DSL Prime News Briefs

DSL industry news from North America and around the world.

by Dave Burstein of DSL Prime and Future of TV [November 16, 2004]

e-mail

• "Dave, Pls change my e-mail id as I've been let go from AT&T." Many are still hurting.
  
  
• On SBC's choice of Alcatel rather than Adtran for remotes came this note. "I am certain you must be confusing SBC's Rural DSL project with their FTTN project. ADTRAN is very close to winning SBC's Rural DSL project, but this is a very small niche application to deliver high speed Internet to areas without coverage. SBC's FTTN is about delivering advanced video services via line rate GigE feeders to VDSL2 DSLAMs. Alcatel will offer their new 7340 remote IP DSLAM product." This comment notes another shift to GigE and non-blocking DSLAMs.
  
  
• Amnon Steiner of Tracespan writes "I enjoyed reading the article 'ADSL2+ is 2005' in your latest DSL prime newsletter. I believe that it accurately describes the ADSL2+ status at this point in time. TraceSpan had envisioned the ADSL2+ R&D delays and tremendous implementation difficulties many months ago. One of the main reasons for the delay is lack of testing and verification tools while the standard is being developed and frequently being changed. It reminds me the 'good' old days of ADSL1 when everyone hoped to have testing tools and none were available. The slow and painful history of ADSL1 development does not have to repeat itself." He adds "Using the Tracespan DSL Xpert protocol analyzer can make developing and qualifying ADSL2+ product much faster and easier ... in addition to link data and measurement, the system displays warnings when there is any event non-compatible with the ADSL Standards." I don't have the capability of evaluating test equipment, but the strong list of clients he shared is a good recommendation.
  
  
• On repeaters, in the news because Ed Whitacre suggests they are a solution to his deployment needs, a respected engineer writes, "Repeaters, in any volume, need careful engineering, using good loop records. Spectral Compatibility is seriously difficult with repeatered ADSL. ADSL repeaters cannot simply be placed anywhere one wishes as new subscribers are added. There are certainly many cases where installing a remote DSLAM would be cost-justified merely because it simplifies plant engineering."

People

• Jim Rogers, one of the best telecom reporters in D.C., has started the independent Rogers Report. It's sure to become a must-read if you need to know what's happening in policy. Jim writes "I should have done this years ago. I suppose the only reason I didn't was because I heard this guy Jim Rogers was a really tough boss!"
  
  
• Fred Chang, once head of SBC Labs and the public face of the company on technology, resigned in September to become a research professor at the University of Texas in Austin. He's one of the smartest in the business, and I'd invite him to the COMSOC meeting but I don't have his e-mail.
  
  
• For job ads, see the DSL Prime website.

Briefs

• Telmex, at last, is building out the DSL networks, with 456,000 subscribers. Mexico and India are the largest untapped markets. I believe Indonesia will also be moving.
  
  
• U.S. regional Alltel added 22,000 to reach 216,885 subscribers.
  
  
• Bell Canada added 96,000 subs in Q3. They've "deployed 139 of these new remotes" from Lucent, which they noted raised DSL footprint in Ontario and Quebec to 81 percent of residential and business lines passed by the end of the quarter compared to 79 percent at the end of the third quarter of 2003. That's significantly below where they intended to be, but as they get the kinks out of the ADSL2+ gear they have ambitious plans. On VDSL, Bell has signed access agreements with 220 buildings, on track to achieve the year-end goal of 300 buildings. Sabia points to video as crucial, implying Bell will need to carefully tune their plans to the capacity of the remotes.
  
  
• Surabaya, Anders. Ericsson will provide IP DSLAMs for Telkom Indonesia in Surabaya. They also have an order from Brasil Telecom

Press

• My tablemate's eyes lit up as Cinergy told us their deployment of broadband over power lines was going far better than planned. Sam Spencer turned out to be the editor of BPL Today, and since that NARUC/NECA meeting I've found his publication informed and helpful.

Wall Street

• "Canadian Water Torture" is Mark Sue's great RBC headline for the continuing inability of Nortel to produce honest accounting.
  
  
• Erik Zamkoff and IRG Research made a major splash with their VOD conference at the Hyatt. Brian Roberts keynoted and brought his team, Time Warner sent Bob Benya, and all the equipment suppliers came at the highest level, including Scientific Atlanta's CTO Robert McIntyre and CEOs from Seachange, Concurrent, NDS, Harmonic, Kasenna, Broadbus, C-Cor and Arroyo. Jim Cramer asked some tough questions. A strong investor audience got a great view of what's up in U.S. cable.
  
  
• Centillium's quarterly DSL chip sales were $19.3 million, down from $36.8 million in the same quarter last year. 86 percent went to Sumitomo and NEC, while ADSL growth in Japan is slowing, displaced by VDSL and FTTP. "A net loss of approximately $31.3 million in the nine months ended September 30, 2004 and net losses of $13.4 million and $33.3 million for the years ended December 31, 2003 and 2002, respectively."
  
  
• Analysts talking among friends are brutally frank and cynical. We reached easy agreement the day after the election it would have little impact on the Bells, because "the current administration has already given them almost everything important." Steve Labaton in the NY Times put it more politely "Policy makers will probably embark on a course that continues to favor the four regional Bell companies and the nation's largest media conglomerates.
  
  
• Surewest reported a loss, which they attributed to high spending on Sarbanes-Oxley. Admittedly, a local operator that buys a fiber overbuilder and has a wireless division may be somewhat complicated to audit, but needing to spend so much on auditing is a worrisome sign. Combined with the $2 million theft attributed to embezzling, I'd want to look very closely before investing in this company, despite their exemplary record of serving customers.

Copyright 2004 Dave Burstein.
The DSL Prime Newsletter is reprinted with permission.

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