May 2009 Archives

Delivering the Future with LTE

Posted by: Erik Linask | May 28, 2009 8:59 PM | 0 Comments
It's already been established that the business of communications lies in the delivery of applications and services to subscribers.  Those applications and services are becoming increasingly bandwidth-hungry, leveraging the latest in multimedia content and delivery systems, and are being delivered to ever more sophisticated devices, especially in the wireless arena.
 

So, while the mobile operator's focus is ultimately on the application layer, this hardly precludes it from having to ensure its network is capable of reliably and efficiently delivering these new applications to subscribers.  Rather, service providers' networks must grow with these new services to meet service quality demands of both business and consumer customers.

 

The path that network evolution should take -- for maximum benefit in both the near and longer term -- is a transformation to an all-IP wireless broadband network.  That is, adopt the Long Term Evolution model, which is designed to not only support the next generation applications being introduced today, but also grow as those services continue to mature.  It's also the right competitive model, if you consider recent predictions of the growth potential of subscribers to LTE-based networks -- which Pyramid Research suggest could increase by more than 400 percent annually in the next four years.  That's more aggressive growth than the 3G market today, even with devices like the iPhone and Storm as dominant as they are.  In fact, the 3G revolution has already driven mobile data usage to new heights, which are only going to be bested by LTE technologies.

 

So, to capture the opportunity to become part of that LTE boom, mobile operators need to plan now, with a complete transformation roadmap that starts with the Ultimate Wireless Broadband End-to-End LTE solution from Alcatel-Lucent.

 

Alcatel-Lucent has designed its solution to allow operators to aggressively extend the work of applications developers to their subscribers, allowing them to deliver a seamless multimedia experience to a diverse range of devices and in an increasingly competitive environment.   In fact, it is that continued ability to drive new services to market quickly what will drive traffic growth for carriers, which is why it is important for them to adopt a model that will allow them to continue to evolve into the future -- hence, LTE. 

 

But, they cannot handle that growth on their existing network infrastructures.  They need the increased bandwidth, the quality of service, and the capacity provided by an LTE-based solution.  Not only will they be able to deliver their existing services more efficiently, but they will be in a position to drive new revenue by introducing the next generation of wireless IP-based services, like multi-screen video and advanced location-based services.  They will also be able to leverage their new networks to secure targeted marketing revenue and content brokering and more -- all of which will help offset a dip in subscriber growth.

 

Alcatel-Lucent understands that LTE is the future of mobile communications, and has designed a solution to guide mobile operators through the transformation to that all-IP network.  To find out how you can leverage Alcatel-Lucent's expertise to beat the competition to the next era of wireless communications, join them at the Mobile 2012 Virtual Tradeshow.

 

You'll get a forward-looking view on how to successfully transition to LTE and how that transformation can carry you -- and your subscribers -- well beyond that, in a way that allows you to lower operating costs while increasing your service delivery capabilities.

 
For more information or to register, click here.

Alcatel-Lucent Maintains Outlook

Posted by: Greg Galitzine | May 7, 2009 8:58 AM | 0 Comments
Earlier this week, Alcatel-Lucent announced its Q1 earnings, which showed a reduction in first-quarter revenue, and a slightly lower gross margin on revenue. While not entirely unexpected, the results caused shares in the Franco-American telecoms gear maker to sink on the news.
 
Still, Alcatel-Lucent CEO Ben Verwaayen, maintained a positive keel, pointing to recent wins in 3G and LTE and increased business from the Asia-Pacific and North American markets.
 
"This quarter was about putting together the new Alcatel-Lucent. I am pleased with the customer response to our new direction and strategy", he said. "As we discussed before, 2009 will be a year of transition."
 
"While expected, given seasonality and tough market conditions, we are not pleased with the operating loss incurred in the first quarter," Verwaayen added. "Our guidance for the year remains unchanged and we are taking appropriate actions".
 
 
In December, when Verwaayen announced the company's strategic plan, he told analysts that Alcatel-Lucent expected the market for global telecom equipment and related services would be down between 8-12 percent. He also announced that the company anticipated an adjusted operating profit around break-even in 2009.
 
That remains unchanged.
 
With regard to the plan to simplify the organization structure and eliminate 1,000 management positions and 5,500 contractors, the company announced that 290 managers have been cut and the number of contractors has been reduced by 770.
 
Alcatel-Lucent continues to pursue its "high leverage network" strategy, which is designed to enable its carrier customers to deliver and manage advanced applications, compelling content and personalized services to residential, business and mobile users.
 
The company also announced the imminent sale of its stake in aerospace and security information systems provider Thales to Dassault Aviation for Euro 1.6 billion.
 

Rich Tehrani: ng Connect Interview

Posted by: Greg Galitzine | May 1, 2009 10:11 AM | 0 Comments
Rich Tehrani has an interesting recent blog post titled, ng Connect Improves the User Experience, in which he publishes an interview he conducted with Chris Carfagnini, Director of Emerging Technology & Media for Alcatel-Lucent.
 
Presented here, is Rich's entry in its entirety. For more insights from Rich Tehrani, please visit his Communications and Technology blog.
 
 
ng Connect Improves the User Experience
Device and service convergence continues to accelerate and as it does, the complexity involved in creating new products and services increases. A counter to the trend of increasing complexity is the new multi-industry ng Connect Program, founded by Alcatel-Lucent which is establishing a rich and diverse ecosystem of infrastructure, device, content and applications for both mobile and fixed broadband networks including 4G, LTE, GPON and other ultra high bandwidth technologies.
 
The group accelerates the deployment of new devices and services by helping to determine interoperability across industries such as automotive, entertainment, wireless and consumer electronics. The value proposition for members include access to research, reduced development costs and a first mover advantage across markets. For carriers there is the increased use of broadband, reduced OPEX and churn and accelerated time to market.
 
For consumers the benefits include better integration of disparate entertainment systems, a higher level of value for devices which are part of this initiative, enhanced payment options and perhaps lower cost for a variety of next-gen services and devices.
 
The interview is below.
 
What is the ultimate goal of the ng Connect Program?
The primary goal is to facilitate improved end user experiences on all forms of ultra high bandwidth broadband connections. By helping to bring new applications and services to market for next generation networks more quickly, the ng Connect Program will facilitate an expansion of the revenue base for network operators and others, offer members a chance to work with companies they may not have been able to collaborate with individually and expand their own market opportunities. By doing so, ng Connect will also deliver the benefits of a seamless broadband experience to mobile phones, computers, cars, gaming systems though this ecosystem of infrastructure, devices, content and applications. Users will be able to stream more content, run more sophisticated applications on-the-go, and communicate in the most popular formats of today, and tomorrow.
 
Who should join and why?
Any company that is interested in leveraging next generation networks in their future offerings, and are interested in learning more about it today, before it's implemented. Initially we are focused on industries that can bring innovation and capability in five key focus areas, although this is expected to grow in the future: Consumer Media & Entertainment, Enterprise Collaboration & e-Healthcare, Automotive Connectivity, Digital Signage and Computing Experience.
 
We currently have 18 member companies in a variety of industries and specialties including augmented reality, consumer & enterprise electronics, digital signage, music label, mobile games and compelling social networking/entertainment developers as well as leading technology companies in the education and automotive fields. The initial members in ng Connect Program include 4DK, Alcatel-Lucent, Atlantic Records, Buzznet, chumby, Connect2Media, dimedis, FISHLABS, HP, Kyocera Communications Inc., LearningMate, MediaTile, QNX, Samsung, SIGNEXX, Total Immersion, TuneWiki and Words & Numbers.
 
What is the primary reason companies are not joining?
We've been lucky that nearly every company we approach and have had the opportunity to discuss the ng Connect Program with, has become a member company, even some that are traditionally quite conservative see the value. In fact, our challenge isn't convincing companies to join once we've discussed the value of the program, it is determining which companies to bring into the program in which priority ... we have many, many companies in the funnel today.  Right now on the membership front, the focus is on educating people about who we are and our goals, the more companies we can reach, the more companies will join.
 
What is the most exciting part of your involvement with this group?
I work with Alcatel-Lucent who conceived and created the organization and I have been closely involved in helping this initiative get off the ground. The most fun is working with companies in industries not traditionally associated with telecom and seeing their eyes light up when they realize the value proposition of what next generation broadband networks and applications enablement can do for their business plans.
 
It's great because we at Alcatel-Lucent believe that a broad spectrum of companies must come together to collaborate in a strong ecosystem to innovate, remove business and technical barriers and define new business models to accelerate mass adoption of new services and devices for next generation networks.
 
There is currently an unmet demand scenario in the telecom services marketplace. Ultra high bandwidth networks will unleash the art of the possible for meeting these demands and creating exciting new user experiences.  The members of ng Connect represent multiple industries' key innovators within a framework to focus them collectively towards breakthrough innovations in both services and business models.
 
Do companies quickly understand the group's value proposition or does it take work to explain? 
Those within the ICT (Information and Communication Technology) sector clearly understand immediately but even those in diverse industries, who have not, to this point, engaged deeply with communications technology, understand very quickly and are eager to start which is why we've been able to sign up 18 companies in a very short time.
 
Does the success of the organization depend on any particular companies or is critical mass most important?
As an ecosystem, it's most important to have key players in each of the segments we are focusing on that include both large, well-established companies as well as the smaller, nimbler start-ups. We are extremely happy with our current membership and look forward to expanding it.
 
When will companies see the benefits the group has to offer?
Companies, both our customers and potential new members, can see it today. To date the membership have collaboratively developed 6 Proof of Concept demos and there are many more in the funnel. In addition to visiting our labs, many of these demos can be seen at tradeshows. In fact at CTIA Wireless we had six Proofs of Concept in the Alcatel-Lucent booth under the ng Connect banner, including a Mobile Enhanced Reality demo, with member companies 4DK and Total Immersion that was recognized with an E-Tech Award from CTIA. 
 
How about consumers? Will we see a day where ng Connect becomes a recognizable consumer logo?
While that might be flattering, the goal is not to create a Consumer brand, but to facilitate innovation that allows consumers, member companies and service providers and network operators to experience the value of what next generation broadband can enable. It would be optimal though, if ng Connect was eventually recognized by multiple industries as a key "enabler" organization. 
 
What benchmarks have you set to gauge future success?
Clearly, the ability to collaborate and rapidly create compelling proofs of concept demonstrations for new services and experiences is a key benchmark. We measure ourselves on our ability to demonstrate the "art of the possible" over broadband networks. Also, attracting key members from many industries to help drive demand and remove barriers to innovation will help enable new business models for all along the digital media value chain and improving uptake of new technologies and services.
 
How do prospective new companies learn more?
Interested companies can go to our website where we have lots of information on upcoming events, current members and our blog.
 
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