Wednesday, September 22, 2004

Cisco to Invest US $32 Million in China R&D

Cisco Systems will invest US$32 million over the next five years to open a research and development center in Shanghai, China. The company expects to hire approximately 100 employees over the next 18 months to focus on research and development. http://www.cisco.com

AMCC Trims Financial Expectations

Applied Micro Circuits Corporation (AMCC) trimmed its financial forecast for the quarter ending September 2004 and now expects quarterly revenue to be in the range of $61 million to $62 million. This range represents a sequential decline of approximately 9% from the previous quarter's revenues of $67.4 million.



"We believe that the revenue decline is due to two primary factors. First, we've experienced lower-than-expected orders from several of our key customers who are adjusting their own inventories. Secondly, we've seen some softness in our Asia revenue primarily due to reduced demand in China's end markets," said Tom Tullie, AMCC's chief operating officer. http://www.amcc.com

Altitude Telecom to Build WiMax Network in France

Altitude Telecom, a private and independent telecommunications operator, selected Alvarion to build a nationwide network across France using licensed 3.5GHz spectrum. Altitude Telecom will deploy Alvarion's BreezeMAX platform, which is based on WiMax Forum profiles. Initially Altitude Telecom's BreezeMAX network will be rolled out in four counties, the first to be Vendee (Vendee department) with plans for additional counties within a year. Financial terms were not disclosed. http://www.altitudetelecom.fr

Matsushita and Comcast Agree to License OCAP Middleware

Matsushita Electric Industrial Co. and Comcast have agreed to license Panasonic's Open Cable Application Platform (OCAP) compliant middleware for the U.S. cable market. This middleware was developed by Panasonic and will be installed in digital cable set top boxes (STBs) to be built for Comcast, and also used in consumer devices that will be available at retail. Financial terms were not disclosed.



The two companies also have an existing agreement for Comcast to purchase Panasonic-designed and -made OCAP-compliant STBs. Panasonic and Comcast are also working on a certification system for OCAP-ready devices and digital TV. Panasonic plans to introduce an OCAP-compliant set-top cable box to the U.S. market in 2005.



Open Cable Application Platform (OCAP) ensures interoperability with digital interactive cable-ready digital TVs and cable STBs. An OCAP-ready digital television application that works with one cable operator in one area can also work with another cable operator in another area. Until now, cable operators have determined their own proprietary delivery systems, requiring different cable set-top boxes to receive and decode signals from their propriety systems. http://www.panasonic.co.jp/

NETGEAR Ships Low-Cost 48 Port Gigabit Smart Switch

NETGEAR launched its first 48 Port Gigabit Smart Switch aimed at small to medium sized businesses. The switch provides 48 10/100/1000 ports in a 1U package, and offers optional fiber connectivity through four hot-swappable SFP GBIC slots. It includes performance monitoring, port configuration, VLANs, port trunking, and Class of Service (CoS) capabilities. The product has a list price of $1750, equating to just over $36 per port. http://www.netgear.com

IDT Provides International LC for Cablevision's VoIP

IDT Telecom signed an agreement to provide international long distance phone service to Cablevision Optimum Voice digital voice-over-cable customers. The new service also includes a remote calling feature that allows customers to make international calls from any location in the U.S., Puerto Rico or U.S. Virgin Islands.



To activate international calling, Optimum Voice customers must visit the web portal and register using either a credit or debit card with a minimum initial payment of $10. http://www.idt.net/
  • In August, Cablevision Systems reported 115,050 cable VoIP customers, up 44,235 from March 2004.


  • In November 2003, Cablevision announced the availability of its digital voice-over-cable telephony across its footprint of nearly 4 million homes in the New York metropolitan area.

Marconi to re-sell Newport Networks' Session Controller

Marconi agreed to resell Newport Networks' carrier-class Session Border Controller (SBC) as part of its next-generation SoftSwitch platform. Newport Networks' 1460 Session Controller is designed for Tier 1 service providers and can handle around 70,000 simultaneous calls, corresponding to around 700,000 subscribers. SBCs can be located at two areas within the Next-Generation Network (NGN): between the user and the SoftSwitch; and between different service providers' networks. http://www.marconi.com/http://www.newport-networks.com/
  • Newport Networks was founded in September 2000 by Terry Matthews, Chairman, and John Everard, CEO.

QUALCOMM Licenses Microsoft's Windows Media Streaming Codec

QUALCOMM has licensed Microsoft Windows Media technology and will integrate the Windows Media Audio and Video codecs into QUALCOMM's Qtv video decoder solution. Handset manufacturers will be able to leverage this capability to offer consumers access to Windows Media content. Support for this Windows streaming capability will be available starting in Q1 2005 beginning with QUALCOMM's MSM6250, MSM6500 and MSM6550 Mobile Station Modem wideband CDMA (WCDMA) and CDMA2000 1x EV-DO chipset solutions.



"The goal of this agreement between Microsoft and QUALCOMM is that high-quality video on mobile phones will soon provide the streaming video experience consumers get with their high-speed wired connections at home," said John Stratton, vice president and chief marketing officer for Verizon Wireless. http://www.qualcomm.comhttp://www.microsoft.com

California Public Utilities Commission Raises UNE Rates by 20%

The California Public Utilities Commission (CPUC) approved a proposal that will increase wholesale rates for SBC's California service territory by 20 percent. The newly adopted rates for the most frequently discussed UNEs are:

  • Average 2-wire Loop: $11.93


  • Average DS-1 Loop: $57.42


  • Average DS-3 Loop: $573.20


  • 2-wire port: $3.35


  • UNE-Platform: $16.53


The Commission said SBC must adjust, or "true-up" the interim rates it charged for its UNEs to the new rates adopted today. In other words, SBC must calculate whether the previous interim rates were higher or lower than these newly adopted rates, and whether it has over or under-collected the appropriate revenues for any UNE it sold at interim rates.



The action also suspends further review of SBC's UNE prices by the California PUC until February 2007.



*** Some Reaction ***



Ken McNeely, President, AT&T California: "Today's action will not help create new jobs or spur investment in the state, but rather, simply signals the end of local phone competition and choice for Californians and higher prices for phone service. As the now uncontested and largest provider of local, long distance, wireless and DSL services in the state, this vote gives SBC the green light to re-monopolize telecommunications and provide less service at higher rates."

Paul Fadelli, Executive Director of Californians for Telecommunications Choice (CTC), said "The CPUC has also doomed all California consumers to a return to the monopoly era where we have no choices, higher rates, and poor service."http://www.cpuc.ca.gov/

France's Completel Selects Nortel for VoIP Migration

Completel, an alternative carrier serving the enterprise market in France, selected Nortel Networks to transition its network to VoIP. The network roll-out will start in Q4 2004 so that new service offers will be available at the beginning of 2005. The network will deliver basic voice, along with value-added IP Centrex-type services (PBX outsourcing), virtual call centers, video conferencing, etc. Financial terms were not disclosed.



Completel is using fiber access for main sites and on DSL access for the other sites on a national scale. http://www.nortelnetworks.comhttp://www.completel.com

Nortel Supplies Equipment for Verizon's EV-DO Expansion

Nortel Networks was one of the CDMA2000 1xEV-DO suppliers contributing to the upcoming launch of Verizon Wireless' BroadbandAccess network in 14 major metropolitan areas and 24 airports in the United States.



Nortel Networks was the primary wireless infrastructure supplier in San Diego for Verizon Wireless' initial commercial deployment of BroadbandAccess in October 2003. In March 2004, the companies signed a two-year agreement under which Verizon Wireless expects to spend US$167 million with Nortel Networks on wireless equipment for BroadbandAccess through 2005. http://www.nortelnetworks.com
  • Verizon Wireless will launch its CDMA2000 1xEV-DO "BroadbandAccess" service in 14 major metropolitan areas beginning next week.


  • In July 2004, Verizon Wireless awarded a contract valued at least $5 billion to Lucent Technologies for supplying a wide variety of network equipment, software and services for Verizon Wireless' national next-generation voice and data network based on CDMA2000 1xEV-DO technology.

Xten Partners with Plantronics for Softphone + Headset

Xten and Plantronics announced a partnership combining Xten's softphones with Plantronics full line of PC headsets. Xten has a FREE SIP softphone dubbed X-Lite, in addition to the fully featured X-PRO commercial softphone. The softphones are RFC3261 (SIP), RTP/RTCP (RFC 1889) and SDP (RFC 3264) compliant. http://www.xten.com

Net2Phone Shuffles Management and Board

Net2Phone announced the reorganization of its Board of Directors along with management changes and the formation of a cable advisory committee. The company has appointed Liore Alroy as its new CEO, with Stephen Greenberg assuming the position of Chairman of the Board, and Howard Jonas becoming Vice Chairman. The Board changes reduced the number of directors from 13 to 9.



Tony Werner, Chief Technology Officer of Liberty Media, will continue to be integrally involved in the company through his leadership of the Net2Phone Cable Advisory Committee. http://www.net2phone.com

AT&T Wins Major Networking Contract From DHL

AT&T was awarded a substantial three-year contract to provide DHL locations around the world with high-speed, secure, online access to key business applications. In the U.S., the network cover 650 locations. The contract renews and expands a long- standing relationship under which DHL has its long-distance telephone, toll- free, private-line, domestic and international data services with AT&T. Financial terms were not disclosed. http://www.att.com

Verizon Promotes DSL + VoIP Bundle

Verizon launched a promotion that combines its new consumer broadband VoIP service with DSL. Customers who subscribe to VoiceWing can get Verizon Online's lowest price for DSL service -- $29.95 a month for 1.5 Mbps downstream connectivity. The "VoiceWing" VoIP service costs $29.95 a month for the first six months and offers unlimited U.S. calling. Verizon is currently offering local VoIP numbers for more than 160 area codes in 35 states and the District of Columbia. http://www.verizon.com
  • Verizon first launched its "VoiceWing" consumer VoIP service in July 2004 with pricing set at $39.95 per month.