Thursday, April 10, 2003

ITU TELECOM ASIA event Planned for Korea in 2004

The International Telecommunication Union (ITU) selected Busan, South Korea as the venue for the next regional Asia event - ITU TELECOM ASIA 2004 - to take place in the second half of 2004. Previous ITU TELECOM events for Asia all took place in Southern Asia (Singapore in 1985, 1989, 1993, 1997 and Hong Kong in 2000 and 2002).
http://www.itu.int

Marconi Supplies Web Payphones for Telefonica

Telefonica Telecomunicaciones Publicas SA, the public payphone division of Telefonica Spain, will deploy Marconi's web payphones as public information kiosks. The Marconi web phones are interactive, next generation public payphones that allow users to send e-mails and text messages and surf the Internet, as well as make telephone calls. They will be installed across Spain in public sites.
http://www.marconi.com

Ericsson Outsources IT operations to HP

Ericsson will outsource its entire IT operations worldwide to HP. Ericsson said the move will give it greater flexibility to adjust resources and expertise to meet fluctuations in its business and in the industry. The contract will include transfer of personnel at Ericsson Global IT Services (EGIS) to HP.
http://www.ericsson.com

Ericsson Reaches half million mark for MINI-LINK Microwave Radios

Ericsson has shipped over half a million of its MINI-LINK microwave radios for use in mobile, fixed and corporate networks globally. The MINI-LINK radios are used extensively in GSM networks. The latest addition for the Ericsson MINI-LINK portfolio is a 155 Mbps radio.
http://www.ericsson.com

DSL.net to Acquire TalkingNets' Assets

DSL.net agreed to acquire substantially all of the assets and subscribers of mid-Atlantic-based TalkingNets, an integrated communications provider that offers softswitch-based voice and data services to businesses. TalkingNets offers its customers a dedicated T-1 line with unlimited local calling, caller ID, voice mail and long-distance services. TalkingNets currently has business customers in Virginia, Maryland and Washington, D.C. DSL.net said the acquisition would enable it to layer a voice component onto its existing service offerings. Financial terms were not disclosed.
http://www.dsl.nethttp://www.talkingnets.com
  • In January 2003, DSL.net acquired the network assets and associated subscriber lines of Network Access Solutions Corp. (NAS), which filed for Chapter 11 bankruptcy protection in June 2002. NAS is based in Herndon, Virginia.


  • DSL.net ended Q4 2002 with 22,100 installed broadband subscriber lines.

TIA Publishes Fiber Testing Procedure Standard

The Telecommunications Industry Association (TIA) published a new test procedure (TIA-455-198) for measuring polarization dependence of insertion loss of single-mode fiberoptic components. The test procedure can be applied to any single-mode passive component, including connectors, splices, couplers, attenuators, isolators, switches, multiplexers and demultiplexers, optical amplifiers (non-operating), circulators and filters.
http://www.tiaonline.org

Swivel Develops a New Wireless Authentication Technology

Swivel Technologies, a start-up based in London, introduced a new authentication system that uses a mobile phone or PDA to confirm user identity. The Swivel M2F server protocol software provides a two-factor authentication on both second and third generation mobile networks as well as on the latest Java based cell phones. Two-factor authentication involves the use of something you know and something you have in order to confirm that "you are who you say you are." Swivel uses a 4-digit PIN as the "something" the user knows and a cellular mobile phone with a randomly generated, 10-digit security string as the "something" the user has.
http://www.swiveltechnologies.com

Hutchinson CAT (Thailand) Deploys Kabira/Motorola for Wireless Apps

Hutchison CAT Wireless MultiMedia, a joint venture between Hutchison Whampoa and The Communications Authority of Thailand (CAT), selected Motorola to implement a Network Enabling Services Platform for delivering high-speed wireless applications. Motorola's solution utilizes Kabira Technologies' Infrastructure Switch and OSA/Parlay Gateway. Wireless applications deliver messages to the Network Enabling Services Platform, which is responsible for delivering messages to the WAP Server, Short Message Service (SMS) Center, Multimedia Message Service (MMS) Center, and e-mail server. Financial terms were not disclosed.
http://www.motorola.com
http://www.kabira.com

Windows Server 2003 to Gain SIP Messaging and Presence Capabilities

Microsoft announced plans for a Real-Time Communications (RTC) Server, an instant messaging (IM) server that leverages Session Initiation Protocol (SIP) and SIP for Instant Messaging and Presence Leveraging Extensions (SIMPLE). The RTC Server and presence capability, which will be an add-on to Windows Server 2003, aims to provide corporations with better control over instant messaging. RTC Server will allow enterprises to log instant messages to help protect corporate privacy and intellectual property and help ensure regulatory compliance in certain industries. Availability is expected in Q3.
http://www.microsoft.com

WSJ: Microsoft and Lucent in Patent Battle

Microsoft and Lucent Technologies are engaged in an increasing complex legal battle over patents related to audio/video encoding and video display technology, according to The Wall Street Journal. Lucent has filed patent infringement suits against two Microsoft customers (Dell and Gateway), while Microsoft is seeking to have 13 Lucent patents invalidated.
http://www.wsj.com
http://www.microsoft.com

Telecom Industry Association Predicts 10% International Growth in 2003

The Telecommunications Industry Association (TIA) is predicting the telecommunications market outside the U.S. will grow 10.1% in 2003 to $1.4 trillion, reversing declines during 2001 and 2002. The TIA's 2003 Telecommunications Market Review and Forecast, an annual publication, found that Internet traffic continues to grow rapidly; the need at the enterprise level for high-speed data transmission continues to grow; and the demand for mobile connectivity for both voice and data is expanding. In Asia/Pacific markets, total telecommunications revenue is expected to reach $421.6 billion in 2003, up from $380 billion in 2002. The Asia/Pacific market is projected to grow at a 9.1% clip through 2006, according to the study. TIA said Japan continues to exhibit only modest market growth while China and India are growing rapidly. For example, in recent years, growth in subscribers of mobile phones in both China and India has exceeded 80% CAGR. Western Europe is expected to see revenue of $362 billion in 2003 -- up 5.8% over 2002.
http://www.tiaonline.org
  • The Telecommunications Industry Association (TIA) is predicting a 6.1% increase in spending in the United States on network transport services during 2003, achieving a total market size of $345.3 billion. Unlike 2002, TIA predicts growth will be positive across all transport services, and greatest in wireless services and specialized services such as high-speed Internet access. Local service revenues will expand by 5.8%, toll services will return to positive growth with a 1.7% increase, and wireless services will sustain 12% growth in 2003. Growth in high-speed Internet access will generate additional network traffic to sustain growth through 2006. TIA expects to see major infrastructure buildouts resume as service providers prepare for greater numbers of broadband subscribers. As a result, TIA expects the wireline network equipment and facilities market to expand by an 8.5% compound annual rate from 2003 to 2006, reaching $30.4 billion in 2006. The wireline network equipment market declined by 49% in 2002, according to TIA.

Wednesday, April 9, 2003

Foundry Networks Sees Growth in Q1 Results

Based on preliminary data, Foundry Networks expects net revenue for the quarter ended 31-March-2003 to be in the range of $89.0 million to $91.0 million, compared to $86.7 million for the previous quarter. The company also expects earnings per share for the first quarter will be in the range of $0.09 to $0.11. The company noted a book-to-bill ratio greater than 1.0 for the quarter and reported significant strength in federal government sales. Full results are expected 23-April-2003.
http://www.foundrynetworks.com

AMCC Announces Reduction in Workforce

Citing continued softness in its markets, Applied Micro Circuits Corporation (AMCC) announced another round of job cuts. At the beginning of 2003, AMCC had 912 employees in its worldwide workforce. By the end of 2003, it now anticipates having approximately 626 employees, a 31% reduction. The realignment, combined with consolidation of certain facilities and the previously announced closure of AMCC's wafer fab will reduce ongoing operating expenses by $35-40 million annually and fixed cost of sales overhead by $15-17 million annually.
http://www.amcc.com

Nokia Networks Announces Staff Reductions

Nokia Networks, the infrastructure arm of Nokia, will eliminate 1,800 staff positions as part of cost-cutting measures. Up to 1100 of the 1800 planned personnel reductions will be in Finland, while the remainder will be divided among other countries. The reductions will be made in R&D, operations, sales and marketing and in support functions. The company said it is determined to continue a leadership strategy in mobile networking.
http://www.nokia.com

Juniper Networks Report Q1 Revenue of $157.2 million

Juniper Networks reported first quarter revenue of $157.2 million, compared with $122.2 million for the same period last year and $155.3 million for Q4 2002. GAAP net income for the first quarter was $3.7 million or $0.01 per share, compared with a net loss of $46.0 million or $0.14 per share in the first quarter of 2002. Juniper's CEO, Scott Kriens, described the quarter's financial performance as "solid."http://www.juniper.net

Covad Adds 35,000 Net lines in Q1

Covad Communications added 35,000 net lines in Q1, bringing total lines in service on 31-March-2003 to more than 417,000 lines. Customer disconnections, or churn, averaged approximately 3.6% percent in the first quarter. Churn for the first quarter was affected by the migration of subscriber lines from a customer, Network Access Solutions (NAS), which is in bankruptcy proceedings. However, in January 2003, the bankruptcy court approved a transaction that provided Covad with the right to solicit customers previously served by NAS. Covad expects its churn rate will be reduced. The company ended the quarter with $178 million in cash.
http://www.covad.com

ITXC Rejects IDT's Acquisition Bid

The ITXC Board of Directors rejected IDT's acquisition proposal saying the offer was not in shareholders' best interests. ITXC noted that its cash and cash equivalents were approximately $1.70 per share at the end of the Q1 2003 and that its net book value per outstanding share exceeded $2.65 per share on 31-March-2003. Moreover, the company said its proprietary technology gives it a strategic advantage in international VoIP. ITXC Chairman and CEO Tom Evslin described the offer as "totally unacceptable." The ITXC Board also approved a Shareholder Rights Plan and declared a dividend of one Right on each outstanding share of ITXC common stock.
http://www.itxc.net

IDT Proposes to Acquire ITXC

IDT Corporation publicly announced a proposal to acquire ITXC Corp. in a stock-for-stock transaction that would provide a 15% premium to the stockholders of ITXC, based on the closing price of ITXC's common stock on 09-April-2003, which was $1.22. IDT said a merger could provide the sufficient scale for ITXC's operations to become cash flow positive much sooner than if it were to remain a separate company.
http://www.idttelecom.com
  • On 25-February-2003, IDT publicly announced a bid to acquire Global Crossing that would “at least�? match the offer submitted last August by the Hong Kong-based conglomerate Hutchinson Whampoa Ltd and state-controlled Singapore Technology Pte Ltd. The offer was rejected.


  • In July 2002, IDT announced unsolicited (and unsuccessful) bids to acquire two units of WorldCom: its MFS and Brooks Fiber units and its MCI consumer and small business long distance units. IDT valued the combined bids at $5 billion.

  • In December 2001, IDT acquired Winstar Communications for $42.5 million ($30 million in cash and $12.5 million in IDT Class B Common Stock). Other IDT acquisitions include major equity interests in Net2Phone and Talk America Radio Network.

Intersil Unveils Chip for Wireless AP + Router Designs

Intersil introduced a new WLAN access point chipset that eliminates the requirement for a separate network processor. The new design incorporates the functionality for 802.11g and includes an ARM9 microprocessor core. It could be used for AP and router implementations with either single port or multi-port Ethernet PHYs, and it supports Power over Ethernet (PoE).
http://www.intersil.com

BellSouth Deploys Alcatel DSLAMs in all South Carolina Cos

Alcatel will provide its 7300 ASAM DSL equipment to BellSouth to enable 100% DSL coverage for all of BellSouth's central offices in the state of South Carolina. BellSouth said actions taken by the South Carolina state legislature have created a favorable environment for the network expansion. Financial terms were not disclosed.
http://www.alcatel.com
http://www.bellsouth.com