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Big Need for MPLS-TP?

August, 2014

At the service providers across the globe, the most widespread and native selection is MPLS and not MPLS-TP. The former has broader acceptance, superior interoperability, and operational intimacy for the engineering folks. In Asia, particularly China, MPLS-TP has taken off in a big way. While some industry observers view that part of the world as exceptionally unpredictable and may suggest that “TP” could even be replaced, it seems that at least one of the large Chinese operators has such a critical mass of deployment that such a move is not imaginable. On its face, one would think customers should want to go with MPLS-TP over MPLS because the former is a newer version. Ordinarily, any supplier that would happen to start product development from scratch would definitely be inclined to begin in the “TP” direction. Theoretically, MPLS-TP should be a slam-dunk in a greenfield situation at ...

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BT Victim of Revisionist “All-IP” History

July, 2015

With neighboring service providers, Deutsche Telekom (DT) and Orange recently announcing aggressive schedules to migrate their networks completely to the Internet Protocol (IP), British Telecom has become the poster child of supposed laggards regarding moving away from the (Public Switched Telephone Network (PSTN). Indeed, the current characterization of BT was self-inflicted as no other service provider last decade came close to the promotional effort of its CN21. Yet, despite presently being described in the press as a leader in the transition to a network that aims to be 100% IP by the end of 2018, DT back in 2006 talked about its NGN plan to eliminate all of its circuit switches no later than 2012. Five other examples of off-the-mark predictions made by operators include: 1) It took until 2008 before NTT decided to correct the record on a widespread misunderstanding started four year ...

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Avago’s Spinoff of Optics in Short Term?

August, 2015

While for now, Avago Technologies will be preoccupied with the immense and time-consuming effort of its integration process with Broadcom, not too long afterwards, it would not be surprising if there would be a spin-off that would include a large number of the combined company’s optical networking assets. The progressive shift from a technology-focused firm to one that is more business-oriented should inevitably go beyond just making further sizable acquisitions, but to improve the balance sheet through aggressive divestment. Although KKR does not hold a stake in Avago anymore, we believe the supplier has been heavily influenced by the private equity firm’s modus operandi – purchase assets, find value, package parts, and sell off. One may easily presume that calling the merger, “Broadcom” instead of “Avago” probably has significance for its future technology direction. Within our industr ...

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AT&T/DirecTV: Epitome of Bellhead Ploy

November, 2015

While the industry narrative continues to push the illogical idea that AT&T is leading the pack internationally as a transformational player, the operator has seemed to be more concerned in remaining a copper service juggernaut. It appears to us that perhaps the most important, although not apparently stated reason for its acquisition of DirecTV, was to provide extra capacity for data transmission on its U-verse/DSL modems (to become more competitive with CATV providers) as the video services would now obviously be increasingly provided by satellite. One of the biggest ironies is that while incumbent providers have maintained their historical reluctance to move to new solutions offered by their equipment suppliers, they have no problem in overspending billions, if not tens of billions of dollars in purchasing companies to primarily, if not totally, bring in novel technology – only later ...

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Juniper’s Impulsive BTI Acquisition

February, 2016

Regardless of a news report of a very low purchase price for BTI Systems, and despite Juniper Networks’ contention about the acquisition “not [being] a new strategy,” the move is actually a watershed moment for the corporation, and it does not seem to reflect its historic reputation for investments in a deliberately thoughtful manner with regard to the long-term ramifications of such a purchase, as it is based more on short-term expediency to try to satisfy Wall Street investors now. There is a huge difference between “developing optical interfaces…on [its] routers” and delving totally into the optical systems space, which Juniper has previous avoided because of its lack of comfort level in getting too far beyond the IP piece. In addition, while the vendor’s assertion that the buyout will be quite targeted in “captur[ing] what [it] believe[s] are very significant market inflection points ...

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