NTT, NEC, Furukawa and Mitsubishi Test GMPLS

NTT, NEC, Furukawa Electric, and Mitsubishi Electric have successfully tested interworking between an MPLS network and a GMPLS photonic network. The trial verified cooperation between GMPLS routing and signaling technologies and demonstrated that a GMPLS communication path could be set up based on routing information from the MPLS network


The work was conducted by the jointly operated Photonic Internet Lab. The GMPLS domain consists of a photonic MPLS router (IP/wavelength) from NTT, a digital cross connect (TDM/wavelength) from NEC, a GMPLS supported MPLS router (IP/TDM/wavelength) from Furukawa Electric, and optical cross connect (wavelength/fiber) from Mitsubishi Electric. All the equipment runs a GMPLS-compliant routing protocol (GMPLS OSPF-TE). Each active component advertises the function and the layer that it handles. This allows all GMPLS equipment to recognize the layers handled by other equipment.


The interworking experiment will be demonstrated at this week's MPLS2003 exhibition in Washington, D.C.
http://www.ntt.co.jp/news/news03e/0310/031024.htmhttp://www.pilab.org

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Government Report Finds Cable Rates Still Rising, Competition is a Mitigating Factor

Cable TV rates across the U.S. are rising faster than the general rate of inflation, although rates are lower in areas where there exists wireline cable competition, according to a newly issued, 94-page report from the federal government's General Accounting Office (GAO). Major findings of the report include the following:

• during the past 5 years, cable TV rates have increased approximately 40%, well in excess of the approximate 12% increase in the general rated of inflation over this period.



• the primary reason for cable rate increases are that programming costs by cable operators have risen on average by as much as 34% over the past three years, and cable operators have spent billions of dollars upgrading their networks and improving customer service. Costs associated with sport programming over cable networks has risen on average by 59% over the past three years.



• in areas where consumers can local broadcast stations from both of the top DBS providers, the DBS penetration rate is approximately 40% higher than areas where local content is not available via DBS.



• the report did not find that ownership affiliations between cable networks (such as CNN or ESPN) and broadcasters (such as NBC or CBS) or between cable networks and cable operators (such as Time Warner or Cablevision) are associated with the level of license fees.

The GAO report also criticized the reliability of data used in the FCC's annual report on the cable industry. The GAO randomly sampled 100 out of 750 cable franchises, concluding that the FCC's cable report may not provide reliable information on recent cable rate increases and the effect of competition. For instance, 84 out of the 100 cable companies it surveyed did not provide a complete account of their cost changes in the past year. The GAO is recommending that the FCC take steps to improve the quality of its data collection.


Although reregulation of cable rates stands as a possible option for Congress to consider, the GAO report recommends taking steps to promote competition and allowing the normal workings of the marketplace to reduce rates. Specific options include reviewing whether modifications to the program access rules would be beneficial, promoting wireless competition, and reviewing whether changes to the retransmission consent process should be considered.
http://www.gao.gov

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Embratel No Longer Expects to Acquire AT&T Latin America

Although it actively bid to acquire AT&T Latin America in a Chapter 11 bankruptcy auction last week, Embratel no longer expects to acquire the company. Embratel said it actively participated in the auction up to the point where it thought the acquisition price was consistent and accretive to its business. Embratel's final bid will continue to be valid until a final outcome of the process is determined by the U.S. Bankruptcy court in Miami, Florida. Embratel also said it plans to continue to evaluate organic and M&A opportunities to enhance its value.
http://www.embratel.net.br

• In September 2003, Embratel signed a purchase agreement with AT&T Latin America to acquire its operating subsidiaries in 5 countries (Argentina, Brasil, Chile, Colombia and Peru). A U.S. bankruptcy court later opened the sale process to competitive bids.



• In April 2003, AT&T Latin America filed for Chapter 11 bankruptcy protection.



• As of September 30, 2002, ATTL's total debt amounted to $849.1 million versus $662.1 million as of December 31, 2001.

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T-Mobile USA Focuses Construction Program on Pico-Basestations

T-Mobile USA will shift its network construction focus from building out new markets to enhancing its quality in areas of existing coverage. The plan includes the deployment of "pico-basestations" to improve coverage inside buildings. The new technology -- which T-Mobile USA describes as the world's smallest basestation, has been developed by ip.access based in Cambridge, England, a subsidiary of TTP Communications plc. It uses a building's existing Ethernet infrastructure to enable the small base stations to deliver service in a "pico-point" to where the service is actually needed. Deployment will begin this year.


T-Mobile USA said it is also working to improve its network by adding 1,000 new macro-sites in the remaining months of this year; deploying new AMR "vocoder" equipment in Q4 to improve call quality across the national network; conducting a massive network optimization program in major markets to enhance calling experiences; and roaming partnerships to extend coverage to rural towns and highway corridors.
http://www.t-mobile.com

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Cox Takes Stand Against the Cost of Sports Programming

Cox Communications launched a website discussing the rapid rise in the cost of cable sports channels . Cox contends that sports networks, like ESPN and Fox Sports are dramatically raising wholesale prices to Cox -- as much as 35%, which drives up the retail cable price it charges to consumers. Cox said that if the networks refuse to moderate their price increases, it would seek the right to place these channels on an optional service tier, so those consumers who don't want to pay for these expensive channels won't have to.
http://www.makethemplayfair.com
http://www.cox.com

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Yangtze Telecom Supplies SMS to China Unicom

Yangtze Telecom announced an agreement to provide its SMS (Short Messaging Service) services to China Unicom's 80 million mobile customers across China. Yangtze Telecom is currently completing systems testing with China Unicom. Commercial SMS services, initially on a trial basis, will be offered to China Unicom's customers commencing November 2003.
http://www.yangtzetelecom.com

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Broadband Phone Companies Rebuff California State Regulators

Six broadband voice providers did not comply with an October 22 deadline to register as telecommunications providers with the California Public Utilities Commission, according to the San Jose Mercury News. The companies instead submitted letters stating why they oppose such classification. The state commission is not expected to take immediate actions against the firms.
http://www.bayarea.com/mld/mercurynews/business/7092369.htm

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Extreme Networks Reports Return to Profitability

Extreme Networks reported $87.4 million in quarterly revenue compared to $87.3 million in the previous period. Operating income was $1.2 million and earnings per share was $0.02 compared to an operating loss of $14.0 million and a loss per share of $1.44 in the previous quarter..
http://www.extremenetworks.com

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Washington Post: Federal Ban Doesn't Hurt WorldCom Much

Despite being barred by the U.S. General Services Administration (GSA) from receiving new U.S. federal government contracts, U.S. agencies have granted MCI WorldCom more than $100 million in government work in the past three months, according to The Washington Post. On 31-Jul-03, the GSA, which serves as the central procurement agency for the federal government, stated that "MCI WorldCom lacks the necessary internal controls and business ethics" to be eligible to compete for new government contracts." Nevertheless, the new work was granted through a waiver-process that extends existing contracts. The article cites officials who believe such special waivers are justified, as well as others who contend that the special treatment is unfair.
http://www.washingtonpost.com/wp-dyn/articles/A8969-2003Oct23.html

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