Two of the major players in the UK FTTH scene have joined forces
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DAX, NetSocket to supply JDSU PacketPortal applications
JDSU (NASDAQ: JDSU) (TSX: JDU) says that DAX Technologies Corp. and NetSocket will supply applications for JDSU’s recently announced PacketPortal network management offering (see “JDSU offers PacketPortal cloud-based monitoring and troubleshooting”).PacketPortal uses smart probes at customer interface points to capture traffic data for analysis and troubleshooting via a variety of software applications. JDSU President and CEO Thomas Waechter said on JDSU’s most recent earnings call May 2 that PacketPortal is in trials with more than 10 global Tier 1 and Tier 2 service providers, and that the product has begun to ship for deployment.The agreements add new applications to the PacketPortal’s initial roster. For example, PacketPortal customers will be able to use InTouch from DAX for mobile experience management. DAX management software will leverage PacketPortal’s data gathering features to assemble and analyze a range of data from the network edge, on demand, to enable a holistic, correlated view of subscriber behavior, quality of experience, and network performance, JDSU says.Meanwhile, NetSocket’s application will target real-time IP service assurance for cloud networks. NetSocket’s tool will enable a real-time correlated view of content, session, and IP topology on a hop-by-hop basis, JDSU says.“Through our partnerships with DAX and NetSocket, JDSU creates new opportunities for wireless and enterprise service providers to derive value from the unique data PacketPortal can provide from the edge of the network,” said Doug Fantuzzi, vice president in JDSU’s Communications Test and Measurement business segment.“PacketPortal allows our InTouch solution to economically access subscriber quality of experience and network performance information from the network edge, in real time. This gives InTouch an edge over traditional customer experience management tools which rely solely on legacy probes and network element key performance indicators,” added Frank Galuppo, CEO, DAX Technologies.“Technology partners like JDSU help us meet our goal of assuring our solutions provide our network services customers the most robust monitoring capabilities on the market,” said John White, CEO, NetSocket, Inc.
Slow carrier orders send JDSU revenues down, loss up in third quarter
Citing slower than anticipated orders from carriers that affected both its test and optical communications lines, JDSU (NASDAQ: JDSU) (TSX: JDU) reported revenues in its fiscal third quarter ending March 31, 2012 missed the low end of its previous guidance by just under $1 million. The shortfall contributed to a loss for the quarter of $17.4 million on a GAAP basis.The third quarter’s $409.2 million represented a sequential decline from $412.8 million and a year-on-year shortcoming versus $454 million in the third quarter of 2011 (all figures GAAP). The earnings number compared unfavorably to a GAAP net loss of $10.2 million in the previous quarter and $38.6 million in net income during the year-ago quarter.GAAP gross margin was 41.5% for the quarter, compared to 46.8% in the prior quarter and 47.6% in the third quarter of fiscal 2011.The Communications Test business unit took the hardest hit, with revenues of $177.8 million dropping by 9.4% versus 2Q12 and 6.0% compared to 3Q11. Conversely, the Communications and Commercial Optical Products group performed comparatively better. Its revenues rose 6.1% sequentially to $173.1 million – although this figure represented a year-on-year drop of 6.0%.Addressing analysts during a conference call after his company released the quarter’s numbers May 2, JDSU President and CEO Thomas Waechter said that while the March quarter generally sees a decline, carrier behavior made the seasonal factors even worse. North America carriers released budgets and began making orders later than usual, Waechter asserted. Meanwhile, their European counterparts continued to keep their wallets closed in the face of the macroeconomic uncertainty that continues to grip the region.Waechter said that his checks indicated that North American carriers should spend more money in the second half of this year than they will in the first half. He did not have equal optimism regarding future European spending.The company has a number of new products related to self-aware networks lined up for release in the second half of the year, Waechter revealed.
CityFibre, Fujitsu form UK FTTH engineering alliance
Two of the major players in the UK FTTH scene have joined forces. CityFibre Holdings Ltd., the firm that bought the assets of the failed FiberCity Networks, has formed an engineering alliance with Fujitsu worth $50 million in the first instance.Last November CityFibre announced plans to spend up to £500 million to bring FTTH to 1 million homes and 50,000 businesses in the UK’s second-tier cities (see “CityFibre plans to invest up to £500m in UK fiber rollout”). Earlier in the year, Fujitsu had said it would invest up to £2 billion on rolling out FTTH to 5 million UK homes, providing that it could access at least some of the UK government funds allocated to superfast broadband deployment (see “Fujitsu unveils UK FTTH network plans”).Under the terms of the agreement, Fujitsu UK and Ireland will be responsible for the key elements of planning, building, and operating of CityFibre’s fiber infrastructure. The agreement covers the roll out of fiber to all homes in the cities of Bournemouth and York, according to a spokesperson.“Fujitsu’s credentials in network deployment could not be stronger and few companies have as much knowledge of UK telecoms infrastructure,” said Greg Mesch, CityFibre’s CEO. “They are uniquely positioned to assist CityFibre in meeting our ambitious objectives across the entire fiber infrastructure spectrum, from mobile backhaul to metro networks and fiber-to-the premises.”The choice of Bournemouth and York makes sense, as these are the two cities where work has already begun. CityFibre inherited an FTTH infrastructure that passes approximately 24,000 homes in the city of Bournemouth. And Fujitsu had previously worked with CityFibre to install a metro fiber ring in the city of York, and said it has reached an agreement with the City of York Council to bring fiber direct to homes and businesses there.CityFibre declined to give a meaningful update about the status of the Bournemouth network, saying merely that “trials are ongoing.” It’s now a year since the company said it would reinstate the network.
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