Press Clippings: April 2008
Major Industry items you might have missed
Wednesday, April 30, 2008
Despite stellar customer list, Verso shuts down.
Source: TelecomWeb.
After burning through US$376.8m. trying to make a go of the VoIP and IP data business, IP-based voice-and-data-communications house Verso Technologies has thrown in the towel.
In its bankruptcy filing, disclosed yesterday in a filing with the SEC, Verso said it had been forced into bankruptcy because of “events of default” on its primary credit line, requiring it to come up with US$6.5m. immediately.
Posted by Judith — 4:46 AM
iPhone invades Canada.
Source: RCR.
Rogers Communications Inc., the largest carrier in Canada with 7.3 million subscribers, has announced that it will offer Apple’s iPhone to its customers later this year.
Rogers has about 37% of Canada’s approximately 20m. wireless subscribers and just reported robust profits, lower churn and an increase in ARPU, with a surge in data revenue.
Posted by Judith — 3:51 AM
Irish Broadband sold to Imagine for US$73m.
Source: TeleGeography.
NTR and Kilsaran Concrete have sold their Irish Broadband business to the communications group Imagine in a deal thought to be worth EUR47m. (US$73.3m.). As part of the deal, NTR and Kilsaran Concrete will take a 25% stake in Imagine. Imagine Communications provides fixed line, broadband and other telecoms services in the Republic via its Imagine, Gaelic Telecom, Access and Cinergi brandings.
Posted by Judith — 3:07 AM
Time Warner to announce cable spin-off.
Source: TeleGeography.
US media group Time Warner is set to announce the spin-off of its cable TV unit in a deal that could raise up to US$4bn. Time Warner Cable provides television, telephony and high speed internet services via its networks which pass 26.3m. homes in 33 states.
Posted by Judith — 3:01 AM
Tiscali faces break-up.
Source: BWCS.
BT and Vodafone are reported to be the main companies left in the bidding for the whole of Italian ISP Tiscali. The two UK companies are said to be keen to purchase the British parts of Tiscali’s operations as well as its Italian assets.
Posted by Judith — 2:42 AM
Tuesday, April 29, 2008
FCC reports on D-Block failure.
Source: TeleGeography.
The FCC has said high fees contributed to its failure to sell off the so-called ‘D-Block’ of frequencies in the recently completed auction of 700MHz spectrum. The D-Block set aside 10MHz of spectrum in the 700MHz band to be used to create a nationwide public safety network to help communications between emergency services. The network could also be used for commercial services. However, the auction attracted just one bid for the D-Block and that was well below the US$1.3bn. reserve price. A report from the FCC has found that the requirement for the winning bidder to pay annual lease fees was a major factor behind the failure to sell the spectrum.
Posted by Judith — 5:29 AM
Industry groups combine to boost WiMAX roaming.
Source: Telecoms.com.
Two industry associations, the WiMAX Spectrum Owners Alliance (WiSOA) and the Wireless Broadband Alliance (WBA) are pooling their resources to develop global roaming for WiMAX, as well as inter-standard roaming between WiMAX and wifi.
The WiSOA membership contains a number of WiMAX operators, including Cosmoline (Greece), Irish Broadband, Max Telecom (Bulgaria), UK Broadband, and Unwired (Austria).
WBA has developed the Wireless Roaming Intermediary eXchange (WRIX), which is primarily focused on supporting roaming between wifi operators. WBA members include BT, Korea Telecom, T-Mobile, Orange France, Swisscom and Tata Communications.
Posted by Judith — 5:14 AM
TelstraClear finds North Island partner.
Source: TeleGeography.
Australian-owned telco TelstraClear has formed a partnership with utility group Northpower which owns a fibre-optic network covering the region of Whangarei on New Zealand’s North Island. TelstraClear is owned by Australia’s Telstra and is New Zealand’s largest alternative wireline operator.
Posted by Judith — 4:33 AM
Yahoo talks to Jajah.
Source: Telecoms.com.
Web firm Yahoo! continued to develop its communications strategy this week, signing up internet telephony player Jajah to provide a premium voice service.
The Phone In and Phone Out service will enable Yahoo Messenger users to make PC-to-phone and phone-to-PC voice calls to more than 200 countries.
Posted by Judith — 3:39 AM
China Mobile to launch 3G.
Source: BWCS.
China Mobile has announced that it will launch 3G services based on China’s TD-SCDMA standard during this summer’s Beijing Olympics in August. At the end of March this year, China Mobile launched TD-SCDMA commercial trials in eight cities.
The giant Chinese operator will also launch a massive W-Lan network capable of serving 5 million users across all Olympic venues by the summer.
Posted by Judith — 3:14 AM
DoCoMo to merge eight regional subsidiaries.
Source: TeleGeography.
Japan’s leading mobile operator by subscribers, NTT DoCoMo, has announced plans to merge its eight wholly owned subsidiaries - Hokkaido, Tohoku, Tokai, Hokuriku, Kansai, Chugoku, Shikoku, and Kyushu - into the parent company by 1 July 2008. This is part of a corporate strategy aimed at meeting the demands of a changing mobile market by streamlining the group’s management structure.
Posted by Judith — 2:36 AM
Monday, April 28, 2008
Coffee boost for AT&T WiFi.
Source: BWCS.
AT&T has announced the start of its roll out of free WiFi services in 7,000 US Starbucks coffee houses. The move means that AT&T will take-over from T-Mobile as the primary supplier of WiFi in the cafe chain.
Posted by Judith — 5:56 AM
Mobile phone firms overcharge by GBP1bn. a year.
Source: TimesOnline.
The “big four” mobile phone companies have been accused of overcharging their customers by GBP1bn. a year with artificially high surcharges for calling between networks.
In evidence to be submitted to the Competition Commission next month, BT and 3, the mobile phone company, have also accused Ofcom, the telecoms regulator, of sanctioning the charge, which far exceeds the actual cost to the companies of connecting a call.
Posted by Judith — 3:22 AM
Freenet to buy debitel for US$2.54bn.
Source: The Register.
Hamburg-based internet access provider Freenet has agreed to buy telecom reseller debitel AG for EUR1.63bn. (US$2.54bn.)
With over 19 million customers the combined company will become the third largest mobile player on the German market, behind T-Mobile and Vodafone but outstripping E-Plus and O2.
Posted by Judith — 2:28 AM
Saturday, April 26, 2008
Cellular population explosion: India tops the U.S.
Source: TelecomWeb.
India has surged past the United States in the total number of cellular phones in use, moving into a distant second place behind China.
These estimates released by the Telecom Regulatory Authority of India give even more understanding to reports this week that AT&T is negotiating a multi- billion-dollar return to the Indian cellular market.
Posted by Judith — 4:05 AM
Friday, April 25, 2008
NextWave offers an alternative for those who lost out in FCC auction.
Source: TeleGeography.
Prompted by the large sums raised by the FCC’s 700MHz auction, NextWave plans to sell on a number of its own wireless licences. It is offering 223 licences from three blocks of spectrum: the Advanced Wireless Service licence in the 1.7GHz and 2.1GHz bands, the Wireless Communication Service licence in the 2.3GHz band, and Education Broadband Service and Broadband Radio Service licences in the 2.5GHz band. The three blocks of spectrum pieced together can cover 84% of the US.
Posted by Judith — 5:25 AM
Mobile phone trio agree internet project.
Source: FT.com.
Vodafone, the world’s largest operator by revenue, and China Mobile, the largest by number of customers, have announced a research project aimed at speeding the roll-out of mobile internet services. Softbank, Japan’s third largest mobile operator, is also part of the project, to be known as the joint innovation lab.
Posted by Judith — 4:25 AM
Reliance acquires eWave; plans US$500m.n investment in WiMAX.
Source: TeleGeography.
India’s Reliance Globalcom has announced it will invest US$500m. over the coming two years to build and acquire WiMAX networks in emerging markets in Asia, Europe, Latin America and Africa, as part of its acquisition of eWave World, a London-based telecoms company.
Posted by Judith — 3:37 AM
Thursday, April 24, 2008
Cable companies pull out of Sprint joint venture.
Source: Reuters.
Spokesmen for Comcast Corp, the leading U.S. cable operator, and Cox Communications have announced that they are pulling out of the two-and-half-year-old joint venture with Sprint Nextel and switching their mobile phone customers to a similar Sprint package.
Posted by Judith — 6:07 AM
I.B.M. and Tata Communications dig into Managed Security Services.
Source: NYT.
IBM and India-based Tata Communications have separately announced managed security services that pit the two as rivals in an increasingly global competition.
Tata Communications announced its first-ever push into managed security services. These include monitoring, maintenance and management of customer-premises firewalls, intrusion-detection and -prevention systems, unified threat management and host-based server IDS.
For its part, IBM, which expanded its managed-security-services base after acquiring Internet Security Systemstwo years ago, unveiled a similar suite of “Express” services tailored for midsize companies down to 50-person offices.
Posted by Judith — 2:50 AM
Wednesday, April 23, 2008
Apple buys chip designer.
Source: Forbes.com.
Apple has agreed to buy a boutique microprocessor design company called PA Semi. The company, which is known for its design of sophisticated, low-power chips, could spell a new future for Apple’s flagship iPhone, and possibly iPod products as well.
The decision to center the iPhone design around a chip that Apple could own marks a significant strategic choice by Apple Chief Executive Steve Jobs, and is aimed at ensuring Apple can continue to differentiate its flagship phone as a raft of competitors flood the market.
Posted by Judith — 4:25 AM
Microsoft unveils its web vision.
Source: BBC.
Microsoft has lifted the lid on a new web service called Live Mesh, designed to connect a multiplicity of devices and applications online.
The service is seen by many as a key plank in the company’s vision for the future of the web.
Live Mesh is designed to blur the lines between running software and storing data on a desktop and “in the cloud”.
Posted by Judith — 4:02 AM
O2 Germany and Huawei confirm expansion contract.
Source: TeleGeography.
O2 Germany has confirmed that Chinese vendor Huawei Technologies has been contracted to expand its mobile network. The two have struck a deal for both the replacement of O2’s existing base stations and the construction of more than 8,000 new GSM and UMTS transceivers, with the aim of increasing network coverage to over 99% of the German population.
Posted by Judith — 3:21 AM
FCC Chief says Comcast blocked traffic even during slow times.
Source: InformationWeek.
The chairman of the FCC has told Congress that it appears that cable TV company Comcast blocked Internet traffic even when its network wasn’t overloaded with traffic.
This testimony contradicted claims by Comcast.
Posted by Judith — 3:14 AM
Tuesday, April 22, 2008
BT to allow business customers to create own hotspots.
Source: TeleGeography.
BT Business Total Broadband customers may turn their premises into Wi-Fi hotspots, expanding the range of services they offer to customers and visitors, and potentially creating a new revenue stream. For the first time in the UK, businesses with a Total Broadband subscription can turn their connection into a BT Openzone wireless hotspot at no cost.
Posted by Judith — 5:30 AM
Motorola invests in VirtualLogix for real-time virtualization.
Source: Converge.
Motorola Ventures has made an equity investment in VirtualLogix, a maker of virtualization software for communications devices and infrastructure equipment.
VirtualLogix specializes in real-time virtualization for communications devices and equipment.
Motorola joins VirtualLogix’s current investors Atlas Venture, Cisco Systems, DFJ Esprit, Index Ventures, Intel Capital and Texas Instruments.
Posted by Judith — 5:27 AM
Hispanic-focused MVNO sells to APC.
Source: RCR.
APC Wireless has announced that it has closed a deal to purchase the recently bankrupt MVNO Movida Communications Inc. for an undisclosed sum.
APC purchased another regional MVNO, Liberty Wireless, earlier this year.
Posted by Judith — 4:12 AM
Monday, April 21, 2008
AT&T, Cisco tie up on video conferencing.
Source: Reuters.
AT&T and network equipment maker Cisco have announced that they will start selling a top-end video conferencing system together later this year, aiming to boost sales to multinational corporate clients.
Posted by Judith — 4:17 AM
Covad buyout completed.
Source: TeleGeography.
The private equity group Platinum Equity has completed its acquisition of US wireline operator Covad Communications. The US$417m. deal was first announced in October 2007 and was given regulatory approval towards the end of last month.
Posted by Judith — 4:03 AM
New mobile VoIP service to hit Japan early.
Source: BWCS.
Japanese wireless service company - Japan Communications is reportedly planning to launch what it refers to as an Internet mobile phone service by this July. The company will offer users a mobile phone service for a flat fee every month and will not charge any extra for calls placed the Internet.
The move by J-Com will come as another challenge to the established operators in a mobile market where competition is already fierce.
Posted by Judith — 3:46 AM
France Telecom ranks as largest IPTV Provider with 1.1m. subscribers.
Source: Converge.
FT currently ranks as the largest IPTV operator worldwide with 1.1m. subscribers, according to a new report. There were 9.9m. IPTV subscribers around the world at the end of 2007, more than double the previous year. Hong Kong’s PCCW has the most successful overall uptake, with more than 50% of broadband users taking the service.
Posted by Judith — 2:28 AM
Russia-Japan link to launch in June.
Source: TeleGeography.
An international cable link between Japan and Russia is set to be switched on in June. The 570km cable, which has been deployed by Japan’s NTT Communications and TransTeleCom of Russia at a cost of US$50m., connects Hokkaido and Sakhalin. The 640Gbps link is responding to increasing demand for high speed data transmission between Japan and Europe.
Posted by Judith — 2:09 AM
Saturday, April 19, 2008
Managers among 4,650 losing AT&T jobs.
Source: NYT.
AT&T has announced that it would eliminate the jobs of about 4,650 workers, trimming the managerial ranks in its home phone business after more than US$100 bn. in acquisitions.
The decision covers about 1.5% of the work force. The dismissals are in addition to the 10,000 announced with the US$86bn. purchase of BellSouth in December 2006.
Posted by Judith — 5:49 AM
Ebay considers sale of Skype subsidiary.
Source: FT.com.
Ebay will consider selling off its Skype internet phone subsidiary at the end of this year if it fails to find ways to use the fast-growing service to support its core e-commerce business, according to the company’s chief executive.
The comments are the most direct indication yet that Ebay is thinking of scrapping the ill-starred acquisition. It paid US$3.1bn, but wrote down the value of the business by US$1.4bn last year after concluding it would not match earlier hopes.
Posted by Judith — 4:58 AM
Friday, April 18, 2008
Qwest CTO on femtocells, open access and wireless broadband
Source: Telephony Online
As the only Bell carrier without a wireless arm, Qwest Communications can claim a unique intersection with the wireless world and a unique view of the technologies and trends now bridging the wireless and wireline worlds. In the first part of a two-part interview, Qwest’s Chief Technology Officer Pieter Poll explores this terrain, lending his views on a range of pertinent technology issues, including femtocells, open access, fixed-mobile convergence, wireless broadband and more.
Posted by Penny — 4:15 PM
City takes back Wi-Fi net it sold to EarthLink.
Source: NYT.
The city of Corpus Christi, Texas, has taken back ownership of the wireless mesh network it sold last year to EarthLink.
The deal with Corpus Christi could spark a flurry of activity as cities and Wi-Fi network operators reassess their often troubled relationships and work out new ones.
Posted by Judith — 4:06 AM
Vodafone sets Arcor price ceiling.
Source: TeleGeography.
It is reported that that the UK’s Vodafone Group is willing to pay up to EUR560m. (US$888.7m.) for the remaining shares in German subsidiary Arcor. Vodafone will offer between EUR300m. and 400m. to Deutsche Bahn for its 18% stake in the fixed line operator, and another EUR140m. to 160m. to Deutsche Bank, which owns 8%. The deal is expected to complete by the beginning of May at the latest.
Posted by Judith — 3:50 AM
FCC weighs dispute over network practices.
Source: Reuters.
The head of the FCC has stated that the agency would scrutinize whether broadband Internet providers were open with customers about how they are managing their networks and make good on the speeds they promise.
The FCC is looking into complaints from consumer groups that cable operator Comcast Corp has unreasonably blocked or hindered some file-sharing services, such as BitTorrent, that distribute TV shows and movies.
Posted by Judith — 3:09 AM
Thursday, April 17, 2008
Deadline set for expressions of interest in Tiscali sale.
Source: TeleGeography.
Tiscali, the telephone and internet service provider with operations in the UK and Italy, has set a deadline of 5 May for all parties to register their non-binding interest in the sale of the company. Those rumoured to be interested include Vodafone, BSkyB, Orange, Carphone Warehouse, Telecom Italia, Fastweb and Sky Italia. Many of the interested companies would like to buy either the Italian or UK units rather than both, but Tiscali’s board is expected to favour a single buyer for the entire operation.
Posted by Judith — 7:26 AM
Verizon sues Sprint Nextel over ongoing interconnection squabble.
Source: RCR.
Verizon has sued Sprint Nextel accusing the No. 3 mobile-phone operator of failing pay nearly US$10m. in interconnection charges.
“Verizon has repeatedly attempted to resolve this dispute short of litigation,” the suit stated. “Yet these attempts, made over many months and through both written and personal communications, have been fruitless. Accordingly, Verizon has been forced to seek relief from this court.”
Verizon said the money owed by Sprint Nextel is for services in mostly eastern states that are subject to tariffs filed with the FCC.
Posted by Judith — 4:41 AM
Ofcom ponders future of fast net.
Source: BBC.
Super-fast broadband could be delivered via the underground pipes of the UK’s water and electricity companies, regulator Ofcom has said.
It is conducting a survey of the UK’s ducting network to see its suitability for carrying fibre networks.
Some companies in the UK and France already offer fast broadband via the sewers.
Ofcom also wants to see the three million homes earmarked to be built in the UK by 2020, fibre-enabled.
Posted by Judith — 3:33 AM
Wednesday, April 16, 2008
Microsoft shakes up Danger.
Source: Telecoms.com
Microsoft has completed its acquisition of mobile company Danger and has immediately set about restructuring the firm.
It has been revealed that Danger, creator of the Sidekick/Hiptop gadget and its associated software, will become a part of the new Premium Mobile Experiences team, a group within the Mobile Communications Business at Microsoft.
Posted by Judith — 3:52 AM
Shyam allocated 800MHz frequencies in eight circles.
Source: TeleGeography.
Shyam Telelink, a subsidiary of Russia’s Sistema, has announced that it has received 800MHz frequencies in eight Indian circles. Together with the frequencies already obtained Shyam will be able to start building a CDMA network in twelve circles, giving it coverage of around half of the territory of India.
Posted by Judith — 3:07 AM
O2, Carphone Warehouse slash iPhone price.
Source: FT.com.
O2 and Carphone Warehouse have cut GBP100 from the cheaper model of Apple’s iPhone, fuelling speculation that a 3G version of the device will be released this summer.
The move by O2 follows discounting by T-Mobile in Germany earlier this month, with France Telecom’s Orange expected to cut its iPhone prices soon to clear stocks ahead of a much-rumoured 3G device.
Posted by Judith — 2:29 AM
Jaxtr offers free texting between 38 countries.
Source: Reuters.
Jaxtr, a Silicon Valley startup that lets users bypass a carrier’s international phone charges via the Web, has announced that it is offering free mobile phone text messages between 38 countries.
Jaxtr members can use a simple Web form to send a text message to a mobile phone in any of the supported countries, which include the United States, Britain and Brazil.
Posted by Judith — 1:57 AM
Tuesday, April 15, 2008
Nokia, Ericsson and others in mobile tech agreement.
Source: Reuters.
A number of the world’s largest technology companies agreed to commit to a licensing framework for their patents for the emerging mobile network technology known as Long Term Evolution (LTE).
The companies, which include the world’s largest cellphone maker Nokia and top mobile network gear maker Ericsson, stated that they were aiming to boost take-up of the new technology by agreeing to license their patents on fair and reasonable terms.
The group also included Alcatel-Lucent, NEC Corp, NextWave Wireless, Nokia Siemens Networks and Sony Ericsson.
Posted by Judith — 4:41 AM
Cubans line up for their first cellular phone lines.
Source: Reuters.
Hundreds of Cubans lined up at state-owned telephone offices on Monday to buy cellular phone services previously available only to government officials and foreigners.
Cuban telecommunications monopoly ETECSA, a joint venture in which Telecom Italia has a 27% stake, announced last month that it would begin selling the service to Cubans. It said the income would be used to expand land lines, where Cuba has the sixth lowest density in Latin America.
Posted by Judith — 4:37 AM
FCC sides with Verizon.
Source: Light Reading.
The enforcement bureau of the FCC has recommended that the agency deny a complaint by three major MSOs alleging that Verizon was using illegal methods to retain phone customers.
The bureau also recommended that the FCC promptly issue a Notice of Proposed Rulemaking regarding “consumer and competitive benefits of retention marketing practices.”
Posted by Judith — 3:40 AM
Ericsson signs GSM agreements worth US$1.44bn.
Source: TeleGeography.
Ericsson has announced that it has signed GSM expansion framework agreements with China Mobile and China Unicom valued at about US$1.3bn. and US$140m. respectively. Under the agreement with China Mobile, Ericsson will be one of the main suppliers of core and radio network equipment, along with related technical support and services, to expand GSM/GPRS coverage and capacity in 19 regions across China. Under the agreement with rival China Unicom, meanwhile, Ericsson will be the main supplier and help expand GSM networks in ten regions across China, including Beijing where Ericsson has previously not been a supplier.
Posted by Judith — 2:56 AM
ICO successfully launches G1 satellite for mobile tv.
Source: Converge.
ICO Global Communications has announced the successful launch of its North American geosynchronous satellite, ICO G1 the largest commercial satellite ever launched. The ICO G1 satellite will operate in the 2 GHz S-band and will provide coverage to the United States and most of North America.
Posted by Judith — 2:41 AM
Tata Communications expands VPN services to Egypt.
Source: TeleGeography.
Tata Communications has announced the expansion of its Global VPN service to Egypt through a partnership agreement with Telecom Egypt’s TE Data arm. The pair have interconnected their respective MPLS infrastructures, setting up multiple redundant network-to-network interconnection points between the two companies, connecting Tata Communications’ European and Indian network hubs with TE Data’s facilities in Egypt.
Posted by Judith — 2:39 AM
Monday, April 14, 2008
STMicroelectronics and NXP merge wireless businesses.
Source: Converge.
NXP — the independent semiconductor company founded by Philips — and STMicroelectronics have agreed to combine key wireless operations to form a joint-venture company serving handset manufacturers. The companies said their joint effort will have the scale to better meet customer needs in 2G, 2.5G, 3G, multimedia, connectivity and all future wireless technologies. It will rank as a top-three industry player, with combined revenue of US$3bn. in 2007.
Posted by Judith — 4:39 AM
AOL lands Verizon advertising deal.
Source: Reuters.
Time Warner Inc’s AOL landed one of its biggest advertising deals since the division’s restructuring as the sole representative of telephone company Verizon’s online advertising inventory.
The timing of the announcement is ironic as Verizon sued Time Warner Cable Inc last week accusing the majority-owned cable TV operator of false advertising related to Verizon’s FiOS high speed Internet and television service.
Posted by Judith — 3:13 AM
Orange teams with Eutelsat, adding satellite TV component to its Livebox.
Source: Converge.
Orange will use Eutelsat’s HOT BIRD and ATLANTIC BIRD 3 satellites to broadcast the TV component of its triple play offer to households not accessible via ADSL. Orange will supply a new decoder interfacing with its livebox to enable the satellite-delivered Orange TV signal to be bundled with Internet access and telephony.
Posted by Judith — 2:40 AM
Saturday, April 12, 2008
Australia requests bids for US$8.8bn. broadband network.
Source: Reuters.
The Australian government has called for bids for a A$9.4bn. (US$8.8bn.) high-speed broadband network that will help the country catch up in competitiveness with its peers.
Posted by Judith — 4:07 AM
Friday, April 11, 2008
Texas features in AT&T spending plans.
Source: TeleGeography.
AT&T plans to invest nearly US$200m. adding 102 new base stations in Texas and rolling out its high speed wireless data service to Austin, Bastrop, Brenham, Canyon Lake, and Lockhart. The company also intends to expand its 3G network, which currently covers nearly 350 cities across the country, into new markets.
Posted by Judith — 4:57 AM
BT Conferencing to acquire Wire One Holdings Inc.
Source: BTplc.
BT has announced that it has agreed to acquire Wire One Holdings Inc., one of the leading providers of videoconferencing solutions in the United States. It is intended that Wire One will form the core of BT Conferencing’s video services unit.
Based in Denver, Colorado, Wire One employs over 350 professionals across the US and Europe and provides products and services to over 8,000 customers.
Posted by Judith — 3:36 AM
European court rejects Deutsche Telekom appeal against 2003 fine.
Source: TeleGeography.
The European Court of First Instance (CFI) has upheld in its entirety a 2003 EC decision to impose a EUR12.6m. (US$19.9m.) fine on German incumbent DT for abusing its dominant market position.
Posted by Judith — 3:32 AM
Telecom New Zealand to invest over NZ$1bn.
Source: TeleGeography.
Telecom New Zealand has unveiled a five-year plan to reverse the company’s fortunes. It is forecasting large capital expenditure of up to NZ$1.1bn. (US$943m.) in the financial year to 30 June 2009 to stem the decline and provide for long term growth. Spending priorities include building an IP platform to create a lower cost operating model and large scale investment in FTTN and a new 3G mobile network.
Posted by Judith — 3:19 AM
Thursday, April 10, 2008
FCC approves emergency alert text-messaging system.
Source: CNN.
Cell phone users will get text message alerts of emergencies under a new nationwide alert system which has been approved by the FCC.
An emergency text message would be sent in the event of a widespread disaster, severe weather or child abduction.
T-Mobile, Verizon, Sprint Nextel and AT&T have all stated that they would be likely to opt into the alert system.
Posted by Judith — 4:27 AM
Tata loses appeal against FLAG.
Source: Light Reading.
Tata Communications Ltd. is considering another appeal in its ongoing battle with FLAG Telecom Ltd. over access to a submarine cable landing station in India, after the district court of The Hague this week upheld an earlier decision by an arbitration panel in favor of FLAG.
The company had challenged a 2006 ruling by the International Chamber of Commerce’s arbitration tribunal that FLAG Telecom has the right to access the Mumbai cable landing station controlled by Tata.
Posted by Judith — 3:44 AM
Google and Yahoo to share web ads.
Source: BBC.
Yahoo and Google have announced a two-week experiment that will see them share advertising space.
During the pilot, Google will be able to place ads alongside 3% of search results on Yahoo’s website.
Analysts say the move is designed to frustrate Microsoft, which has offered to buy Yahoo for US$44.6bn. (GBP22.6bn.), or extract a higher offer.
Posted by Judith — 3:17 AM
Vodafone UK and BT in new managed access agreement.
Source: BTplc.
Vodafone UK and BT have announced a new five year managed network solutions agreement that will see BT Wholesale provide and manage high speed connectivity between Vodafone’s UK base stations and its core national network.
Posted by Judith — 3:03 AM
Wednesday, April 9, 2008
North American FTTH connections reach 3m.
Source: Converge.
The Fiber-to-the-Home Council has reported that 11.8m. homes in North America are now passed by fiber-optic cables and 10m. can now be connected, while nearly 3m. already have service on fiber all the way to the home. In total, about 10% of all North American homes are passed by fiber cables, with FTTH growth running at 97% annually.
Posted by Judith — 5:48 AM
Nokia to pay US$314m. to close German plant.
Source: NYT.
Nokia has announced that it has agreed with worker representatives on a US$314m. (EUR200m.) plan to soften the blow from its closure of a factory in Germany.
The company was heavily criticized by German unions and politicians when it stated that it planned to close the plant in Bochum in the industrial Ruhr region at a likely cost of 2,300 jobs.
A ”transfer company” will be set up to help affected staff for one year.
Posted by Judith — 4:50 AM
Cisco wraps up Nuova.
Source: Light Reading.
Long thought to be a Cisco Systems spin-in project, Nuova Systems is becoming part of the big company, joining Cisco’s grand vision for a future, virtualized data centre.
Cisco is acquiring the the 20% of Nuova that it doesn’t already own. The deal, expected to close by July, will be worth up to US$678m. depending on how well Nuova does between now and late 2011.
Posted by Judith — 3:49 AM
Amdocs provisions US$45m. for JacobsRimell.
Source: Light Reading.
Amdocs will solidify its presence in the cable broadband sector after putting up US$45m. for privately held OSS and provisioning specialist JacobsRimell Ltd.
The deal will solidify Amdocs’s business ties to Comcast as both firms have deployment deals with the largest U.S. cable MSO.
Posted by Judith — 3:46 AM
Telstra’s new submarine cable lands in Sydney.
Source: TeleGeography.
Telstra and Alcatel-Lucent have demonstrated a new 9,000km submarine cable that will dramatically increase internet capacity between Australia and the US. The new cable, which will be landed at Tamarama Beach in Sydney this week, can be scaled up to 1.28Tbps capacity between the two countries.
Alcatel-Lucent began laying the cable between Sydney and Hawaii earlier this year. Work will continue to lay the cable across the Pacific Ocean to Hawaii, and the cable will be operational by the end of 2008. From Hawaii the cable will interconnect with the new Asia America Gateway cable and other existing cables providing direct access to the mainland United States.
Posted by Judith — 3:43 AM
CMPak becomes Zong.
Source: TeleGeography.
China Mobile Communications Corporation has announced that it has relaunched its Pakistani subsidiary CMPak (formerly Paktel) under the brand name Zong. China Mobile claims to have already invested US$860m. in the Pakistani operator, with a further US$800m. set aside for 2008.
Posted by Judith — 3:40 AM
Tuesday, April 8, 2008
Nokia to open research centre in Switzerland.
Source: Reuters.
Nokia has announced that it will establish a research center in Lausanne, Switzerland, in collaboration with two Swiss federal institutes of technology.
The centre, due to open in June, will focus on pervasive communications — services and applications that use information from the user’s surroundings or personal preferences.
Posted by Judith — 5:26 AM
Google defends user data policy after EU report.
Source: Reuters.
Google has defended a policy of retaining data on Web users for up to 18 months as necessary to improve search results, responding to an EU report that saw no need for search services to keep personal data beyond six months.
A group of data protection commissioners from across the European Union found that computer Web addresses and cookie monitoring are personal information that search services should do more to protect.
Posted by Judith — 4:28 AM
Rogers’ Portable Internet reaches 152 communities.
Source: TeleGeography.
Rogers Communications has announced that its Portable Internet wireless broadband internet service has expanded its coverage to 55 additional communities to reach 152 urban and rural locations across Canada, completing the rollout conditions of its spectrum licence. The footprint includes 56% of the Canadian population and 45 cities.
Posted by Judith — 4:05 AM
WiMAX in the Pipeline.
Source: TeleGeography.
Boston-based wireless broadband operator Pipeline Wireless says it has been granted a national licence to offer WiMAX services in the 3.65GHz band. The firm currently uses pre-WiMAX technology to offer wireless broadband services to business users across 2,100 square miles of eastern Massachusetts.
Posted by Judith — 4:00 AM
Hughes initiates commercial service on SPACEWAY 3 satellite.
Source: Converge.
Hughes Network Systems has activated its first “HughesNet” consumer subscriber for broadband Internet service utilizing its SPACEWAY 3 satellite.
Launched by Arianespace in August 2007, the geostationary SPACEWAY 3 satellite offer 10 Gbps of gross capacity, making it the highest traffic-carrying satellite to be brought into service in North America.
Posted by Judith — 3:46 AM
Monday, April 7, 2008
Yahoo rejects Microsoft’s latest advance.
Source: FT.com.
Yahoo has issued a further rejection of Microsoft’s US$42bn. approach for the internet pioneer, describing its threat to take its offer direct to shareholders as “counterproductive” and inconsistent with its claim to want a friendly transaction.
The letter from Yahoo’s board to Steve Ballmer, chief executive of Microsoft, was released after the weekend publication of a letter from Mr Ballmer signalling the software group’s impatience at the lack of progress since it made its approach public on January 31.
Posted by Judith — 8:27 AM
Europe clears mobiles on aircraft.
Source: BBC.
The use of mobiles on planes flying in European airspace is being backed by the European Commission.
The decision means that mobiles could be used once a plane has reached an altitude of 3,000m or more.
It follows six months of consultation by the European regulator and the first services could launch next month.
Posted by Judith — 7:54 AM
Kordia to deploy New Zealand’s second international link.
Source: TeleGeography.
The state-owned New Zealand telco Kordia has signed a deal to lay an undersea cable link between New Zealand and Australia. Kordia will work with Pipe Networks of Australia to deploy the trans-Tasman cable link. The new cable will be the first competition for New Zealand’s existing international cable connection, the Southern Cross Cable Network, which is part-owned by Telecom New Zealand. The new 240Gbps cable will connect into a link between Sydney and Guam which is currently being laid by Pipe networks.
Posted by Judith — 7:52 AM
Ofcom gears up for big spectrum sale.
Source: Telecoms.com.
Ofcom has confirmed plans for the UK’s largest ever single release of radio spectrum, expected to be prime real estate for advanced wireless broadband services.
The regulator said it intends to release the spectrum in the 2010-2025MHz and 2500-2690MHz bands, more commonly known as 2.6GHz band, on a technology and service neutral basis.
A total 205MHz will be made available and the auction process is expected to start in the summer.
Posted by Judith — 6:59 AM
Saturday, April 5, 2008
China wins as Nortel revamps R&D.
Source: TelecomWeb.
Nortel is reorganizing its 12,000-person, US$1.7bn. R&D operations worldwide after admitting it has been wasting nearly 50% of its R&D budget on “late- lifecycle products.”
This restructure will elevate its China R&D unit to a level second only to company headquarters in Ottawa, Canada.
Posted by Judith — 4:48 AM
Ban on I.B.M. lifted.
Source: NYT.
The government has lifted a week-old ban that prevented I.B.M. from getting new federal contracts in exchange for an agreement from the company to drop its protest of an US$84m. Environmental Protection Agency contract it lost last year.
Posted by Judith — 4:40 AM
iPhone price, with plan, cut to US$155 in Germany.
Source: NYT.
Germans can now get an iPhone for just EUR99 (US$155), a big departure for the Apple phone which hasn’t been subsidized by operators before. This will also fan the flames of rumors about an imminent new 3G model.
Posted by Judith — 4:04 AM
Friday, April 4, 2008
Google mulls next moves on U.S. wireless networks.
Source: Reuters.
Google has confirmed that it has been an active bidder in recent U.S. auctions for licenses to create a national wireless network and that it will weigh in as regulators set new rules.
In a statement, the company said it planned to remain active in rule-making by the U.S. FCC that will govern how Verizon Communications, the winning bidder for the “C Block” of nationwide wireless spectrum, will operate its network.
Posted by Judith — 5:15 AM
Moto cuts 2,600 more jobs.
Source: Light Reading.
Motorola, which began this year with 66,000 employees, is set to cut another 2,600 employees from its rolls.
Severance costs will add up to US$113m., but Motorola will gain US$9m. back from “accruals from prior periods that are no longer needed.”
It is reported that the layoffs will be spread across all three of Motorola’s business segments. This will bring the company’s layoff tally to more than 10,000 during the past 15 months.
Posted by Judith — 4:08 AM
Qualcomm’s new 700 MHz licenses to double its FLO TV spectrum.
Source: Converge.
In the FCC’s recent 700 MHz spectrum auction, Qualcomm won eight licenses at a total cost of US$558.1m. Specifically, Qualcomm purchased licenses in the E block covering the Boston, Los Angeles, New York City, Philadelphia and San Francisco Economic Area regions. These licenses double Qualcomm’s 700 MHz spectrum holdings throughout a footprint of more than 68m. people in 28 individual markets for MediaFLO USA’s “FLO TV” service at a cost of US$554.6m. In addition, Qualcomm purchased three licenses on the B block at a cost of US$3.5m.
Posted by Judith — 3:28 AM
MTS makes US$1bn. bid for SMARTS.
Source: TeleGeography.
It is reported that the Russia’s largest mobile operator, Mobile TeleSystems (MTS), has made an offer worth about US$1bn. to buy the Volga-based mobile operator SMARTS.
SMARTS currently provides digital cellular services in 16 Russian regions covering approximately 34m. people. It claimed around four million subscribers at the end of 2007.
Posted by Judith — 3:08 AM
KPN’s Telfort unit facing EUR40m. fine for not using UMTS frequency.
Source: TeleGeography.
Dutch incumbent KPN has been cautioned by the agency responsible for the management of the radio frequency spectrum in the Netherlands, that it faces a fine of up to EUR40m. (US$62.5m.) if it fails launch UMTS services soon. Telfort paid EUR434m. for a 3G licence in 2000 subject to it agreeing to launch UMTS services within seven years.
Posted by Judith — 3:00 AM
Thursday, April 3, 2008
Sprint will miss April date for WiMAX launch.
Source: TeleGeography.
Sprint Nextel has had to delay the planned launch of its Xohm WiMAX service, largely because of problems setting up internet links behind the WiMAX part of the network. Barry West, CTO of Sprint and head of the Xohm business unit, stated that what was holding Sprint back is simply the logistics of building the network, and specifically the problem of provisioning backhaul connections to the internet.
Posted by Judith — 6:11 AM
AriaDSL and BT Italia team for WiMAX.
Source: TeleGeography.
The Italian WiMAX licensee AriaDSL has formed a partnership with local business services provider BT Italia which will see the two companies working together to develop WiMAX technology and services for the Italian market.
Posted by Judith — 4:00 AM
IBM barred from new federal business.
Source: FT.com.
IBM has been barred from taking on any new federal government business in the US following allegations of misconduct over a contract it had been pursuing with the Environmental Protection Agency.
Posted by Judith — 3:11 AM
Wednesday, April 2, 2008
FCC chairman to oppose Skype open-network petition.
Source: Reuters.
The FCC chairman has stated that he is proposing to dismiss a petition from Web-based phone service Skype to force open wireless networks.
Martin said he would circulate a proposal among the four other FCC commissioners dismissing the petition which Skype, a unit of online auction leader eBay Inc, had filed a little over a year ago with the communications regulator.
Posted by Judith — 5:06 AM
Motorola to stop Singapore mobile phone production.
Source: Reuters.
Motorola has announced that it will stop making mobile phones in Singapore by the end of the year, a move that will result in the loss of 700 jobs.
The U.S. firm will continue to base its headquarters for Asia-Pacific in Singapore where it also has units engaged in research and software development
Posted by Judith — 4:57 AM
Indian company goes after Motorola phone business.
Source: BWCS.
Indian company Videocon is reported to be planning to make a bid to buy Motorola’s handset business.
The US handset and mobile equipment maker announced last week that it intended to divide itself into two publicly traded companies next year.
Posted by Judith — 4:10 AM
BT advert trials were ‘illegal’.
Source: BBC.
Trials of an online ad system carried out by BT involving more than 30,000 of its customers were potentially illegal, says a leading digital rights lawyer.
BT has said it trialled a prototype of Phorm, which matches adverts to users’ web habits, in 2006 and 2007.
The company did not inform customers that they were part of the trial.
Posted by Judith — 3:34 AM
Sprint extends WiMAX ecosystem.
Source: TeleGeography.
Sprint Nextel has unveiled further partnerships with suppliers to support its forthcoming launch of mobile WiMAX services. It has announced a series of deals with wireless device manufacturers and service developers and is also preparing to launch an application developer program which will allow third party programmers to create new products for Sprint’s Xohm WiMAX network.
Posted by Judith — 3:12 AM
Government cancels AU$958m. funding for OPEL broadband project.
Source: TeleGeography.
The Australian government has cancelled a AU$958m. (US$871m.) funding agreement with OPEL Networks for the construction of a broadband network for the country’s rural and regional areas. The government terminated the agreement on the basis that the network plan did not satisfy the prescribed coverage requirements. The partners behind OPEL, the Elders-backed Futuris Corp and SingTel’s Optus, secured the funding agreement with the previous Howard government in June last year.
Posted by Judith — 3:05 AM
Tuesday, April 1, 2008
AT&T, EDS & DT win Shell contract.
Source: TelecomWeb.
AT&T, EDS and Deutsche Telekom subsidiary T-System are sharing a US$4.2bn., five year telecommunications and IT outsourcing contract from Royal Dutch Shell which will be AT&T’s biggest order outside of the U.S. and one of the biggest telecom managed services orders ever.
Under terms of the orders, starting July 1, AT&T will take over Shell’s worldwide network and telecommunications needs, T-Systems hosting and storage, and EDS end user computing services and operational integration of the infrastructure services.
Posted by Judith — 4:44 AM
Telecom New Zealand divides.
Source: TelecomWeb.
The New Zealand government has approved a plan to carve Telecom New Zealand into three pieces, ending the once state-owned company’s virtual telecoms monopoly. The company will be split into wholesale, retail and network units.
Posted by Judith — 3:19 AM
Microsoft co-founder joins wireless race.
Source: The Globe and Mail.
The Canadian wireless spectrum auctions took a surprising twist yesterday as Niagara Networks Inc. withdrew its application and another player revealed tech legend Paul Allen is backing its bid.
Mr. Allen, Microsoft Corp.’s co-founder, emerged as the backer behind John Bitove’s Data & Audio-Visual Enterprises Wireless Inc.
There are now 27 companies planning to bid for the spectrum, many of whom hope to acquire the airwaves that Ottawa is setting aside just for new entrants.
Posted by Judith — 3:16 AM
Sprint loses court battle with affiliate.
Source: TeleGeography.
An appellate court in Illinois has upheld a lower court ruling that Sprint Nextel should cease marketing iDEN services under the Nextel name in parts of the Midwest. The decision supports a case filed by Sprint affiliate iPCS, which says it has an agreement with Sprint under which Sprint cannot offer services in iPCS territories.
Posted by Judith — 3:12 AM
China Telecom acquires Beijing operator.
Source: Telecoms.com.
China’s biggest fixed line carrier, China Telecom, has announced that it is to merge with state-owned subsidiary Beijing Telecom in an RMB5.6bn. (EUR510m.) deal.
The operator said it was seeking to capitalise on the increased demand for telecommunications services during the Beijing Olympic Games period, which takes place in August, as well as taking the opportunity to realise operating synergies.
Posted by Judith — 2:01 AM
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