ecosystem

Cyan has added a number of new partners to Blue Orbit, its ecosystem of partners focused on delivering applications and infrastructure platforms for multi-vendor SDN and NFV deployments.

Blue Orbit’s new members are:

ADI Engineering – an ODM that delivers next-generation solutions for emerging mega-trends including SDN, NFV, and IoT.  ADI’s NFV-enabled network edge and CPE devices, including its RCC-VE and RCC-DFF platforms, are pre-integrated and validated with Cyan’s Blue Planet platform, and are available for trials and full-scale deployments.
Aria Networks – Aria Networks uses artificial intelligence (AI) to deliver capacity planning, optimization and orchestration that enable even the most complex networks to virtualize
Brocade –  Brocade's suite of SDN and NFV solutions include the Brocade Vyatta vRouter, Vistapointe virtual Network Visibility and Analytics, Brocade Vyatta Controller and the newly acquired SteelApp virtual ADC and Connectem Virtual Core for Mobile offering.
GENBAND – offering a differentiated Virtual Network Functions (VNF) portfolio includes fully virtualized, high-performance communications signaling, control and media management solutions including Session Border Controllers, Applications Servers, WebRTC Gateway, Wireless Access Gateways, Intelligent Messaging and Session Routing solutions. An intelligent VNF Management framework and open APIs enable seamless interworking with other NFV and cloud infrastructure components.
Intel – unified ingredients and platform technologies that aim to deliver business value quickly for enterprise IT, help telco service providers reduce expenses to derive incremental revenue, and optimize the cost of scalable service delivery for private/public cloud environments.
VMware – VMware vCloud for NFV is an integrated network functions virtualization platform that enables communication service providers to deploy virtual network functions on vCloud APIs today, and deploy them into production on OpenStack in the future.
Wind River - software for the Internet of Things, with its technology found in nearly 2 billion devices.

Announced Blue Orbit members and the area of completed or planned integration include:
VNFs: Brocade, Certes, Fortinet, GENBAND, Metaswitch Networks, PowerDNS
Physical Network Elements:  Accedian, RAD, Overture, Omnitron Systems, Telco Systems
Virtual Infrastructure: ADI Engineering, Aria Networks, Arista, Boundary, Canonical, Intel, Mellanox, Pica8, Ryu, VMware, Wind River

“The ability to run virtual functions on high performance servers and meet the requirements of production networks is extremely important in making NFV a mainstream technology,” said Joe Cumello, chief marketing officer, Cyan. “We are pleased to welcome these new members to the Blue Orbit Ecosystem. Together, we are working to further validate that SDN and NFV can meet the application, scale, and performance requirements that service providers demand.”

RAD’s joining of Blue Orbit follows the recent completion by Cyan of end-to-end Ethernet services provisioning and "one-click OAM" as well as alarms and topology support for the RAD ETX-2. This integration enables network operators to have visibility and management of RAD platforms through Cyan’s Blue Planet SDN Platform.

Zayo Enables Transatlantic Self-Service Provisioning

Zayo is enabling transatlantic service capabilities on its Tranzact provisioning portal.

Zayo said this new transatlantic capability allows its customers to seamlessly quote to and from locations across Zayo’s entire global network, for services including aggregated IP, E-line and ELAN Ethernet and 1-10G wavelength services. Customers will have the freedom to explore by building type, data center or Cloud provider at over 16,000 on-net locations.

“As we continue to expand our European footprint, it is vital that we are able to deliver bandwidth wherever and whenever customers require it,” said David Howson, president of Zayo international. “A big priority for us is to connect customers across the Atlantic, enabling them access into key locations in the US and Europe. That’s why Tranzact is such a valuable tool – it integrates bandwidth into an ‘online shopping’ experience, making purchasing bandwidth easy to navigate and understand."

Alcatel-Lucent Posts Q1 Financials, Strength in Next Gen

Alcatel-Lucent's Q1 2015 group revenues, excluding Managed Services and at constant perimeter, increased 12% year-on year, with strong growth coming from next-generation products, which are up 25%. At constant exchange rates, group revenues, excluding Managed Services and at constant perimeter, are down 2% while next-generation revenues are up 9%. Gross margin expanded 230 bps year-over-year to 34.6%.

“Our first quarter 2015 results reflect not only strong growth in our next-generation products, but also the diligent efforts we have made to turn Alcatel-Lucent around and build a more resilient organization. Evidence of our progress is shown through the continued improvement in margins and cash flow. Execution of the Shift Plan is and will continue to be our top priority, underlined by our commitment to reach our positive free cash flow target in 2015. These results help pave the way for successful execution of our goals as we prepare for our combination with Nokia,” stated Michel Combes, CEO of Alcatel-Lucent.

Some highlights:

  • Core Networking segment revenues were Euro 1,450 million in Q1 2015, up 7% year-over-year at actual rates and down 3% at constant rates. Adjusted operating income totalled Euro 41 million, or 2.8% of segment revenues in Q1 2015, compared to Euro 96 million or 7.1% of revenues in Q1 2014. This decline was mainly attributable to reinvestments made to promote future growth as well as lower contribution from IP Routing, which was impacted by a temporary softer spending environment in North America and Japan, and variations in product mix.
  • IP Routing revenues were Euro 583 million in Q1 2015, an increase of 6% at actual rates and a decrease of 6% at constant rates when compared to Q1 2014, which was a very strong seasonally-adjusted Q1 compared to the previous Q4 2013.
  • The high-end 7950 XRS IP Core router saw strong year-over-year revenue growth and registered 3 new wins in Q1, including a US cable company, for a total of 39 wins to date.
  • There was significant interest and activity in routing virtualization continued with 8 Virtualized Service Router (VSR) wins to date, including 3 new wins in the quarter, and 55 trials underway.
  • Nuage Networks added 4 new customers in the quarter, bringing the total to 20 customers. Recent wins include CTCC, the Cloud Computing Branch of China Telecom, which selected Nuage’s SDN technology to help deliver secure, scalable, and self-serve public cloud services in China's fast-growing cloud computing market.
  • IP Transport revenues were Euro 492 million in Q1 2015, up 8% at actual rates and 2% at constant rates, compared to the year-ago quarter. Terrestrial optics revenues grew at a mid-single-digit pace year-over-year at constant rates, driven by WDM and with particular strength in the EMEA and CALA regions. The submarine business registered a double-digit year-over-year revenue increase, resuming revenue growth as the pipeline continues to build up.
  • The 1830 Photonic Service Switch (PSS) platform represented 60% of terrestrial optical product revenues in the quarter, up 16 percentage points year-on-year, and was selected by Chuan Wei for Cambodia’s first ultra-broadband 100G fiber-optic data network.
  • In Q1 2015, our 100G shipments represented 47% of total WDM line cards shipments compared to 31% in Q1 2014, also up 16 percentage points year-on-year.
  • Access segment revenues were Euro 1,782 million in Q1 2015, an increase of 13% year-over-year at actual rates and a decrease of 2% at constant rates.
  • Wireless Access revenues were Euro 1,184 million, a year-on-year increase of 19% at actual rates and flat at constant rates, as growth from LTE rollouts in China was offset by lower spending in other regions, particularly North America.
  • Fixed Access revenues were Euro 506 million in Q1 2015, an increase of 10% compared to the year-ago quarter at actual rates and a decrease of 1% at constant rates. Competition for broadband access drove good performance in EMEA, APAC outside China and CALA, compensating for the impact of spending pause in North America.

Sonus Aligns NFV Portfolio with ALU CloudBand

Sonus Networks is bringing its Diameter Signaling Controller Software edition (DSC SWe) and its Network-as-a-Service (NaaS) IQ into the Alcatel-Lucent CloudBand Ecosystem. The solutions will join the currently deployed Sonus Session Border Controller Software edition (SBC SWe) introduced into the program in 2014.

“Sonus offers a full portfolio of virtualized solutions dedicated to bringing intelligence and security to service provider’s real-time communications,” said Tony Scarfo, executive vice president, Product Management and Corporate Development. “Sonus’ participation in the Alcatel-Lucent CloudBand™ Ecosystem will not only bolster our traction in the NFV space, but also accelerate the critical need for NFV across the industry.”

Cubic Telecom Secures EUR 18 Million for M2M Connectivity

Cubic Telecom, a start-up based in Dublin, Ireland, has secured €18 million in venture funding for its global Machine to Machine (M2M) connectivity platform.

Cubic Telecom is focused on enabling seamless global connectivity solutions for enterprise customers across automotive, computer OEM and retail sectors. Cubic’s applications and technologies are embedded at the manufacturing stage, enabling enterprise customers to offer always-on connectivity anywhere in the world. Cubic is actively working with some of the world’s leading Fortune 100 tablet and notebook manufacturers including HP and Lenovo, and Australia’s number one retailer Woolworths. More recently Cubic expanded its business to partner with some of the most innovative M2M and automotive companies in the world.

The funding comes in the form of a co-investment from Audi Electronics Venture GmbH (AEV), a subsidiary of AUDI AG focused on investing in innovative technologies, and Qualcomm Incorporated (QCOM), a world leader in 3G, 4G and next-generation wireless technologies.

Existing investors include Sierra Wireless, ACT Venture Capital, TPS Investment Limited and Enterprise Ireland. This is Qualcomm’s fourth investment in Cubic, highlighting the strength of the partnership between the two organizations.

Barry Napier, CEO, Cubic Telecom said, “We appreciate the investment from Audi and Qualcomm as we continue to expand our market presence. The automotive industry is changing faster than ever, and connectivity in the car is at the heart of it. With this new round of financing, Cubic Telecom, along with our strategic partners, will be at the core of this transformative new phase for the automotive industry.”