Alcatel-Lucent preps MAYA-1 submarine cable system for 100G
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Comcast Business Services to extend Houston fiber footprint
Comcast Corp. (NASDAQ: CMCSA, CMCSK) says it will expand its fiber-optic network in downtown Houston. The new infrastructure will increase the number of small and mid-sized businesses that Comcast Business Services can address by more than 3,000.The expansion will see Comcast connect several multi-tenant buildings, including the largest building in Texas, Chase Tower. Comcast expects to complete the infrastructure deployment early in 2013. Like the service provider’s other fiber-to-the-building networks, the Houston system will be fully managed by Comcast end to end.“Houston continues to grow and draw in new businesses that are going to need the tools necessary to flourish in today’s tech-savvy environment,” said Houston Mayor Annise Parker. “Comcast’s network investment supports this, allowing businesses in Houston to further prepare themselves for tomorrow in addition to attracting other new companies that require these services to serve their own customers effectively.”“Our fiber network expansion in downtown Houston represents Comcast’s commitment to provide the market with the services needed to stay ahead of technology trends and remain competitive as businesses adopt new technology at a rapid rate,” added Byron Cantrall, vice president of Comcast Business Services for the Houston Region. “We are investing in a thriving business community that has seen incredible growth over the last year and appears on track to bring more jobs, more businesses, and more people to the area, creating an even greater need for reliable, high-capacity business services that help increase efficiency and promote productivity.”Comcast says the Houston expansion is part of a larger effort by Comcast Business Services to pursue network expansions in targeted metro regions.
Alcatel-Lucent preps MAYA-1 submarine cable system for 100G
Alcatel-Lucent (Euronext Paris and NYSE: ALU) says it has been awarded a contract to enhance the MAYA-1 submarine cable system to support 40-Gbps transmission, with an eye towards future 100-Gbps per-channel capacity.Originally constructed in 2000, the 4,400 km MAYA-1 undersea cable network consists of a collapsed ring submarine fiber-optic network that connects Hollywood, FL to Tolu, Colombia. In between, the submarine cable system lands at Cancun (Mexico), Puerto Cortes (Honduras), Puerto Limon (Costa Rica), Half Moon Bay (Cayman Islands), and Maria Chiquita (Panama).Alcatel-Lucent will provide the upgraded capabilities via its 1620 Light Manager submarine line terminal equipment. The system uses coherent detection-enabled transmission techniques to support high data rates and spectral efficiency.“Investing in new capacity on the Maya-1 system will enable the system owners to address the persistent demand for capacity allowing us to satisfy current demand and giving the flexibility to upgrade the system in the future to 100G to keep pace with ever-growing capacity requirements,” according to Donnie Forbes, chairman of the MAYA-1 Upgrade #4 Working Group.Philippe Dumont, President, Alcatel-Lucent Submarine Networks, added, “The communication infrastructure in Central and Latin America must be able to cope with increased broadband access requirements and with secure content delivery. Our solution offers scalability for staged upgrades that meet significant bandwidth increments over time, while protecting investments in the subsea plant.”
Google sells Motorola Home to ARRIS
ARRIS Group, Inc. (NASDAQ: ARRS) will buy the Motorola Home business from Google’s Motorola Mobility subsidiary, the two companies announced. The $2.35 billion cash-and-stock transaction has been approved by the Boards of Directors of both companies.ARRIS asserts the acquisition will be on a cash-free, debt-free basis and likely will be “significantly accretive” to non-GAAP earnings starting in the first full year after closing, an event expected to occur in the second quarter of 2013. In fact, the company estimates the new assets will result in a more than three-fold increase of ARRIS pro forma combined revenue, to approximately $4.7 billion, for the trailing four quarter period ended September 30, 2012.Google will receive $2.05 billion in cash and approximately $300 million in newly issued ARRIS shares, (subject to certain adjustments) for Motorola Home. Google will own approximately 15.7% of ARRIS once the deal completes. The cash will be funded through debt financing commitments from Bank of America Merrill Lynch and Royal Bank of Canada. As its name implies, Motorola Home specializes in home networking equipment, including broadband access devices. ARRIS says the acquisition will expand its ability to support the delivery of consumer video products and services. The deal also will increase ARRIS’s patent portfolio and provide a license to several Motorola Mobility patents.“This transformational combination of two complementary businesses will create a leading end-to-end provider of today’s video, data, and voice products and tomorrow’s next-generation IP-based broadband products,” said Bob Stanzione, chairman and CEO of ARRIS. “Ever-expanding consumer demand for bandwidth will continue to drive growth across cloud and network technologies we provide that enable innovative home entertainment products and services.“Acquiring Motorola Home builds on ARRIS’s rich history, creating a global player with significant footprint, revenue, and cash flow,” Stanzione continued. “It also adds expertise in video and a larger presence in the home to our core strengths in voice and data, ensuring we are even better positioned to capitalize on and manage the evolution toward multi-screen home entertainment. We look forward to working with the Motorola Home team as we integrate their complementary product portfolio and engineering expertise to accelerate best-in-class end-to-end solutions to a broader customer base and increase value for shareholders.”“We share a similar vision and strategy with ARRIS for the industry’s migration to IP. The combination of our solutions, expert technologists and roadmaps promises to transform how service providers deliver the smart, simple connected home to consumers throughout the world,” said Marwan Fawaz, the executive vice president of Motorola Mobility who leads Motorola Home.Motorola Home is a profitable business that generated revenues of $3.4 billion for the trailing four quarters ended September 30, 2012. The combination is expected to generate approximately $100 - $125 million in annual cost synergies.
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