Wednesday, April 21, 2010

Alcatel-Lucent's EPC Breaks 100 Gbps Barrier in Ixia Test

Alcatel-Lucent's Evolved Packet Core (EPC) solution broke the 100 Gbps barrier for mobile gateway performance in a test performed with Ixia.


A set of two Alcatel-Lucent 7750 Service Routers, deployed in the role of LTE/EPC Serving Gateway and Packet Data Network (PDN) gateway, were stressed using Ixia's IxLoad application and Acceleron load modules and successfully passed multimedia traffic over simultaneous 80 Gbps downstream and 20 Gbps upstream links.


Ixia IxLoad application and Acceleron load modules generated and tested a continuous flow of real-time traffic using more than 1.5 million active LTE connections (bearers) loaded at 65 Kbps each. This traffic, aggregated at more than 100 Gbps, was processed and passed across an Alcatel-Lucent EPC, which included two Alcatel-Lucent 7750 Service Routers. The scenario roughly equated to 1.5 million voice LTE channels or, inversely, more than 65,000 high-definition html-based H.264 video sessions running concurrently at aggregate speeds over 100 Gbps.


"These test results show that aggregate speeds over 100 Gbps are today's reality for the Alcatel-Lucent LTE Evolved Packet Core gateways -- speeds that are necessary to accommodate the exponential rise of traffic in the mobile broadband evolution," said Kevin Macaluso, Vice President and General Manager of the Service Router product group within Alcatel-Lucent.


"LTE is about massive increase of video and data traffic which demands massive throughput in the Evolved Packet Core," said Victor Alston, Senior Vice President, Product Development at Ixia. "This collaboration with Alcatel-Lucent sets a new benchmark for LTE data plane processing and showcases the best practices in LTE service quality validation."http://www.ixiacom.com
http://www.alcatel-lucent.com

Overture Raises $17.2 Million for Carrier Ethernet

Overture Networks has closed an additional $17.2M round of equity funding to support its Carrier Ethernet offerings.


Overture Networks supplies Carrier Ethernet edge and aggregation equipment to more than 225 service providers and enterprise customers worldwide. Its ISG family can deliver Carrier Ethernet over fiber, SONET/SDH, and TDM/PDH. The privately-held company is based in Research Triangle Park, North Carolina with a technology center in Richardson, Texas.


The new round of funding was lead by QuestMark Partners, who joins existing investors, including Intel Capital, Intersouth Partners, Morgenthaler Ventures, Tenaya Capital, TDF Fund and Gray Ventures. In addition, Tim Krongard, Partner, QuestMark Partners will take a seat on Overture's Board.
http://www.overturenetworks.comhttp://

Level 3 Delivers Managed Video Network for ABC

Level 3 Communications will provide its Managed Video Network Services (MVNS) platform to ABC News locations in New York, Los Angeles, and Washington, D.C., allowing the broadcaster to move more video and data content. Under a three-year contract, Level 3 will install its MVNS offering at each of the ABC News Bureau locations. The broadcaster will have direct access to Level 3's Tier 1 Internet backbone allowing transmission of both video and data from a single platform. Level 3 will also provide Ethernet Virtual Private Line network (EVPL).
http://www.level3.comhttp://

PMC-Sierra Posts Revenues of $153 Million, Up 49%

PMC-Sierra reported Q1 net revenues of $152.8 million, a year-over-year increase of 49% compared with $102.6 million in the first quarter of 2009, and 9.5% higher than revenues of $139.5 million in the fourth quarter of 2009.


Net income in the first quarter of 2010 on a GAAP basis was $27.0 million (GAAP diluted earnings per share of $0.12) compared with a GAAP net loss in the first quarter of 2009 of $3.9 million (GAAP loss per share of $0.02). Non-GAAP net income in the first quarter of 2010 was $43.5 million (non-GAAP diluted earnings per share of $0.19) compared with non-GAAP net income of $12.4 million (non-GAAP diluted earnings per share of $0.06) in the first quarter of 2009. On a year-over-year basis, this represents growth in non-GAAP net income of $31.1 million or 251%.


"In the first quarter of 2010, we experienced improving demand in our Wide Area Network Infrastructure business and saw the continuation of healthy demand in our Enterprise Storage business as global IT spending improves year over year," said Greg Lang, president and chief executive officer of PMC-Sierra. "Revenue in the first quarter of 2010 was 9% above our previous quarterly revenue peak in the second quarter of 2008, while non-GAAP net income was 46% above the second quarter of 2008."http://www.pmc-sierra.comhttp://

Nokia Siemens Networks Announces EUR 750 Million Contracts in China

Nokia Siemens Networks has signed frame agreements with China Mobile and China Unicom to continue purchasing GSM, WCDMA and TD-SCDMA mobile network equipment and solutions. The two Chinese operators signed similar agreements last year as part of the China-Europe Purchasing delegation.


Under the scope of the current agreements, China Mobile plans to purchase Nokia Siemens Networks' GSM and TD-SCDMA network equipment, and its IP Multimedia Subsystem solution.


China Unicom, on the other hand, will source Nokia Siemens Networks' GSM and WCDMA equipment, as well as its HSPA solution, while continuing to purchase the company's unique "direct tunnel" packet core technology. Direct tunnel will help the operator cost-effectively keep pace with the rising demand for data traffic.


Nokia Siemens Networks noted that it has steadily built up a strong manufacturing, R&D, operations and distribution presence in China. Three of its nine manufacturing sites are located in the country. Nokia Siemens Networks has also significantly invested in R&D activities in China, creating a TD-LTE competence center in Hangzhou, with plans to increase its R&D staff during 2010.
http://www.nsn.com

Gigamon Introduces Smaller Data Access Switch for Monitoring Tools

Gigamon introduced an entry level version of its Data Access Switch, which aggregates, multicasts, filters and divides traffic flows across multiple passive monitoring tools.


The GigaVUE-212 is a modular packet-aware Data Access Switch with much of the same functionality as the company's existing platforms. It offers an eight 1GE ports and two 10GE ports with an optional expansion module for support of another four 1GE ports.


Gigamon's data access switch provides span ports for out-of-band monitoring of complex and remote networks. The new GigaVUE-212 can be used by data centers or enterprises who either require a low-cost option in order to enhance their network monitoring for the first time, or who have areas of their networks where they need lower port counts to support monitoring.
http://www.gigamon.com
  • Earlier this year, Gigamon released new "GigaSMART" software that leverages 10 Gbps, full line-rate packet modification technology to offer time stamping, network port labeling, slicing and masking capabilities.

AT&T Wi-Fi Network Sees 5X Traffic Growth in Q1 YoY

AT&T reported that use of its more than 20,000 U.S. Wi-Fi hotspots surged to 53.1 million connections in the first quarter. This is nearly five times higher than the 10.7 million connections made in the first quarter last year, and more than half of the 85.5 million total Wi-Fi connections made in 2009.


The Wi-Fi network is designed to complement AT&T's wireless and wired broadband networks. At the end of the first quarter, nearly 32 million AT&T customers had AT&T Wi-Fi access included with their qualifying smartphone, AT&T High Speed Internet and 3G LaptopConnect plans, an added value and convenience that drives Wi-Fi usage. Many smartphones, including the iPhone support auto-authentication at AT&T Wi-Fi Hot Spots. In Q1, 69 percent of Wi-Fi connections were made from smartphones and integrated devices, up from 35 percent a year ago in the first quarter of 2009.


The total number of AT&T broadband connections -- which includes both wireline broadband and wireless LaptopConnect cards -- grew by 278,000 in the first quarter to reach 17.5 million in service.
http://www.att.com

Vitesse Introduces EcoEthernet Technology Exceeding 802.3az

Vitesse Semiconductor introduced its second generation "EcoEthernet" technology, with power-saving features exceeding the IEEE's 802.3az Energy Efficient Ethernet standards.



EcoEthernet 2.0 silicon, which is designed for enterprise LAN, data center and carrier Ethernet switches, optimizes performance for all link speeds, while providing unique energy-saving capabilities for temperature monitoring, smart fan control, and adjustable LED brightness.


Vitesse said its technology enables Gigabit Ethernet ports to dissipate well below 400 mW, while drawing less than 200 mW when operating in Fast Ethernet speeds. Features intended to reduce fan and front-panel display power ensure that switches and Carrier access systems based on EcoEthernet 2.0 will offer the lowest possible energy use for the next generation of green network appliances.


The recent work of the IEEE's 802.3az EEE Task Force to establish further green opportunities for Ethernet are aligned with coalition efforts such as The Green Grid and GreenTouch for making Enterprise, data center, and telecom networks more energy efficient. Vitesse's EcoEthernet technology allows manufacturers to design products for these emerging standards.


"Until now, most Ethernet IC development has focused solely on the cost and performance gains achieved by using 65-nm technology. However, relying on this process alone is not a comprehensive green strategy," said Jason Rock, product marketing manager at Vitesse.

As part of the EcoEthernet portfolio, Vitesse is introducing a 12-port Gigabit Ethernet PHY device with dual media copper and fiber support. It features "ActiPHY" automatic link-power down and "PerfectReach" intelligent cable algorithm, along with IEEE 802.3az idle power savings, temperature monitoring, smart fan control, and adjustable LED brightness.

Vitesse notes that the new IC achieves its breakthrough power dissipation of 370 mW/port for 1000BASE-T copper and 150 mW for fiber, not only through optimal design techniques in a 65-nm CMOS process, but through support of both low pin count SGMII and QSGMII interfaces. Sampling begins this quarter.


"The unprecedented density of Vitesse's new 12-port VSC8512, combined with its EcoEthernet 2.0 technology simplifies designing next-generation green Enterprise switches and Carrier Ethernet switch and routers with 24-, 48-, and even 96-ports in a single line card," said Rock.
http://www.vitesse.com/green

Verizon: Wireless Data Grows as Other Areas Slow

Verizon Communications reported Q1 2010 financial results in line with expectations with its strongest area of growth in wireless data services, FiOS and broadband, as traditional services declined and subscriber growth slowed. Verizon Wireless recorded 1.5 million total net customer additions for Q1 2010.


Verizon's total operating revenues were $26.9 billion in the first quarter of 2010, an increase of 1.2 percent compared with the first quarter of 2009. Net income attributable to Verizon was $0.4 billion in the first quarter of 2010, compared with $1.6 billion in the first quarter of 2009.


Capital expenditures totaled $3.5 billion in the first quarter of 2010. Although this was down 6.8 percent from the first quarter of 2009, Verizon reiterated its guidance that total 2010 capital spending will range from $16.8 billion to $17.2 billion.


Highlights include:

Verizon Wireless

Added 423,000 retail postpaid and 284,000 total retail customers in the quarter, excluding acquisitions and adjustments. Nearly 95 percent of the company's customers are retail, the most retail customers of any U.S. wireless provider. The company had 87.8 million retail customers at the end of the first quarter, an increase of 4.4 percent year over year.


The total number of customers at the end of the quarter was 92.8 million, an increase of 7.2 percent year over year, with 1.5 million total net customer additions in the first quarter 2010. In addition, the company has 7.3 million other connections, including machine-to-machine (M2M), eReaders and telematics, bringing total connections to 100.1 million.


Retail postpaid churn, retail churn and total customer churn was 1.07 percent, 1.46 percent and 1.40 percent, respectively. All are improved year over year.


Retail service revenues in the quarter totaled $13.4 billion, up 5.0 percent year over year. Retail data revenue was up 25.6 percent to $4.5 billion. Service revenues in the first quarter were $13.8 billion, up 5.9 percent. Total revenues were $15.8 billion, up 4.4 percent year over year.


Retail service ARPU was flat at $50.95. Retail data ARPU increased to $17.06, up 19.6 percent year over year.


Wireless operating income margin was 28.9 percent, an increase of 0.7 percentage points year over year. Segment EBITDA (earnings before interest, taxes, depreciation and amortization) margin on service revenues (non-GAAP) was 46.0 percent, the same as first-quarter 2009.


Wireline

First-quarter 2010 operating revenues were $11.2 billion, a decline of 2.9 percent compared with first-quarter 2009. This is an improvement of 1.0 percentage point compared with the year-over-year revenue declines reported in the fourth quarter 2009.


First-quarter 2010 operating expenses were $11.1 billion, an increase of 1.7 percent compared with first-quarter 2009. In first-quarter 2010, savings from continued workforce reductions and other initiatives were more than offset by weather-related expenses in the Northeast, and incremental pension and retiree benefit expenses.


Broadband connections totaled 9.3 million at the end of the first quarter 2010, a 4.3 percent year-over-year increase. This is a net increase of 90,000 from the fourth quarter 2009, as the increase in FiOS Internet connections more than offset a decrease in DSL-based High Speed Internet connections.

As of the end of first-quarter 2010, the FiOS network passed 15.6 million premises. Verizon continues to target passing 18 million premises with FiOS. Since the company has already secured video franchises to meet this target, it is spreading the passing of remaining premises several years past 2010.



New Verizon offerings for multinational corporate and government customers included a cloud-based data backup service offered jointly with IBM; a managed mobility solution tailored to government customers; a managed immersive videoconferencing solution with Cisco; and new professional consulting services.


Continuing to broaden its global scope and capabilities, Verizon installed 11 additional Private IP edge routers for a total of 763 edge routers in 215 sites throughout 59 countries. The company also expanded its Private IP network into three additional Latin American locations -- Sao Paulo and Rio de Janeiro, Brazil; and Santiago, Chile. Additionally, Verizon enhanced its Trans-Atlantic global mesh network to eight-way diversity with the addition of the Atlantic Crossing-1 cable system.
http://www.verizon.com

Nokia: SmartPhone Sales Rise, NSN is Profitable

Citing tough competition in high-end mobile devices, Nokia reported Q1 2010 net sales of EUR 9.5 billion, up 3% year-on-year and down 21% sequentially (up 1% and down 21% at constant currency).
. Nokia continues to expect industry mobile device volumes to be up approximately 10% in 2010, compared to 2009 (based on its revised definition of the industry mobile device market applicable beginning in 2010).


For Nokia Siemens Networks, first quarter 2010 net sales decreased 9% to EUR 2.7 billion, compared with EUR 3.0 billion in the first quarter 2009, reflecting challenging competitive factors and market conditions. However, gross profit increased 11% to EUR 782 million, compared with EUR 703 million in the first quarter 2009, with a gross margin of 28.8% (23.5%).


Some highlights for the quarter:

  • Devices & Services net sales of EUR 6.7 billion, up 8% year-on-year and down 19% sequentially (up 7% and down 19% at constant currency). A key highlight in Q1 was the inclusion of navigation into Nokia smartphones. Devices & Services net sales are forecast to be between EUR 6.7 billion and EUR 7.2 billion in the second quarter 2010.


  • Services net sales of EUR 148 million, down 12% sequentially; billings of EUR 228 million, up 1% sequentially.


  • Nokia total mobile device volumes of 107.8 million units, up 16% year-on-year and down 15% sequentially.


  • Nokia converged mobile device (smartphone and mobile computer) volumes of 21.5 million units, up 57% year-on-year and up 3% sequentially. The company believes its device market share was 33 percent in Q1 -- down 2 percent sequentially


  • Nokia mobile device ASP (including services revenue) of EUR 62, down from EUR 64 in Q4 2009.


  • Devices & Services gross margin of 32.4%, down from 33.8% in Q1 2009 and 34.3% in Q4 2009.


  • Devices & Services non-IFRS operating margin of 12.1%, up from 10.4% in Q1 2009 and down from 15.4% in Q4 2009.


  • NAVTEQ non-IFRS net sales of EUR 189 million, up 41% year-on-year and down 16% sequentially (up 46% and down 18% at constant currency).


  • Nokia Siemens Networks net sales of EUR 2.7 billion, down 9% year-on-year and down 25% sequentially (down 12% and 27% at constant currency).


  • Nokia Siemens Networks non-IFRS operating margin of 0.6%, up from -4.1% in Q1 2009 and down from 5.5% in Q4 2009.


  • Nokia operating cash flow of EUR 1.0 billion.


  • Total cash and other liquid assets of EUR 9.7 billion at the end of Q1 2010.


"During the quarter, we also demonstrated our ability to deliver the Nokia smartphone experience to consumers on a global scale, with our smartphone shipments up by more than 50% year-on-year... In infrastructure, Nokia Siemens Networks' profitability benefited from a positive sales mix in Q1. I am also pleased to see encouraging results from the company's focus on helping operators meet the challenge of the rapid growth in data and signaling traffic from smartphones," stated Olli-Pekka KALLASVUO, Nokia's CEO.
http://www.nokia.com
http://www.nsn.com

CenturyTel to Acquire Qwest -- Presence in 37 States

CenturyLink (CenturyTel) will acquire Qwest Communications in a tax-free, stock-for-stock transaction valued at $22.4 billion, including net debt of $11.8 billion. Under the deal, Qwest shareholders will receive 0.1664 CenturyLink shares for each share of Qwest common stock they own at closing. Upon closing of the transaction, CenturyLink shareholders are expected to own approximately 50.5 percent and Qwest shareholders are expected to own approximately 49.5 percent of the combined company. The deal represents a premium to Qwest shareholders of approximately 15 percent over Qwest's closing stock price on April 21, 2010.


The companies expect their merger to generate annual operating and capital synergies of approximately $625 million when fully recognized over a three- to five-year period. Key drivers of these synergies include reduction of corporate overhead, elimination of duplicate functions and systems, and increased operational efficiencies. The transaction also is expected to generate annual capital expenditure synergies of approximately $50 million within the first two years after close.


As of December 31, 2009, CenturyLink and Qwest served local markets in 37 states with approximately 5 million broadband customers, 17 million access lines, 1,415,000 video subscribers and 850,000 wireless consumers. The corporate headquarters of the combined company will be Monroe, La. The company also will maintain a key operational presence in Denver, including a regional headquarters, the Qwest Business Markets Group, as well as other functions to be determined.


Reasons given for the merger include:

  • Increased Capabilities: The combination creates a robust, national 173,000-mile fiber network. With a more diverse mix of offerings, increased scale and stronger product portfolio, the company will be able to reach more customers with a broad range of solutions.


  • Expanded and Enhanced Competitive Offerings: The company will have the national breadth and local depth to provide broadband products and services including high speed Internet, video entertainment, data hosting and managed services, as well as fiber to cell tower connectivity and other high bandwidth services. In addition, Qwest Business serves 95 percent of Fortune 500 companies and is one of the three universal service providers for Networx, the U.S. government services contract.


  • Financial Strength and Flexibility: For the 12 months ended December 31, 2009, the combined company would have had pro forma revenues of $19.8 billion, pro forma EBITDA of approximately $8.2 billion, and pro forma free cash flow of approximately $3.4 billion, excluding synergies. The combined company's pro forma net leverage would have been 2.2 times EBITDA for the 12 months ended December 31, 2009, including synergies on a full run-rate basis and excluding integration costs. No new financing or refinancing is required as a result of this transaction.


"This combination will enhance our ability to deploy innovative IP products and high-bandwidth services to business customers, expand broadband availability and speed to consumers, and offer superior, differentiated video products, stated Glen F. Post III, CenturyLink's chief executive officer and president.


"Over the last several years, Qwest has been focused on generating sustainable free cash flow and strengthening the balance sheet, as well as creating innovative approaches to drive efficiency and perfect the customer experience. We are pleased with the progress we have made and believe that the combined company will be well positioned to win in an increasingly competitive marketplace," said Edward A. Mueller, Qwest's chairman and chief executive officer.http://http://
  • In July 2009, CenturyTel merged with EMBARQ, the former wireline division of Sprint.. EMBARQ, which was formerly Sprint's Local Telecommunications Division (spun out as an independent company in 2006). At the time this deal was announced, the transaction reflected an enterprise value of approximately $11.6 billion for Embarq, including the assumption of $5.8 billion of EMBARQ's debt. And at the time, Embarq had 5.8 million local phone lines and 1.4 million DSL customers.

Tuesday, April 20, 2010

FCC Asks: Can America's Broadband Networks Survive Disaster

The FCC has launched a public inquiry to determine whether existing broadband networks can withstand significant damage or severe overloads as a result of natural disasters, terrorist attacks, pandemics or other major public emergencies. Although core broadband networks are generally presumed to be quite resilient, there may be
weaknesses closer to the network edge.


Specifically, the FCC's Notice of Inquiry (NOI) seeks comment, analysis and information on:

What are the major single points of failure in broadband architectures?


What measures do communications providers already take to minimize the potential for
single points of failure?


What provisions are made by communications providers to ensure the survivability of cell
sites relied on by first responders?


What are the most effective and widely deployed physical security best practices?


Should traffic to and from critical emergency response agencies and for critical services be
prioritized on the networks during emergencies?


What steps have been taken to ensure redundancy and diversity of physical network links to
hardware?


Is the capacity of residential access networks sufficient to handle sudden surges or overloads
in traffic during, for example, a pandemic emergency?


What network management practices are in place to handle overloads during emergencies?http://www.fcc.gov

EZchip Unveils its 200 Gbps Network Processor

EZchip outlined plans for its next-generation NP-5, a 200-Gigabit network processor with integrated 200-Gigabit traffic management for ultra-dense 10GE, 40GE and 100GE port line cards in switches and routers. Product timelines were not disclosed.


The company said its new design will provide unprecedented integration and enable building routers and switches for Carrier Ethernet networks as well as data centers with exceptional density and functionality. The NP-5 will enable building line cards that feature multiple 40 and 100-Gigabit ports as well as dozens of 10-Gigabit ports. Through its versatility and rich feature set NP-5 will serve a wide variety of carrier and data center applications.
http://www.ezchip.com
  • In January 2010, EZchip Semiconductor confirmed that it had begun sampling its NP-4 100-Gigabit network processor (NPU) for Carrier Ethernet equipment. The NP-4 is designed for the next generation of high-density switch/router line cards that feature 200-400 Gbps throughput and 20-40 10-Gigabit ports.

    EZChip integrates the main components of a line card, including programmable packet processing, traffic management, Ethernet MACs, PHYs, control CPU and Fabric Interface Controller. The company also offers a library of production-level applications that includes data-plane code for Metro Ethernet, MPLS, GPON/EPON OLT, OAM and IEEE1588v2 clock synchronization, for enabling reduced development resources and expedited time to market.

FSAN and the Broadband Forum Collaborate on GPON

The Full Service Access Network (FSAN) and the Broadband Forum will collaborate on efforts to expedite GPON
deployments, enhance multi-vendor interoperability and enable better broadband network fiber
integration around the world. A new working group focused on defining GPON test suites, addressing interoperability and standards compliance has been established and will meet at each of the Broadband Forum's quarterly meetings.


As a part of that effort, the 11th FSAN - GPON Test Event, normally only open to FSAN members is now
open to Broadband Forum GPON system integrator members as well. Hosted by the University of New
Hampshire InterOperability Laboratory's (UNH-IOL) GPON Consortium the week of June 21, 2010, this
event is an opportunity for all GPON system integrators (manufacturers of ONTs and OLTs) to test the
interoperability of their implementation (s).
http://www.broadband-forum.orghttp://fsanweb.com

Ixia Adds Fibre Channel Interface to its Data Center Tests

Ixia introduced a native Fibre Channel test solution offering selectable 2/4/8 Gbps native Fibre Channel ports -- up to 96 ports per chassis. The native Fibre Channel interface combined with Ethernet interfaces enables the Ixia testing solution to evaluate Fibre Channel over Ethernet (FCoE) switches, converged network adapters (CNAs) and SAN controllers. The FCoE testing could be used by network equipment manufacturers (NEMs), enterprise data centers, information and storage service providers as they bring this new data center technology to market. Testing networks using a mix of Ethernet, fibre channel, and FCoE technologies is critical to the timely deployment of converged network products and services.


Ixia's converged data center test solution now includes both FCoE and Fibre Channel interfaces, converged traffic performance tests, and real I/O performance testing. Ethernet interfaces can operate at speeds from 1 and 10 Gbps, while the Fibre Channel interface module's 4 or 8 port variants can be dynamically programmed to 2, 4, or 8 Gbps. Ixia's solution includes IxANVL, IxNetwork, and IxSAN test applications that utilize the same hardware platform:

  • IxANVL validates device conformance to FCoE protocols, including FIP and DCBX.


  • IxNetwork offers performance testing over Ethernet, FCoE, and fibre channel connections by emulating large-scale network environments, allowing end-to-end testing of converged FCoE switches, CNAs, and other mixed protocol devices.


  • IxSAN is a complete SAN test solution, with real-world, large-scale emulation of fibre channel protocol (FCP) targets and initiators over Ethernet, allowing true characterization of I/O performance of converged network systems.
http://www.ixiacom.com/

Equinix Posts Revenue of $249 Million, up 25% YoY

Equinix reported quarterly revenues of $248.6 million, a 3% increase over the previous quarter and a 25% increase over the same quarter last year. Net income for the first quarter was $14.2 million.


Recurring revenues, consisting primarily of colocation, interconnection and managed services were $237.2 million for the first quarter, a 2% increase over the previous quarter and a 25% increase over the same quarter last year. Non-recurring revenues were $11.4 million in the quarter.


"Our first quarter results have set the foundation to deliver another year of solid growth in 2010," said Steve Smith, CEO and President of Equinix. "Demand for our services remained strong across all three operating regions during the quarter and we continue to benefit from our global reach and scale." http://www.equinix.com

Verizon Names VP of Communications, Products and Services

Verizon has named Torod Neptune as vice president of communications, products and services. He will lead strategy and implementation for Verizon's telecom and business product lines, and will be a key part of the communications leadership on issues and initiatives affecting the company.


Neptune most recently was senior vice president and global public affairs practice leader for Waggener Edstrom Worldwide, one of the world's largest public relations and communications firms. Prior to that role, Neptune led development of an institution-wide crisis communications and response capability for the U.S. House of Representatives, as part of the office of the chief administrative officer. He http://www.verizon.com

NSN Starts Production of LTE Gear for 800 MHz spectrum

Nokia Siemens Networks has begun production of its LTE-ready Flexi Multiradio Base Station radio frequency modules for the 800 MHz spectrum band, which is becoming available in many countries as they make the transition from analog to digital terrestrial TV.



The longer range of the 800 MHz band makes it especially attractive for suburban or rural coverage. Nokia Siemens Networks said operators deploying LTE in 800 MHz can achieve the same coverage as GSM (900 MHz) networks using their existing base station sites, allowing them to take a big step towards the vision of providing universal broadband.


Seeing its potential to cost-efficiently cover rural areas, as well as improve indoor penetration in towns and cities, industry stakeholders and regulators at the World Radio Conference 2007 agreed to assign the 800 MHz band for mobile broadband communication. Germany is currently in the midst of auctioning the available spectrum to operators, and more countries are expected to follow suit.


Nokia Siemens Networks successfully tested LTE technology for 800 MHz last year at its R&D centers in Ulm, Germany, and Oulu, Finland, using its Flexi Multiradio Base Station. The platform's design consists of a common system module (which works with all frequency bands) and a radio frequency (RF) module for the particular frequency used in the network. The RF module for the 800 MHz version is now under production. The Flexi Multiradio Base Station supports GSM/EDGE, WCDMA/HSPA and LTE. Its compact, weather-proof and modular design allows for swift integration into existing base station sites.


"As countries switch from analog to digital TV, they are freeing up spectrum that can be used for mobile networks," said Thorsten Robrecht, head of LTE product management, Nokia Siemens Networks. "Most countries in Europe, and several in the Middle East, Africa and Asia, are evaluating this frequency band for LTE deployments. Recognizing the opportunity that this digital dividend presents for operators, we have stayed on top of this development and have now started producing base stations that operate in the 800 MHz band, with commercial deployments targeted for the second half of 2010."http://www.nsn.com

Saudi Telecom Awards pre-LTE Contract to Huawei

Saudi Telecom Company (STC) has selected Huawei Technologies to deploy the Middle East' s largest pre-commercial LTE network. Financial terms were not disclosed.


The first phase of the project is operational and offering peak downlink data rates of up to 100 Mbps per user with commercial LTE data cards in the field. This pre-commercial LTE network is expected to complete its roll out by the end of 2010, covering major metropolitan areas such as Riyadh and Dammam.


In addition, Huawei has deployed its IP microwave products of RTN900 series into STC' s LTE backhaul, which are capable of fully supporting the bandwidth demands of commercial LTE usage now, and in the future.
http://www.huawei.comhttp://

AT&T's Q1: 29.8% Wireless Data Revenue Growth

AT&T reported Q1 2010 revenues of $30.6 billion, up $78 million, or 0.3 percent, versus the year-earlier period. performance was driven by a 1.9 million net gain in total wireless subscribers, the highest first-quarter total in the company's history, to reach 87.0 million. This was matched by 29.8 percent growth in wireless data revenues, up $947 million versus the year-earlier quarter to $4.1 billion.


Some highlights:

Wireless Operational Highlights

Record First-Quarter Subscriber Gain. AT&T posted a net gain in total wireless subscribers of 1.9 million, the highest first-quarter total in the company's history, to reach 87.0 million in service. First-quarter net add growth reflects continued rapid adoption of smartphones and a host of connected devices such as eReaders, global positioning systems and alarm monitoring systems. Connected devices in service increased by 1.1 million in the quarter to reach 5.8 million, and retail postpaid net adds totaled 512,000 to reach 65.1 million.


Best-Ever Subscriber Churn Levels. Average monthly subscriber churn improved substantially in the first quarter, reaching the company's best-ever levels and marking AT&T's fifth consecutive quarter of year-over-year improvement in both total and postpaid wireless churn. Postpaid churn was 1.07 percent, down from 1.15 percent in the year-earlier quarter, and total churn was 1.30 percent versus 1.56 percent in the first quarter of 2009.


29.8 Percent Wireless Data Revenue Growth. Wireless data revenues -- from messaging, Internet access, access to applications and related services -- increased $947 million, or 29.8 percent, from the year-earlier quarter to $4.1 billion. AT&T wireless subscribers on postpaid data plans increased more than 28 percent over the past year. Total text messages carried on the AT&T network increased by more than 50 percent versus the year-earlier quarter to more than 143 billion, and multimedia messages more than doubled to approximately 2.4 billion. AT&T's wireless data revenues have nearly doubled over the past two years.


Continued Postpaid ARPU Growth. Driven by strong data growth, postpaid subscriber ARPU increased 3.9 percent versus the year-earlier quarter to $61.89. This marked the fifth consecutive quarter AT&T has posted a year-over-year increase in postpaid ARPU. Postpaid data ARPU reached $20.13, up 21.9 percent versus the year-earlier quarter, and total postpaid subscriber revenues continued recent trends, with solid double-digit growth, reflecting increases in both voice and data.


Continued Strong Integrated Device Growth. Key drivers of wireless data growth are increased penetration of integrated devices (handsets with QWERTY or virtual keyboards in addition to voice functionality) and greater usage of 3G. The number of postpaid 3G integrated devices on AT&T's network increased by 3.3 million in the first quarter, the company's sixth consecutive quarter with an increase of more than 3 million. At the end of the quarter, approximately half of AT&T's 65.1 million postpaid subscribers had integrated devices, up from 31.9 percent one year earlier.


AT&T's first-quarter integrated-device growth included 2.7 million iPhone activations, with more than one-third of the activations for customers who were new to AT&T. The average ARPU for integrated devices on AT&T's network is 1.7 times that of the company's nonintegrated-device base, and with a high percentage of integrated device subscribers on FamilyTalk plans and through business relationships, churn levels for this category continue to run well below the company's nonintegrated-device base.


Wireless Margin Expansion. AT&T delivered substantial wireless margin expansion in the first quarter, driven by continued solid revenue growth, reduced churn, improved operating efficiencies and further growth in the company's base of high-quality subscribers. Wireless service revenues increased 10.3 percent to $12.8 billion in the first quarter, and total wireless revenues, which include equipment sales, were up 8.2 percent to $13.9 billion. First-quarter wireless operating expenses totaled $9.7 billion, up 3.8 percent versus the year-earlier quarter, and wireless operating income was $4.2 billion, up 20.4 percent. AT&T's wireless operating income margin was 29.9 percent versus 26.9 percent in the year-earlier first quarter, and AT&T's wireless OIBDA service margin was 44.5 percent, up from 42.5 percent in the first quarter of 2009.


Wireline Operational Highlights


Continued Strong Gains in AT&T U-verse TV and Integrated Services. AT&T U-verse TV subscribers increased by 231,000 in the quarter to reach 2.3 million, up approximately 1 million over the past year. The AT&T U-verse High Speed Internet attach rate continues to run well above 90 percent, and the AT&T U-verse Voice attach rate increased to approximately 75 percent in the first quarter. More than three-fourths of AT&T U-verse TV subscribers have a triple- or quad-play option from AT&T.


AT&T's U-verse deployment now reaches approximately 24 million living units. Companywide penetration of eligible living units is 13 percent, and across areas marketed to for 24 months or more, overall penetration exceeds 20 percent. AT&T's total video subscribers, which combine the company's U-verse and bundled satellite customers, reached 4.4 million at the end of the quarter, representing 16.9 percent of households served.


Rebound in Broadband Subscriber Growth. Driven by strength in AT&T U-verse High Speed Internet service, AT&T posted a 255,000 net gain in wireline broadband connections, the company's strongest quarterly net adds in a year. Total broadband connections, which include business and consumer wireline subscribers and wireless customers with 3G LaptopConnect cards, increased by 278,000 in the quarter to reach 17.5 million.


32.5 Percent Growth in Revenues from Consumer IP-Based Services. Increased AT&T U-verse penetration drove 32.5 percent year-over-year growth in consumer IP revenues (broadband, U-verse TV and U-verse Voice) and a 5.8 percent increase in revenues per household served. U-verse continues to drive a transformation in AT&T's consumer business, reflected by the fact that consumer IP revenues now represent 37.4 percent of AT&T's consumer wireline revenues, up from 27.8 percent in the year-earlier quarter.


Sequential Growth in Wireline Consumer Revenues. Growth in AT&T U-verse services also has helped drive steady improvement in the company's overall regional wireline consumer trends. In the first quarter, total consumer revenues increased 0.8 percent versus the fourth quarter of 2009 to $5.3 billion, the company's first sequential growth in this category in more than two years. Versus the first quarter of 2009, consumer wireline revenues declined 1.3 percent, marking the company's fourth consecutive quarter of improved comparisons in this category.


Improved Consumer Connection Trends. In the first quarter, AT&T also posted its smallest quarterly decline in total consumer revenue connections in a year -- reflecting increases in broadband, TV and VoIP (Voice over Internet Protocol) connections, which in large part offset expected declines in traditional voice access lines, consistent with broader industry trends. Combined wireline consumer TV and broadband connections increased by 456,000 in the first quarter and 1.5 million over the past four quarters. AT&T U-verse Voice connections increased by 191,000 in the quarter and 751,000 over the past four quarters. Total consumer revenue connections at the end of the first quarter were 45.0 million, compared with 46.8 million at the end of the first quarter of 2009 and 45.3 million at the end of the fourth quarter of 2009.


Emerging Signs of Stabilization in Business Markets. AT&T posted its best year-over-year business revenue comparisons in four quarters, reflecting continued solid sales performance and improvement in key economic metrics. Business long distance revenues increased sequentially for the first time in six quarters; company managed wireless disconnects and business access line trends both improved; and enterprise service revenues, which exclude CPE, were nearly flat sequentially. Total business revenues declined 5.2 percent versus the year-earlier quarter, and business service revenues, which exclude CPE, declined 4.8 percent.


14.9 Percent Growth in Strategic Business Services Revenues. Revenues from new-generation capabilities that lead AT&T's most advanced business solutions -- including Ethernet, VPNs, hosting, IP conferencing and application services -- grew 14.9 percent versus the year-earlier quarter, continuing AT&T's strong trends in this category.


Solid Growth in Business IP Revenues. Business IP data revenues grew 5.5 percent overall, led by 16.7 percent growth in VPN revenues. Global enterprise IP data revenues grew 9.4 percent. Approximately two-thirds of AT&T's frame customers have made the transition to IP-based solutions, which allow them to easily add managed services such as network security, hosting and IP conferencing on top of their infrastructures.


Reduced Wireline Operating Expenses. Led by improved consumer trends, total wireline revenues posted their smallest year-over-year decline in five quarters, down 4.6 percent. First-quarter wireline operating expenses totaled $13.7 billion, down 2.8 percent versus the year-earlier quarter and down 1.2 percent sequentially. Wireline operating income totaled $1.7 billion versus $2.1 billion in the first quarter of 2009 and $1.7 billion in the fourth quarter of 2009. AT&T's first-quarter wireline operating income margin was 11.1 percent compared with 12.7 percent in the year-earlier quarter and 11.2 percent in the fourth quarter of 2009.
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