Showing posts with label Ethernet. Show all posts
Showing posts with label Ethernet. Show all posts

Tuesday, September 20, 2011

Wireless backhaul will help triple Ethernet spending by 2016

Insight Research Ethernet revenues 2009-2016By 2016, U.S. enterprises and consumers will spend over $44 billion on carrier Ethernet services, Insight Research now forecasts, up from $4 billion in 2011.

Tuesday, August 3, 2010

Accedian Networks Raises $19.5 Million

Accedian Networks, a provider of service assurance solutions for Carrier Ethernet and IP networks, has gotten $19.5 million in a round of financing led by Summit Partners, a growth equity firm with offices in Boston, Palo Alto and London.

Rho Ventures and Skypoint Capital, existing investors in Accedian, participated in the round as well.

Accedian has had four years of 100 percent-plus, year-over-year growth and profitability.

“The rapid increase of mobile device usage and network traffic has left carriers struggling to meet consumer demand and service level agreements, with the backhaul function representing a notable bottleneck on most networks,” said Tom Jennings, a Managing Director at Summit Partners who has joined the company’s board of directors.”

Since inception, Accedian has sold over 55,000 platforms to over 150 service providers and enterprise customers world-wide. The new funding will be used to grow a global sales force, as well as further support product development, marketing, and administrative support organizations

Monday, July 5, 2010

Ethernet Access Now Cheaper than SONET

Domestic access Ethernet circuits now cost less, in most case, than traditional SDH/SONET leased circuits, says Owen Irving, vice president, Commercial, Asia Pacific at Cable & Wireless Worldwide, CommsDay reports.

“10M Ethernet appears to have settled at approximately two times E1 pricing, 50 Mbps Ethernet is often a lower price than DS3, while 100M is often a similar price to DS3," he says.

Monday, March 15, 2010

Covad Launches Ethernet Access Services Nationwide

Covad Communications Company is launching nationwide Ethernet access services in mid-April.

Designed especially to support business-class, real-time applications like Voice over IP, video, gaming, virtual private networks and video conferencing, at speeds from 1.5 Mbps to 35 Mbps out of more than 4,000 central offices reaching approximately 10 million businesses nationwide, the company says.

Covad will offer quality of service and class of service features and are backed by service level agreements.

“What will differentiate this product in the market are the integrated QoS and CoS options that give our partners immense flexibility in optimizing network performance based on their application requirements,” says Patrick Bennett, president and chief executive officer at Covad.

Covad began testing Ethernet services on a technical level with a limited offering in selected markets last year.

Monday, February 1, 2010

Private Line Market Starts Decline

After years of steady growth, the $34 billion private line services market is entering a period of declining revenue, says Insight Research. It could hardly be otherwise. Just as IP-based services are displacing TDM-based voice, so IP-based and Ethernet-based bandwidth services are displacing SONET bandwidth services, frame relay and ATM services.

U..S enterprises and consumers are expected to spend more than $27 billion over the next five years on Ethernet services provided by carriers, Insight Research predicts. With metro-area and wide-area Ethernet services now available from virtually all major data service providers, the market is expected to grow at a compounded rate of over 25 percent, increasing from $2.4 billion in 2009 to reach nearly $7.8 billion by 2014.

The decline in revenue will continue from 2009 to 2012. But Insight Research also believes private line revenues will tick up a bit after 2012, presumably as additional applications drive demand for more bandwidth. Why the growth would not come in the form of alternative IP bandwidth is not precisely clear, though.

Insight believes additional demand for wireless backhaul and video will lead to more buying of SONET products. Some of us would disagree, but we shall see.

"The transition away from frame and ATM will put a break on overall private line industry revenue growth for a couple of years," says Robert Rosenberg, company president . "However, private line demand remains strong for wireless backhaul, local bandwidth for caching IPTV video services, and for facilitating VoIP."

Tuesday, February 5, 2008

Telcos, CLECs, Cable Among Top Ethernet Providers

You might not be surprised that at&t, Verizon and Qwest are among leading incumbent carriers providing Ethernet services to U.S. organizations and businesses. But Time Warner Telecom and Cogent also are among the top six providers, and two cable companies are among the top seven providers, according to Vertical Systems Group.

More than forty other companies are also delivering retail Ethernet services to business customers in the U.S.

at&t is the market leader with a 22 percent share at year-end 2007, based on ports in service. Verizon is second with a 17 percent port share, followed by Time Warner Telecom with 13 percent of U.S. active ports.

Cox Communications is fourth overall with a 10 percent port share, followed by Cogent with seven percent of ports and Qwest with six percent of ports. Time Warner Cable has five percent share.

Other notable providers offering Business Ethernet Services in the U.S. include AboveNet, American Fiber Systems, Alpheus Communications, American Telesis, Arialink, Balticore, Bright House Networks, Charter Business, CIFNet, Cincinnati Bell, Comcast Business, Embarq, Expedient, Exponential-e, Fibernet Telecom Group, FiberTower, Global Crossing, Integra, IP Networks, Level 3, LS Networks, Masergy, Met-Net, Neopolitan Networks, NTELOS, Optimum Lightpath, Orange Business, Paetec, RCN, Savvis, Spirit Telecom, Sprint, SuddenLink, Surewest, US Signal, Veroxity, Virtela, Windstream, XO and Yipes (Reliance Communications).

Tuesday, January 29, 2008

Ethernet Keeps Growing

Ethernet continues to gain a more prominent role in networking capabilities being deployed by service providers in North America, Europe, and Asia Pacific, with most carriers reporting 90 to 100 percent increases in Ethernet traffic for the past two years, according to analysts at Infonetics Research. IP and MPLS traffic has grown 70 to 80 percent over the same period, Infonetics says.

A new optical transport layer also will emerge, Infonetics believes. This new layer will be a fused Ethernet-WDM packet transport with circuit-like capabilities via Ethernet transport tunnels, also known as COE, or connection oriented Ethernet. That means more adoption of T-MPLS and PBT, Infonetics believes.

There was a time when some argued that "connectionless" protocols such as IP would replace "connection oriented" protocols such as time division multiplex, SONET and asynchronous transfer mode. As it turns out, there's a reason why connection-oriented protocols, or at least protocols that emulate connections, are important. Some traffic types, especially video and voice, are susceptible to impairments that can arise when connectionless protocols are used.

Friday, December 21, 2007

Business Broadband: Cable Modems Significant

Businesses use all sorts of access technology, if a recent Aethera Networks poll is to be believed. As you might guess, more than a quarter of business users have Time Division Multiplex access while more than a third use Ethernet of some sort.

You might not be surprised that more than a quarter use cable modems or Digital Subscriber Line, especially business-class DSL. What is interesting is that cable modem technology shows up in such surveys of the small business space. In fact, at least some business owners tell me they replaced T1 lines with cable modem service, and are happy they did.

Friday, October 5, 2007

Level 3 Provisioning Issues?


Level 3 Communications has made seven acquistions in the last 18 months, including Broadwing, part of the Savvis portfolio, TelCove, Looking Glass and ICG. Several of the buys related to its new content delivery network portfolio. But many of the sizable acquisitions are related to its core bandwidth business.

If you have been around the business long enough, you know what is happening in the back office. Disparate systems are running in parallel. Manual reports have to be built. Billing systems don't talk to each other. Inventory cannot be interrogated in real time. Provisioning backlogs are the inevitable result.

That is one possible reason Level 3 reported relatively light revenue and earnings growth in the most recent quarter. Demand for its services isn't the problem. If anything, in light of the back office issues, demand possibly is outstripping provisioning.

Any company would have at least some issues getting new customers provisioned efficiently were it to digest as many acquisitions as Level 3 has made recently. So we would not be surprised if the company is having issues getting the new customers onto the network.

In fact, it probably is safe to say that bandwidth in service has grown at an unprecedented level over the last year. If one looks at total in-service bandwidth provisioned by Level 3 in its entire history up to about 12 months ago, the amount of bandwidth in service probably has doubled again in the last 12 months.

That rate of growth would cause issues for any service provider. So we wouldn't be surprised if there was some hiccup in provisioning new orders. In fact, the backlog could be great enough that three months might have to pass before the provisioning teams can catch up. Level 3 wouldn't be the first company to have problems with too much success.

Wednesday, July 25, 2007

Both 40 and 100 Gbps Ethernet, It Appears

It appears the IEEE is going to proceed with 40 Gbps and 100 Gbps Ethernet standards. Which strongly suggests there also someday will be a 120 Gbps standard, since it maps nicely with the 40 Gbps standard server vendors prefer for short distance connections between switches and servers.

The next logical step for the 100 Gbps suppliers, which tend to favor that standard for long haul and wide area network transport, isn't so clear. Following the 1, 10, 100 paradigm would suggest 1,000 Gbps, but nobody is talking about that right now. Bandwidth in the 400 Gbps up to 500 Gbps range is the sort of "next step."

Sunday, July 8, 2007

Midband Ethernet, Everything Else is Growing...

It has been a good year for suppliers of midband Ethernet connectivity equipment and access services. Heck, it's arguably been a good year for access services, period. Where providers used to get asked for T1s, they now get asked for DS3s. Where they used to get asked for DS3s, now customers are asking for optical connectivity. It's the same story on the consumer access front: more bandwidth, more often. That's what video will do to a network.

Wednesday, June 27, 2007

Making Sense of Mid-Band Ethernet


For the last couple of years we all have been hearing lots about mid-band Ethernet (2 Mbps up to possibly 24 Mbps, with the arguable sweet spot between 2 and 6 Mbps). Suppliers have made special note of the cellular network backhaul opportunity and that frankly has puzzled me a bit, since that particular market segment isn't bigger than the broader metro Ethernet market including enterprises, small and mid-sized businesses and organizations. But Hatteras Network VP Gary Bolton has an answer for that.

The backhaul segment isn't bigger than the others, but it is more urgent for mobile providers as well as the transport providers who provide service with service level agreements, Bolton says. On the mobile side, 3G networks immediately create new bandwidth needs that T1 links aren't well equipped to handle. That's pretty immediate.

Then there are the service providers who sell mobile tower sites connectivity services. And there's urgency there as well. If a circuit goes down, all the timing information at the affected tower can be lost, and then there is the resync time. Mobile carriers hate that.

That typically results in a financial penalty on the transport provider. So the tower backhaul opportunity gets so much attention because both mobile and wireline network providers need a solution right now.

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