Tuesday, October 25, 2005

Agere Names Clemmer as New CEO

Agere Systems appointed Richard L. Clemmer as president and chief executive officer, replacing John Dickson, who has decided to retire.


Since June 2004, Clemmer has been a partner at Shelter Capital Partners, a private investment fund focused on technology startups. He became chairman of uNav Microelectronics, an emerging global positioning systems chipset company in 2003. Previously, Clemmer held executive management positions at Quantum Corp., a provider of hard disk drives and other storage solutions, and spent more than 20 years at Texas Instruments, serving as senior vice president and chief financial officer of the company's Semiconductor Group from 1988 to 1996.
http://www.agere.com

MathStar Set for IPO

MathStar, which develops a new class of chips it calls field programmable object arrays (FPOAs), announced that its initial public offering of 4,000,000 shares of common stock was priced at $6.00 per share.


The shares will be quoted on The Nasdaq National Market under the symbol "MATH."


Net proceeds from the offering are expected to be approximately $21.1 million and $24.4 million if the underwriters exercise their over-allotment option in full, after deducting the underwriting discounts and commissions, the non-accountable expense allowance and the estimated offering expenses.
http://www.mathstar.com
  • MathStar's Field Programmable Object Array (FPOA) are designed for use in networking and digital signal processing applications. The company said its FPOAs provide a strategic alternative to the high-cost of developing ASICs or the performance limitations of conventional FPGA architectures.

SK-EarthLink Targets Mobile Launch for Spring 2006

SK-EarthLink changed its name to HELIO and announced plans to launch mobile services for young, tech-savvy consumers by spring 2006. The company is a $440 million joint venture between Korea's SK Telecom and EarthLink.


HELIO plans to leverage R&D from SK Telecom to create a constant pipeline of new, proven service platforms, systems and applications. HELIO will use existing U.S. EVDO networks under its own brand to deliver data-rich content, such as music, video and multi-player gaming. HELIO will also feature cutting-edge mobile devices built for 3G.

http://www.helio.com

Taiwan's Seednet Selects Redback for Triple Play

Seednet, Taiwan's second largest Internet service provider, has deployed Redback Networks' SmartEdge Service Gateway platform for its next generation converged broadband service network, which will provide video, voice and advanced data services throughout Taiwan.


The network will be used to enable Seednet's IPTV, VoIP, and high speed Internet services for both consumers and businesses. The IPTV service, Digital Family Center (DFC), includes over 200 channels and combines both analog and digital video programming. In addition to traditional broadcast entertainment, DFC also includes personalized, on-demand video for feature length films and television shows.
http://www.redback.com

TELECOM '05: FCC Chairman Affirms Technology Neutral Stance

The FCC must maintain technological and competitive neutrality, said FCC Chairman Kevin Martin in a videocast keynote address to TELECOM '05 attendees in Las Vegas. Martin said he believes new video entrants, regardless of the technology employed, should be encouraged and not impeded from entry. At its upcoming November meeting, the FCC will consider what action to take with regard to burdensome local video franchise rules. Martin said other pressing issues that must be addressed by the FCC include the universal service fund and intercarrier compensation. To save the Universal Service Fund, Martin advocates a mechanism based on phone numbers. Any phone service that uses a telephone number would be required to contribute to Universal Service. Regardless of which solution is ultimately adopted, Martin said he would work to ensure that is technology neutral.
http://www.convergedigest.com
  • In June 2005, the FCC launched a formal inquiry into the management, administration and oversight of the Universal Service Fund, which helps provide affordable phone service in rural areas, fund Internet access and telecommunications equipment in the schools and libraries, bring telemedicine services to rural areas, and assist low-income families with their phone bills. Since 1997, the Universal Service Administrative Company, or USAC, which administers the fund, has disbursed approximately $30.3 billion from the fund. Money collected for the USF has been declining for some time. The FCC has been considering changes to the way it collects money for the USF. Currently consumers pay a percentage of their long distance service bill each month. The FCC is considering switching to a monthly flat fee based on telephone numbers.


  • Every year, the nation's universal service fund (USF) pays out approximately $673 million for low-income programs and about $3.0 billion to support high-cost rural services.

BelAir Unveils Wi-Fi Mesh System for MSOs and Cable Operators

BelAir Networks announced two new carrier-grade wireless mesh products that enable Multiple System Operators (MSOs) and cable operators to deploy wireless mesh nodes directly on their existing wired network.


The new BelAir50s and BelAir100s can be installed anywhere in existing cable networks allowing MSOs and cable operators to use their existing cable plant to deploy Wi-Fi networks for municipal and city-wide networks. These single- and dual-radio mesh nodes are strand-mounted, plant-powered and offer a DOCSIS 2.0 interface.


The BelAir50s is a single-radio, wireless mesh node that leverages BelAir's rugged outdoor design. Each BelAir50s includes an 802.11g access radio module that supports Wi-Fi client access and wireless backhaul in the 2.4 GHz band. The BelAir50s offer automatic discovery of other mesh nodes, multiple SSID and VLAN support. The product has an external omni-directional antenna, battery backup and supports a DOCSIS, copper, or fiber interface.


The BelAir100s is a two-radio, wireless mesh switch that includes all of the capabilities of the BelAir50s and more. It adds a 5 GHz backhaul radio module that supports a shared mesh or forms dedicated point-to-point links to other mesh switches. The BelAir100s can be configured with two backhaul radio modules and offers high gain directional or omni-directional antennas.
http://www.belairnetworks.com

Spirent Federal Introduces Global Services for IPv6

Spirent Federal Systems will provide technical support teams for U.S. Government agencies and their prime contractors acting on guidance from the Office and Management and Budget (OMB) to ensure an orderly and secure transition from IPv4 to IPv6.


With Spirent Global Services, agencies can comply with the specific requirements of the OMB memorandum M-05-22 on Transition Planning for IPv6 by the required deadlines. Spirent Global Services for IPv6 are available now and may be procured using GSA Contract No. GS-24F-0029N.


The OMB requirements include IPv6 transition planning and progress, IP device inventory, and an impact analysis. http://www.spirentfederal.com

China Netcom selects Alcatel for Nationwide NGN

China Netcom selected Alcatel Shanghai Bell to carry out a full-scale evolution towards Next Generation Network (NGN) across all 31 provinces of China. The contract also covers deploying tandem and local NGN networks in two provinces. Financial terms were not disclosed.


Alcatel will supply its IMS-compliant NGN solution including the Alcatel 5020 Softswitch, the Alcatel 7500 family of media gateways and the Alcatel multi-service access gateways.


As part of the agreement, Alcatel will also support China Netcom in transforming its existing fixed network in Heilongjiang Province to intelligence network with NGN technology. http://www.alcatel.com

BT Deploys Alcatel for VPLS Service

BT is using an Alcatel solution for its recently launched EVLAN service, which provides Ethernet connectivity for multi-site organizations.


The new BT EVLAN service, which is initially available in London and will be rolled-out to other UK metro areas later this year, provides secure any-to-any Ethernet connectivity between multiple sites in a single metro area. BT is offering access speeds from 10, 100 and 1000 Mbps and an open IP environment that allows companies to manage their own IP layer if they choose.


EVLAN is one of the first services to be launched as part of BT's 21CN initiative.
http://www.alcatel.com

Cisco Enhances its Carrier Ethernet Switch Portfolio

Cisco Systems introduced new carrier Ethernet platforms and service-enabling features for delivering Layer 2 and Layer 3 VPNs along with voice, video, and data Triple Play services over converged Carrier Ethernet infrastructures for residential and business customers.

The new products and features include:

  • Cisco ME 3400 Series Ethernet Access Switches, designed for "pay-as-you-grow" feature-set bundles, with pricing tailored to the deployment model. The Cisco ME 3400, which is available in a compact form factor (1RU), offers 24 10/100 ports and 2 Small Form-Factor Pluggable ( SFP ) uplinks. It is optimized for both Ethernet to the home (ETTH) triple-play services and Ethernet to the business VPNs.


  • The Supervisor Engine 32 for the Catalyst 6500 Series switches and the Cisco 7600 Series routers, which delivers MPLS over Ethernet capabilities closer to the edges of a service provider network at cost-effective price points;


  • The ONS 15454 ML 100Base Fiber Module extending Ethernet reach, with RPR and advanced QoS to deliver 50msec resiliency and differentiated services;


  • The ONS 15454 CE 10/100Mbps Module offering Private Line Ethernet and efficient bandwidth utilization with standards based GFP, VCAT, LCAS.


  • The Supervisor II Engine with 10 Gigabit Ethernet uplinks for the Catalyst 4500 Series switches;


  • The 10-gigabit SPA Interface Processor (SIP)-600 for the Cisco 7600 Series routers;


  • A family of multi-rate (2.5G, 5G or 10G), modular 10-gigabit SPA Interface Processor (SIP)-401/501/601 for the Cisco XR 12000 and Cisco 12000 Series routers;


  • Catalyst 4500 Series 48-Port 100BASE-X Switching Module offering mix-and-match optics for maximum deployment flexibility.


  • In software, Cisco announced enhancements for a number of products including the Catalyst 3750 Metro Series switches, Cisco 7600 Series routers, Catalyst 6500 Series Switches, Cisco 12000 Series routers, and Cisco ONS 15454/15310-CL platforms. These enhancements deliver a common set of features and functionality across the entire Cisco Carrier Ethernet portfolio.
http://www.cisco.com

Hong Kong Broadband Gains Cisco Metro Ethernet Certification

Hong Kong Broadband (HKBN) has become the first service provider in the world to achieve the Cisco Powered Network Metro Ethernet QoS Certified status. This certification indicates that HKBN has demonstrated, through a third-party assessment, that its Metro Ethernet service meets Cisco best practices and standards for delivering QoS.


HKBN is testing the Cisco ME 3400, an Ethernet access switch purpose-built for service provider needs, in consideration for future deployment.
http://www.cisco.com
http://www.ctihk.com
  • Hong Kong Broadband Network (HKBN) currently has 500,000 residential subscriptions across its service offerings of voice, broadband and IP-TV. HKBN has committed to expanding its Metro Ethernet coverage from 1.2 million homes passed today to 1.8 million homes passed (80% of Hong Kong's total homes) within the next 3 years.


  • Hong Kong Broadband Network (HKBN) is expanding its coverage and capacity with a Cisco IP Next Generation Network (IP NGN), using Cisco ROADM (Reconfigurable Optical Add/Drop Multiplexer) technology together with HKBN's existing ONS 15454 Multiservice Transport Platform (MSTP) optical core. The expanded optical core will assist HKBN in achieving its goals


  • In April, Hong Kong Broadband Network (HKBN) officially launched its 1 Gbps symmetric service for the residential market. Approximately 800,000 households, out of a total of 2.2 million households in Hong Kong, are wired to receive the service. The 1 Gbps symmetric service is priced at US$215 per month. HKBN noted that its 1 Gbps service is up to 166x faster downstream and 1,950x faster upstream than the advertised bandwidth of the incumbent's ADSL service. HKBN Premium bb1000 service is being offered on the same metro Ethernet infrastructure that delivers the company's Mass Market bb100 (symmetric 100 Mbps for US$34/month) and Entry Point bb10 (symmetric 10 Mbps for US$16/month) services.


  • HKBN is installing more than 10,000 Cisco Catalyst LAN switches and more than 800 Cisco routers in buildings throughout Hong Kong. Category 5e copper cables are wired from the LAN switch cabinet to the apartments of each target customer. Fiber-to-the-building (FTTB) was deployed between the buildings using the Cisco ONS 15454 Multiservice Transport Platform (MSTP) and Cisco Catalyst 4507R Switches.

Infonetics Reports North American VoIP Market Share

The top 3 North American residential/SOHO VoIP subscriber market share leaders in Q2 2005 were Vonage (32%, down from 36% in 1Q05), Time Warner Cable (25%, up from 21%), and Cablevision (19%, down from 21%), according to a new report from Infonetics Research.


Some other findings: No other service provider has subscriber share greater than 3%. MSOs make up almost half the North American VoIP subscribers base in 2004 and will peak at 55% of all subscribers in 2005.


The report presents market size and forecasts for hosted VoIP and managed IP PBX VoIP services, including a hosted VoIP split for residential/SOHO, business, and wholesale in North America, split by US vs. Canada. The report also includes a residential/SOHO VoIP subscriber forecast.
http://www.infonetics.com/

EarthLink Selected for Wi-Fi Net in Anaheim, a Tropos Mesh

The City of Anaheim awarded an exclusive franchise to EarthLink to build out an open Wi-Fi broadband network. In the first phase, EarthLink will construct a two-square-mile proof-of-concept area for testing and analysis. The remainder of the city's network will be completed by the fourth quarter of 2006. The network will be 'open access' so that multiple, competing providers can offer their services to consumers and businesses.


EarthLink plans to deploy Tropos Networks' MetroMesh Wi-Fi routers on light poles throughout the city.
http://www.EarthLink.net

Comcast Invests in BelAir for Metro Wireless Mesh

BelAir Networks, a start-up offering wireless broadband solutions for metro-scale deployments, completed a Series C financing led by Comcast Interactive Capital (CIC) and McLean Watson Capital. The Series C financing brings the total investment in BelAir Networks to US $44 million.


BelAir Networks has developed Wireless Mesh Network (WMN) access points that incorporates wireless access, wireless backhaul and switching into easy-to-install, environmentally hardened outdoor nodes.
BelAir is deployed in 100 networks worldwide, including seven networks for Multiple System Operators (MSOs). http://www.belairnetworks.com
  • BelAir Networks is based in Kanata, Ontario.


  • In January 2005, Lucent Technologies agreed to resell wide-area Wi-Fi solutions from BelAir Networks. Lucent Worldwide Services will also enhance BelAir's offer by providing a full suite of services including deployment, maintenance, professional and managed services.

Monday, October 24, 2005

BellSouth Adds 205,000 DSL Subscribers in Q3

BellSouth added 205,000 net DSL customers in Q3 2005 and now serves nearly 2.7 million DSL customers. Sequentially, DSL average revenue per user (ARPU) remained steady at nearly $40. For the third quarter, network data revenue, which includes revenue from DSL services, was $1.17 billion.


During Q3 2005, 66,000 BelSouth customers added DIRECTV service to their communications packages, reaching a total of more than 460,000.


As of Sept. 30, 2005, BellSouth's total access lines were 20.4 million, down 354,000 compared to June 30, 2005. The company estimates approximately 40,000 of this decline is attributable to disconnections associated with Hurricane Katrina. The remaining access line loss was driven by wireless substitution and cable telephony providers in residential markets. Residential retail access lines were down 181,000. In contrast, business retail access lines grew 37,000 lines with positive results in both small and large business segments. UNE-P (Unbundled Network Elements-Platform) access lines resold by BellSouth competitors were down 228,000 compared to June 30, 2005. http://www.bellsouth.com

Alcatel Supplies SIP for BT

Alcatel is extending the functionality and capacity of the Alcatel 5020 Softswitch and the ACME Packet Session Director (SD) already in commercial operation in BT's network. As the overall SIP session control element and mediation device among multimedia application servers, the Alcatel 5020 Softswitch implements the call & session control function (CSCF). The ACME Packet SD provides a proxy function (P-CSCF) to satisfy critical security and quality assurance requirements for carrier class IP multimedia services.


Alcatel said this IMS-compliant expansion plays a part in enabling BT to host a complete set of advanced revenue-generating voice and multimedia services over a common, open and reusable architecture. The expansion will be "live" in the BT network by the fourth quarter 2005.
http://www.alcatel.com

Ericsson to Acquire Marconi

Ericsson will acquire most of Marconi for approximately £1.2 billion (US$2 billion). The deal, which continues the trend of consolidation in the industry, gives Ericsson access to a more comprehensive
portfolio of solutions, an expanded R&D capability, and strategically important customer accounts worldwide.


The acquisition includes:

  • Marconi's optical networking business

  • Marconi's broadband and fixed radio access network business

  • Marconi's softswitch business

  • Marconi's data networking equipment and services businesses

  • Marconi's relevant telecommunications services activities

  • the Marconi trademark, associated brand names and IPR


Not included in the sale are Marconi's headquarters and certain businesses in UK and Germany, and Marconi's UK pension plan.


These assets represent about 75% of Marconi's turnover. Ericsson said the deal will contribute positively to EPS from 2007, and will have a neutral effect in 2006.


What then remains of Marconi will be renamed telent plc and will focus on providing services to telecommunications and enterprise customers. The new telent plc will be Ericsson's preferred services partner in the UK.


Carl-Henric Svanberg, President and CEO of Ericsson, said: "The
acquisition of the Marconi businesses has a compelling strategic
logic and is a robust financial case. As fixed and mobile services
converge, our customers will substantially benefit from this powerful combination."


The companies expect to close the transaction by the end of January 2006.
http://www.ericsson.com
http://www.marconi.com
  • In April 2005, BT selected vendors for its 21st Century Network. Marconi, which had been a traditional supplier to BT, failed to capture any of the major contracts. In recent years, Marconi had generated about a quarter of its business from BT.


    BT selected Ericsson as the sole supplier for the I-node domain of 21CN, essentially the intelligence that controls the services.

TELECOM '05: Starz Says New Programming Parading Will Drive IPTV

Each wave of broadcasting technology has been driven by new programming paradigms and IPTV will be no exception, said Robert B. Clasen, President & CEO, Starz Entertainment. The introduction of broadcast TV in the 40s and 50s led to new programming formats and entertainment markedly different from radio or film; the rise of cable coincided with new networks such as CNN, HBO and ESPN; and the emergence of direct satellite providers similarly led to new channels, new networks and new sports programming packages. Clasen argues that IPTV will break the programming paradigm wide open again and that telcos should be ready to capitalize on this opportunity.


Starz would like to be a programming partner with IPTV providers. Today, cable and DBS providers look upon content developers are mere suppliers, said Clasen, and the business discussion always boils down to the price for carriage. Clasen argues that IPTV providers should use their platform to experiment with new formats and new ideas. They should try different channel bundles, and even a-la-carte channel subscriptions. They should also seek out new content for playback on a variety of devices, from big screen TVs, to laptops, PDAs and 3G phones.


Clasen also argued that IPTV will break the current programming paradigm in other fundamental ways. For instance, the concept of channels will radically change in an environment where must content may be watched via DVR or on-demand. Similarly, the notion of a 30-minute or 60-minute TV show becomes obsolete when fixed broadcasting time slots go away. Advertising will no longer follow the same rules. Starz is experimenting in these areas and Clasen urged IPTV providers to innovate in order to break into the market.
http://www.convergedigest.com

TELECOM '05: Hearst-Argyle TV on Why Telcos Need Local Broadcast Partners

Telcos and local broadcast stations are natural allies because of strategic regulatory and technology issues, said David J. Barrett, President & CEO, Hearst-Argyle Television, speaking at TELECOM '05 in Las Vegas.


Barrett, who was introduced at the keynote by Verizon CEO Ivan Seidenberg, said telcos and local broadcast stations are both facing regulatory challenges in the video distribution business. Telcos are fighting for a streamlined process of obtaining local franchises across the country. As analog broadcasting is phased out, local TV stations are hoping that they will be able to deliver multiple digital channels under the same must-carry rules as before. Both groups are up against the lobbying and market forces of the cable operators.


Barrett said that while cable networks were initially built on the backs of local TV stations, these same cable operators are now reluctant to carry additional digital content from the local community. Meanwhile, the telcos are pushing ahead with a switched video architecture that gives them the ability to carry a huge number of potential channels. Local TV stations already produce video programming of interest to the local community, and in times or emergencies, such as the recent hurricanes, provide a vital public information role. Barrett said for telcos to partner with local television partners would be good public policy and make good business sense.
http://www.convergedigest.com

TELECOM '05: SBC Says IPTV Will Be Cool

IPTV will become a "must have" consumer service reflecting our busy, digital lifestyles, said Lea Ann Champion, senior executive vice president of IP Operations and Services at SBC Communications, speaking at TELECOM '05 in Las Vegas. SBC's IPTV field trials in San Antonio went "really well," said Champion, and SBC now plans a limited market introduction this winter, followed by a gradual rollout in 2006. By mid-year, she expects the first feature upgrade for the service, which will be promoted under the "U-verse" brand. SBC initially will be serving four video streams to each subscribing household, including one for HDTV. She also said SBC would feature a robust VOD library from the get-go.


Champion said SBC's trial users simply "loved" the IPTV service. She contends the main market driver will be "a better TV experience," based on features like multiple picture viewing on single screen. For instance, sports fans might want to view and control several TV angles of a game, or consumers might want to have an electronic program guide or personal message center panel running alongside the TV show they are watching. She also predicts that IPTV will make for a better DVR experience by allowing users to program their home machine over the web, and by sharing resources with other TVs in the house.


Champion also confirmed that SBC is working to integrate its IPTV with Cingular Wireless. The goal is "not just a race to capture the digital house, but the digital lifestyle."http://www.convergedigest.com