TANDBERG Television Introduces Content Security for TV over IP

TANDBERG Television is adding enhanced content security to its iTTV delivery platform, which is aimed at telcos and network operators looking to deliver video-centric services such as subscription TV and video on demand over their DSL and FTTH broadband networks. The company's TV over IP head-end solution works in tandem with conditional access systems from Conax, Latens and Widevine. TANDBERG Television also plans to integrate its solutions with conditional access systems from VideoGuard and NDS.
http://www.tandbergtv.com

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Alcatel wins DSL expansion project in Vietnam

Vietnam Post and Telecommunication (VNPT), the incumbent national telecom provider, awarded a new DSL expansion contract to Alcatel. Under the first contract, VNPT used Alcatel technology to provide broadband access service to the southern cities of Binh Duong, Dong Nai and Ho Chi Minh City. The second contract enables VNPT to expand its service coverage in the central and southern regions, including the cities of Ba Ria Vung Tau, Can Tho, Hue, Da Nang, Khanh Hoa and Nghe An. The deployment uses the Alcatel 7300 ASAM.
http://www.alcatel.com

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NFOEC: Video delivery via DSL and FTTP

Switched digital video over DSL currently appears to provide a better return-on-investment (ROI) than competing architectures, according to Frank Wiener, VP of Business Development at Calix. Speaking at this week's NFOEC conference in Orlando, Florida, Wiener described an ROI analysis of video delivery over DSL and FTTP that his company has performed. Calix analyzed all 550 COs in Michigan to understand the revenues and costs involved in offering video services. Calix created a model to compare various architectures to deliver video over this existing network, and projected the incremental costs to change the network, as well as incremental revenues. In high density and moderate density COs, the results showed that the best Net Present Value (NPV) and lowest up-front cost came from the delivery of three channel switched video over DSL. The forecast assumes delivery of two standard definition channels and one HDTV channel. The analysis found that PON also provides a positive NPV, but requires more up front expense. In small COs, it was "difficult to make the numbers work" with either technology. Wiener added that if the delivery of more than one HDTV channel is important, it would make PON more attractive. He feels that FTTP holds great promise in high density markets, but their analysis found its return lower than further buildouts of DSL. Using a DSL network to deliver video initially, followed by a later transition to PON as customer requirements change, may make the most economic sense.


A CWDM overlay on an EPON system offers the advantages of the power splitting PON architecture combined with wavelength security and component economics of CWDM, according to Paul Dickinson of OFS. The architecture offers high capacity metro access combined with low cost PON for outside plant sharing, and allows service providers to offer dedicated wavelength services for businesses. OFS has demonstrated the compatibility of CWDM overlay with Gigabit PON access carrying both digital and analog transmission over distances of 20km. The test found that the CWDM approach saved up to 25% compared to DWDM and enabled the same service delivery.


Ross Halgren, VP Network Architecture for RBN agreed that CWDM and PON are complimentary. During the last ten years, fiber loops have been deployed closer to end customers in order to provide DSL. As a result, today fiber can often be split into greater numbers of PON access connections at the cabinet (64 instead of 32) because there is less loss from cabinet to customer. CWDM can be used to deliver a wide variety of services to the cabinet, from which the signal will be carried by PON to customers. Each CWDM wavelength can be used to deliver a different type of service and different protocol.


The delivery of analog video over a PON network is more challenging than delivering digital video, according to Frank J. Effenberger of Quantum Bridge Communications. Analog video overlay on PON is feasible with current technology, but the outside plant must be carefully designed and constructed to insure minimum loss variations. Multiplexed analog video is a fragile signal. Video overlay signals are generally quite strong, but they can result in overload, and the signal degrades as it passes through the network. In planning for analog, network planners must account for layout variations, and the loss introduced by individual components the signal will pass through.
http://www.convergedigest.com/blueprints/ttp03/default.asp

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France Telecom Divests Latin American Interests

France Telecom will sell its indirect interests in Telecom Argentina to W de Argentina, an affiliate of the Los W group, a leading Argentinean investment company for a consideration in cash of US$125 million.
France Telecom and Telecom Italia each hold approximately 34% of voting rights and a 25.5% economic interest in Nortel Inversora ("Nortel"), the holding company which owns 54.7% of Telecom Argentina's share capital.


Separately, France Telecom reached an agreement with America Movil for the sale of its 26% indirect interest in El Salvador's operator, CTE Salvador, for a net amount of US$217 million payable in cash at the closing of the transaction.


France Telecom said the sales were part of its rationalization strategy to focus on its core markets in France and the UK.
http://www.francetelecom.com

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London's Video Networks Chooses Alcatel for TV-over-DSL

Video Networks Limited (VNL) selected Alcatel for a video-over-DSL deployment that will be launching in Q2 2004. Under the contract, Alcatel will provide VNL with DSLAMs and support services enabling VNL to provide a full suite of broadband entertainment services including video on demand, broadcast TV and broadband internet data services. Specifically, VNL will use the Alcatel 7301 Advanced Services Access Manager (ASAM) and the Alcatel 5523 New Generation ADSL Work Station (NG AWS) Element Management System. The service initially will be available in London. The deal was valued at EUR 15 million.
http://www.alcatel.com
http://www.videonetworks.com/

• Video Networks was founded in 1992 and conducted early work with BT on the first video-on-demand trial in the UK in the mid 1990s

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Alcatel Teams with NDS on Broadband IP Entertainment

Alcatel agreed to promote and integrate a video content protection platform from NDS Group plc. as part of its Alcatel Open Media Suite solution for broadband entertainment. NDS's Synamedia system encrypts video content for secure, on-demand delivery. Alcatel's Open Media Suite consists of Video on Demand, broadcast TV and other broadband applications. Cyprus Telecommunications Authority, which is planning a triple-play residential service over DSL, was named as a first customer for the joint solution.
http://www.alcatel.com
http://www.nds.com

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RADVision Announces Gateway for Encrypted Videoconferencing

RADVISION introduced a new videoconferencing gateway with encryption capabilities designed for federal and military markets. The new platform, which is based on RADVISION's viaIP gateway, adds four serial interfaces for connecting to packet-based video conferencing networks. These serial interfaces enable connection to encryption devices, which are common in federal and military applications where high-quality videoconferencing is required over encrypted communication channels.
http://www.radvision.com

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HNS, a Broadband Satellite Operator, Joins Wi-Fi Alliance

Hughes Network Systems (HNS), which operates the DIRECWAY broadband satellite service, has joined the Wi-Fi Alliance. HNS is providing a Wi-Fi Access service that utilizes the nationwide DIRECWAY system as a backbone, complementing the terrestrial coverage of both 2.5 and 3G cellular carriers and other Wi-Fi hot spot providers.
http://www.hns.com
http://www.wi-fi.org/

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Ciena Signs Reseller and Investment Deals with Laurel Networks

Ciena entered into a reseller agreement to market, sell and support Laurel Networks' flagship ST200 Service Edge Router, which will be integrated into Ciena's LightWorks ON-Center Management Suite. Laurel's ST200 Service Edge Router is designed for service provider IP/MPLS backbones.


Separately, Laurel Networks closed a $20 million third round of funding, bringing total investment in the company to $102.3 million. The new participant in the third round is primary investor Ciena. This fund raising is inclusive of funds raised under a separate transaction between Optovation Corporation and Laurel Networks. Existing investors New Enterprise Associates (NEA), Trinity Ventures and Worldview Technology Partners also participated in this latest round of funding.
http://www.ciena.com

• In May 2003, Marconi announced plans to resell Laurel Networks' Service Edge Router as part of its networking solutions for U.S. federal government network operators and global service providers.

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Korean Data Center Deploys Juniper's T-series Routers

Korean Internet data center (KIDC) selected Juniper Networks' T-series routing platform to support a major network backbone upgrade at its flagship data center in Seoul. KIDC will use Juniper's T640 backbone core IP routing platform to support new major corporate customers. Financial terms were not disclosed.
http://www.juniper.net

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FCC Adopts Digital TV Plug and Play Standard for One-Way Cable

The FCC adopted rules for digital "plug and play" cable compatibility, paving the way for digital TVs to work on cable networks without set-top decoders. The new rules will permit TV sets to be built with "plug and play" functionality for one-way digital cable services, which include typical cable programming services and premium channels like HBO and Showtime. Consumers will have to obtain a security card (often called a "POD" or "cable card"), from their local cable operator, to be inserted into the TV set. Consumers will still need a set-top box to receive two-way services such as video on demand, impulse pay-per-view and cable operator-enhanced electronic programming guides.


The FCC noted that the industry continues to work on standards for two-way "plug and play" receivers that would eliminate the need for a set-top box to receive these advanced cable services.


Gary Shapiro, President and CEO of the Consumer Electronics Association (CEA), noted that 14 consumer electronics companies, representing the majority of HDTV sales in the United States, and seven major cable multiple system operators (MSOs), representing more than 75% of all cable subscribers, previously agreed to a memorandum of understanding that became the basis for the FCC action.
http://www.fcc.gov

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TI Establishes ADSL Test Lab

Texas Instruments has established a new InterOps Test Labs DSL interoperability program to help its customers accelerate operator qualification of products based on its chips. TI said that as operators upgrade and replace their infrastructure equipment, interoperability testing would ensure that new line cards work seamlessly with the DSL modems already being used by subscribers. The TI InterOps Test Labs DSL program has facilities in San Jose, California and Dallas, Texas and includes testing against more than 30 leading infrastructure line cards and over 250 unique DSL modems and routers with multiple code loads for each.


Separately, TI announced that over eight original design manufacturers (ODMs) in Asia are offering ADSL router products based on its R7 ADSL router-on-a-chip, which supports ADSL2, ADSL2+ and READSL (reach extended ADSL) to enable higher speeds and longer reach.
http://www.ti.com/dsl

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ECI Telecom Spins-off Celtro, Targeting Backhaul for Mobile Networks

ECI Telecom has spun-off its Celtro business unit, which provides transmission solutions for the backhaul of mobile networks. The new, independent and privately-held company will be known as Celtro Inc.


Celtro's team and core technology are descended from ECI's former NGTS Division, which developed digital circuit multiplication equipment and recently merged with NexVerse Networks to form Veraz Networks. The division developed and marketed the QuadCoder, an all-traffic compression system for the cellular network that is installed in live traffic systems worldwide. Celtro now offers this technology to cellular operators.


Momentum Management, a venture group specializing in the acceleration to profitability of technology companies, led the spin-off and successfully completed a round of investment from leading investors, including Genesis Partners, Cedar Fund and Discount Capital Markets. ECI Telecom will retain minority stake in the company.
http://www.celtro.com

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FCC to Review Unbundled Network Element Pricing Rules

The FCC will undertake a comprehensive review of the rules used to establish wholesale pricing of unbundled network elements (UNEs). Through a Notice of Proposed Rulemaking (NPRM), the FCC is seeking industry input on a proposal to make TELRIC rules more closely account for the real world attributes of an incumbent carrier's network. The NPRM reaffirms the 1996 decision to use a forward-looking cost methodology to determine UNE pricing. The FCC also seeks to simplify the process to make it easier for state commissions to set UNE prices.


FCC Chairman Michael Powell noted that "competition has taken root in many areas of the country," and said that "without the correct pricing signals in the market, our rules can thwart a central purpose of the Act, the development of facilities-based competition."


Commissioner Kevin Martin said he believes "that the prices for unbundled network elements should be based on the forward-looking replacement cost of the ILEC's network, rather than hypothetical assumptions contained in a cost proxy model."


Industry reaction included:


James C. Smith, Senior Vice-President, SBC Communications said he was "encouraged by the FCC's willingness to revisit this methodology. Adjusting the pricing formula to more accurately reflect real-world costs will benefit consumers with more real competition and encourage both incumbents and competitors to invest in network upgrades."


Susanne Guyer, senior vice president of federal regulatory affairs for Verizon Communications, said "Making sure that wholesale rates reflect real-world costs is long overdue. Making sure that carriers that lease parts of our network pay fair wholesale prices will help restore health to a sick sector of the economy."


Herschel Abbott, BellSouth's vice president of governmental affairs, said "the opening of this proceeding has the promise of leading, finally, to an economically rational pricing structure for the competitive telephone industry."http://www.fcc.gov

• TELRIC stands for Total Element Long Run Incremental Cost

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Sprint Refocuses Network Assets on Customer Segments

"Network planning must start with the customer in mind," said Len Barlik, VP - Technology Research and Development at Sprint, speaking at NFOEC in Orlando, Florida. Barlik argues that the network alone is not sufficient to provide a great service; instead resources must be focused on understanding what the customer really wants. This requires a change from a product-specific network to a customer-focused network. To this end, Sprint is consolidating various in-house assets, including network, IT and billing groups across its various divisions, into a single, customer-oriented organization. Currently, Sprint is organized according to asset group and products -- local telecommunications, global wireline voice and data services and wireless. Going forward the company will align its resources based on customer needs and preference. Len Lauer has just been appointed President and Chief Operating Officer of Sprint to oversee this transformation to serve two distinct market segments -- business and consumers.


As for network planning, Barlik said the new customer-oriented approach requires integration across all layers of its infrastructure (see below), from the customer premise equipment (CPE) up through access, transport, switching/routing, and signaling systems. Applications must ride seamlessly across any combination of different layers, resulting in "millions of possible service combinations, depending on the customer needs." Going forward, Barlik expects wireless access to play an increasing role for combined voice and data services.


Other recent developments at Sprint include the activation of two large fiber-optic rings spanning 180 miles throughout the Miami area. The Miami metro network is part of a nationwide Sprint initiative aimed at extending its fiber deeper into the metro areas of more than 30 U.S. cities before mid-2004. Other cities with newly active Sprint fiber networks announced this year include Kansas City, Minneapolis/St. Paul, Denver, Phoenix, St. Louis, San Francisco and Boston.
http://www.sprint.comSprint sees "millions" of possible service combinations by integrating the various layers of its networks.

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ADC and Sumitomo Electric Form Alliance for FTTP

ADC, Sumitomo Electric, and Preformed Line Products (PLP) have formed an alliance to provide an end-to-end solution for fiber-to-the-premise (FTTP) networks. PLP provides the access terminals and splice closures needed in any FTTX deployment. ADC delivers fiber connectivity equipment, including ACE hardened outdoor cabinets, fiber termination storage and splicing, and fiber connectorization. Sumitomo Electric provides fiber cable, feeder, distribution and drop cable along with optical components all connectorized with ADC products.
http://www.preformed.com
http://www.adc.com

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Level 3 to Launch Wholesale Hosted IP Telephony Services

Level 3 Communications is preparing to launch a wholesale, hosted IP telephony service aimed at the enterprise market, said Kevin O'Hara, president and COO of Level 3, speaking at this week's Morgan Stanley Global Media & Communications Conference in Boston. The service would let small and medium-sized companies replace their PBXs with a hosted, IP service with a list of advanced features. The "3Tones" service will be based on technology from Level 3's acquisition of Telverse earlier this year. O'Hara said the Telverse technology lets the company "go after a very large part of the existing voice business at a 30-40% discount to the best prices out there today and still enjoy margins consistent with what Level 3 expects."


O'Hara said two of the RBOCs have agreed to resell the service. The RBOCs would provide all customer-facing operations, but the key packet telephony intelligence would be hosted by Level 3. O'Hara expects Level 3 might eventually attract 20 to 25 resale partners for the service, each of which would have a customized version. Some other highlights of his presentation:

• Softswitched services represent 48% of Level 3's communications revenue



• IP and data services represent 25% of Level 3's communications revenue



• Transport & Infrastructure services represent 27% of Level 3's communications revenue



• Level 3 continues to look for acquisition opportunities and believes that its structure makes it a "natural consolidator for the industry." The strategy is to map all of the target company's traffic to the Level 3 network and then shut down the duplicative network and fiber facilities. This was the model used with Genuity.



• the company has reduced its debt load by $3 billion from its peak

http://www.level3.com

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AT&T Plans a Vonage-style Consumer VoIP Service

AT&T is currently testing a "bring your own access" consumer VoIP service similar to the Vonage model, said David Dorman, AT&T Chairman and CEO, speaking at this week's Morgan Stanley Global Media & Communications Conference in Boston. Dorman sees great potential in such an AT&T branded, consumer VoIP service because of the "many interesting voice features it could offer," like "pick your own area code," "phone number for life," and the ability to reach the service from anywhere over the Internet. Internal testing of the hosted VoIP service is underway at AT&T. Dorman expects these trials will be expanded soon.


Meanwhile, AT&T plans to significantly increase its consumer and business UNE-p presence nationwide. AT&T is currently serving 1 million small business phone lines and more than 3 million residential customers in 13 states, primarily using UNE-p facilities. The company will offer its "All In One" business plan and its residential "One Rate USA" bundled service in 35 states by year-end. Dorman credited recent technology improvements for greatly increasing its efficiency in selling UNE-p based services. In particular, Dorman said the company is able to more accurately target potential customers for its bundled plans. A full 90% of UNE-p customers choose the local + long distance bundle. AT&T set new records for consumer line additions in July and August. Other highlights from Dorman's presentation included:

• a corporate restructuring has reduced the layers of management at AT&T from 14 to 7. A full 40% of managers were asked to leave the company.




• The positive cash flow trend at AT&T remains strong and the company continues to pay off its debt. By the end of the year, the company will have $10 billion in long term liabilities, compared to $60 billion at the peak.




• Regarding the FCC's recently issued Triennial Review order, Dorman said he was "not at all surprised" that the RBOCs would continue the legal fight on UNE-p. He believes that most of the state public utility commissions will uphold UNE-p because "its good for competition." Dorman said the best argument in favor of UNE-p is that "the RBOCs have responded by lowering prices and becoming more creative in their service bundles -- all of which is good for consumers."




• On the broadband side of the FCC ruling, Dorman anticipates a new round of litigation because the "RBOCs got what they asked for, not what they wanted." Regarding potential FTTP deployments by the RBOCs, Dorman feels that the economics "must be pretty daunting, unless they can capture 30% or more of the video business," which he doubts.




• Regarding major mergers/acquisitions in the industry, Dorman expects a new wave of consolidation will help address the on-going supply vs. demand imbalance. He offered no predictions as to how or when the M&A process could get restarted.

http://www.att.com

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U.S. Wireless Carries Adopt 10-point Consumer Code

The Cellular Telecommunications and Internet Association (CTIA) published a 10-point code of conduct aimed at protecting consumer rights. Key points of the voluntary code are:


1. Disclose rates and terms of service to consumers

2. Make available maps showing where service is generally available

3. Provide contract terms to customers and confirm changes in service

4. Allow a trial period for new service

5. Provide specific disclosure in advertising

6. Distinguish carrier charges from taxes on billing statements

7. Provide customers the right to terminate service for certain changes to contract terms

8. Provide ready access to customer service

9. Promptly respond to consumer inquiries and complaints received from government agencies

10. Abide by policies for protection of customer privacy


Companies adopting the code include SprintPCS, AT&T Wireless, Nextel, T-Mobile USA and others.
http://www.ctia.org

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AT&T selects Lucent's Metropolis for Next Gen SONET

AT&T awarded a multi-year agreement to Lucent Technologies to supply its Metropolis DMX Access Multiplexer and Metropolis DMXtend Access Multiplexer for deployment in the AT&T intelligent optical network. The equipment enables AT&T to deliver a full range of SONET and Ethernet services, while leveraging their installed SONET infrastructure. Financial terms were not disclosed. Lucent Worldwide Services also is providing program management, engineering and installation services to AT&T.
http://www.lucent.com

• Lucent's Metropolis product family includes the DMX Access Multiplexer for central office and large enterprise applications, the DMXpress for customer premises applications, and a new DMXtend box for enterprise and loop access applications. All three systems provide metro Ethernet over SONET (EoS) using Generic Framing Procedure (GFP) and Virtual Concatenation technology.



• In June 2003, Lucent announced a contract to supply its Metropolis DMX Access Multiplexer to BellSouth.



• In February 2002, AT&T announced the integration of Cisco Systems' ONS 15454 SONET Multiservice Platform and the Cisco Transport Manager as key elements of its nationwide optical network buildout. AT&T is using the Cisco ONS 15454 to provide multi-service aggregation of lower-rate customer traffic up to high-speed (OC-48 or OC-192) pipes for routing across the network. AT&T said it would also use CIENA's CoreDirector optical switch as another key elements in its new intelligent optical network. AT&T is using the CoreDirector to carry traffic at a variety of bit-rates, from 45 Mbps to 10 Gbps, for provisioning services via point-and-click capability at both ends of the circuit.

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