- Smart ICT: Highlights a focus on green communications technologies, such as video conferencing, location-based services, and vertical specific solutions, as well as smart grid, smart home, smart highway, and smart metering solutions.
- Eco-innovation: Focuses on the ongoing R&D efforts at Alcatel-Lucent's research facilities.
- Eco-sustainable Networks: Details Alcatel-Lucent's intelligent, environmentally efficient end-to-end network equipment and solutions, from alternative energy sources through the network architecture to the end user premises.
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There's no question as to the impact of the economic recession on the economy -- one needs only to look casually at the layoffs that have been announced on the past year across nearly all business segments.
The communications industry, though not immune, has by all accounts fared better than many others, largely because communications remains the backbone of all business, and the latest IP Communications technologies offer businesses an opportunity to revamp their systems to create more effective working environments -- just look at the turnout at ITEXPO East in Miami earlier this year.
For service providers, despite an increasingly competitive environment, and despite facing similar challenges in ensuring they are well positioned to meet growing subscriber demands, the situation is also less bleak than some might have expected. It's clear that the business market will continue to demand high-speed broadband connectivity, both mobile and fixed, but recent research from Alcatel-Lucent's Market Advantage Program (MAP), also suggests that residential subscribers have no intention of giving up their broadband services, despite cutting spending in other non-essential areas.
More specifically, 84 percent of survey respondents agree that broadband is an essential service, making it a less likely target for cost cutting efforts. Perhaps more importantly, subscribers indicate a propensity for upgrading their broadband services -- or, subscribing to a service, for those currently without it.
"This clearly shows that people across the world rely on broadband services as a central part of their social and economic lives," said Tim Krause, Chief Marketing Officer for Alcatel-Lucent. "As the world looks at ways to address the twin challenges of economic growth and climate change, our research shows that broadband and the digital economy must absolutely be at the top of decision making agendas."
Importantly, despite differing views on the impact of the economy on households between developed and developing markets -- respondents in developing markets tended to be much more optimistic about the outlook for the coming year -- the attitudes regarding the need for broadband service superseded their economic outlooks.
Obviously, this bodes well for service providers, especially those that have strategically positioned themselves to evolve their networks and service offerings by leveraging next generation communications technologies. It portends an equally bright future for network equipment vendors that provide that technology, especially those that cut across multiple network technologies, like Alcatel-Lucent, which isn't dependent on the widespread success of a single solution type for its growth.
Take, for instance, the continuing debate between LTE and WiMAX, with most vendors having made a choice between the two. Alcatel-Lucent believes the market potential to be strong for both, and continues to develop both solutions. This naturally gives is an advantage over many vendors, as it can make plays for twice the contracts of single solution vendors.
Alcatel-Lucent's continued development extends much further than simply the latest wireless technologies, to wireline solutions and clear migration paths from 2G/3G to next generation wireless, allowing service providers to migrate their networks at their own pace, without compromising their ability to deliver reliable service to their subscribers.
Naturally, much of the new subscriber growth providers will enjoy will come from leveraging new technologies to gain access to previously underserved or unreachable rural regions, a key consideration of Alcatel-Lucent's continued push to deliver multiple network solutions.
In the U.S., it also rolled out its "Broadband for All" program, which provides advisory services to telecoms, governments, and developers, as they seek to benefit from the American Recover and Reinivestment Act (ARRA) put in place earlier this year. The Act has set aside more than $7 billion to support broadband growth into underserved areas of the country.
The program not only performs in an advisory capacity, but it also serves to highlight the large broadband portfolio that has already been deployed by services providers across the globe to deliver services to both rural and urban areas.
"The stimulus bill offers a unique opportunity for service providers, municipalities and developers to upgrade their networks for decades to come with technology that supports broadband access and services," explained Rich Wonders, vice president of Strategic Marketing for Alcatel-Lucent's Americas region.
So, while some providers are still searching for their future strategies, and while vendors are looking to sway those providers in one direction or another, Alcatel-Lucent doesn't care. More accurately, Alcatel-Lucent cares more, understanding that each situation is unique, providing a solution set that will allow any service provider to evolve their networks for future growth, regardless of their technology strategy.
Likewise, equipment vendors are equally hard pressed to achieve sustained growth, but it is possible, as evidenced by Alcatel-Lucent's results from Q1 2009, when it shipped more than five million DSL lines, accounting to more than one-third of the market, according to Dell'Oro Group. That growth brings Alcatel-Lucent's DSL line shipment total to more than 190 million, which also keeps it atop the global leaderboard, despite a slightly smaller growth figure than in the previous quarter.
Notable statistics from Dell'Oro on Alcatel-Lucent's DSL market share include:
- The top spot in the North American DSL market, with nearly a 60 percent share, three times its closest competitor;
- 49 percent of the EMEA DSL market, more than doubling its closest rival;
- It owns more than 63 percent of the DSL market in the rest of the world, again, more than three times its closest competitor;
- 50.3 percent of the global VDSL market, up nearly 15 percent in Q1, amounting to more that four times its closed competitor.
Not only is its growth and overall market share competitively notable, since it comes at the expense of Alcatel-Lucent's competition, but at a time when service providers are more cautious than ever with their investments, retaining the top position provides it increased leverage when the economy finally revives. Having now also expanded its VDSL market share -- VDSL, of course, is the higher speed successor to DSL -- Alcatel-Lucent is making it increasingly difficult for competitors to close in on its market share lead, as the company has clearly stated its intention to continue to drive broadband adoption via multiple access technologies, including optical networking, where it has also seen growth -- it has expanded its GPON customer base, by 30 percent in year-over-year analysis.
The company says it now has more than 95 FTTH deployments under way, 80 of which are GPON-based. Its fiber customer base includes notable names like Verizon, France Telecom, Portugal Telecom, and Hong Kong Broadband Network, speaking to its ability to serve some of the most demanding providers in the world.
"Our sustained leadership in fixed broadband access builds, to a great extent, on our continuous innovations," says Dave Geary, President of Alcatel-Lucent's Wireline Networks activities.
In addition to a broad fixed line portfolio, that commitment to innovation also extends to the wireless market, notably the 4G space, where it has positioned itself well, with a product portfolio that includes both WiMAX and LTE, which necessarily increases its market opportunity, unlike those competitors who have chosen one wireless technology.
Its ability to provide not only fixed line solutions, but also a range of wireless alternatives, offers Alcatel-Lucent an opportunity in both developed and emerging markets, but also means it can compete for nearly any broadband contract. That, in and of itself, positions the company well as the ongoing recession (hopefully) heads into its last stretch.
Alcatel-Lucent, with its Bell Labs facilities, however, is looking to respond to the need for broadband access in remote and otherwise inaccessible areas. Specifically, the company has launched what it says is the first alternative energy laboratory and pilot site in the world targeting the telecom industry in its Bell Labs site in Villarceaux, France, part of it Alternative Energy program.
Through this program, Alcatel-Lucent hopes to drive broadband access into rural areas, even those that fall outside commercial power grids, by developing energy-autonomous and efficient -- green -- wireless networking technologies that will help network operators overcome obstacles to providing broadband access.
The facility includes a wireless base station, powered by a hybrid system comprising solar panes and wind turbines -- as such it creates a power source independent of the power grid. Researchers are also studying the potential use of other alternative energy sources, including fuel cells and bio-fuels.
"The site offers Alcatel-Lucent and its customers and its industrial, institutional, and academic partners, the ability to analyze, test and validate the solutions proposed by the dynamic, but fragmented, alternative energy sector," said Rich Garafola, director of Sustainable Power solutions at Alcatel-Lucent. "It is also a center for people within the company and outside to discuss and try out new ideas to bring the world of telecoms and that of alternative energy closer together."
The company's Alternative Energy program not only addresses the need for exploring non-traditional power sources, both to conserve costs and support the growing green movement that is overtaking the telecom space, it also seeks to allow network operators to extend their reach to subscriber bases that have previously been outside their grasp.
In fact, Alcatel-Lucent says more than one billion people currently reside in areas not served by power grids -- meaning they not only lack broadband access, but also seemingly simple amenities like phone service, which severely limits their social and economic growth potential. Through its Alternative Energy program, Alcatel-Lucent -- which has already deployed more than 300 alternative energy powered radio sites -- hopes to bring its solutions to the mass market, with a goal of deploying more than 100,000 such wireless base stations by 2012.
This goal fits in well with its participation in the Mobile 2012 Virtual Tradeshow, which is set to deliver an outlook on the evolution of the wireless market through 2012 and beyond. Part of this virtual event, taking place June 11, 2009, from 9:00am-5:00pm ET, will focus on how operators can reach previously unreachable customers using the latest mobile technologies, while increasing their network efficiency without an exorbitant increase in footprint or operating cost.
In addition to Alcatel-Lucent's alternative energy solutions, attendees will have an opportunity to engage the company to learn about it entire outlook on the future of wireless communications, including how they can leverage the company's technology to evolve their service delivery capabilities to meet the growing demands of subscribers.
To learn how Alcatel-Lucent can help operators deliver on their commitments to their subscribers, register now. Not only is Alcatel-Lucent prepared to help operators extend their reach into underserved areas, but it also is driving the growth of the next generation of wireless networking with its LTE technologies, designed to enable the efficient delivery of all the latest wireless services well into the future.


