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2013/07/22

| 07.22.13 | Huawei eyes Nokia, could land Nokia Siemens Networks

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July 22, 2013
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Today's Top Stories

  1. Huawei's reported interest in Nokia could give it control over NSN
  2. Ericsson CEO says Wi-Fi will be standard small cell feature
  3. Apple addresses 802.11ac Wi-Fi coverage problem
  4. Gogo says San Francisco flyers use the most in-flight Wi-Fi
  5. Meru pushes aggressive pricing on 802.11ac access point


Also Noted: Spotlight On... Comcast patent envisions Wi-Fi transceivers on bikes, humans
NSN reportedly offers lowest bid to supply China Mobile's TD-LTE tender; T-Mobile renews calls for Dynamic Market Rule to control bidding in 600 MHz auction and much more...


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Special Report:
Frontier, FairPoint, others find new wholesale life with wireless backhaul
As wireless operators expand their 4G LTE rollouts into secondary and tertiary markets, where they tend to have little, if any, wireline facilities, they have turned to a host of independent telcos for wireless backhaul services. How are carriers like Frontier, Shentel, and Hawaiian Telcom taking advantage of the backhaul opportunity? Read more

News From the Fierce Network:
1. Kovacs: Designing a spectrum-auction for maximum proceeds
2. EU approach to net neutrality raises ire of Internet freedom group
3. FCC approves move to revamp E-rate funding program


This week's sponsor is Transmode.

eBook | Backhaul Strategies for Next-Gen Networks

Wireless operators are considering various strategies when dealing with network capacity challenges. This eBook explores backhaul best practices and solutions. Download for free today.



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> Be Where The Carriers Are: CCA's Convention Sept 15-18 in Las Vegas - The Cosmopolitan - Las Vegas, NV

Marketplace

> Whitepaper: Knowledge Management: 5 Steps to Getting it Right the First Time
> Whitepaper: eBook: Smarter Service: The Contact Center of the Future
> Whitepaper: Intel Software Adrenaline Magazine
> Whitepaper: Geocoding Advantage White Paper: Best Practices for Managing Customer and Location-Based Data in Telecommunications
> eBook: Backhaul Strategies for Next-Gen Networks
> Whitepaper: How Mobility Can Transform Your Business
> Whitepaper: Cisco ONE: Framework for the Internet of Everything
> Whitepaper: The Financial Benefit of Cisco's Elastic Core
> Whitepaper: How HR Is Solving the Puzzle of Leave Management

Jobs

> Tower Crew Foreman – Minneapolis, MN – CCI Systems, Inc.
> Sales Executive with ability to Speak Mandarin – Florham Park, NJ – PCS Wireless
> Sales Executive, Bilingual Spanish – Florham Park, NJ - PCS Wireless
> Wireless Store Manager – Florham Park, NJ – Cricket Communications
> Sr. Account Executive – San Diego, CA – Cox Communications
> Inventory Specialist /Revenue Analyst – Oklahoma City, OK – Cox Communications
> Field Auditor I – Rancho Santa Margarita, CA – Cox Communications
> SAS Administrator – Atlanta, CA – Cox Communications
> Senior Director, Technology Delivery Assurance – Atlanta, CA – Cox Communications
> SMB Account Exec (Cox Business) – San Diego, CA – Cox Communications
> Need a job? Need to hire? Visit FierceWirelessJobs

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Today's Top News

1. Huawei's reported interest in Nokia could give it control over NSN


A top Huawei executive's comments opened the door to the possibility of the Chinese firm gaining a strong foothold in the U.S. network gear market via a takeover of Nokia (NYSE:NOK), which could give Huawei control of Nokia Siemens Networks.

Huawei is "open-minded" to the prospect of buying struggling Nokia in an effort to become the world's leading smartphone maker, said Richard Yu, chairman of Huawei's consumer business group. "We are considering these sorts of acquisitions; maybe the combination has some synergies but depends on the willingness of Nokia," added Yu, who made his comments to the Financial Times ahead of the launch of Huawei's Ascend P6 premium smartphone in London.

Though the Register reported that Huawei later said it currently has "no plans" to buy Nokia, that did not stop observers from debating what a Nokia takeover by Huawei would mean to Microsoft (NASDAQ:MSFT). Nokia is Microsoft's top ally in developing handsets based on the Windows Phone OS. However, Yu told the Financial Times that Windows Phone is "weak," and indicated the OS is especially unattractive because it requires a license fee, unlike Google's Android OS, which powers most of Huawei's smartphones.

Lost in the discussion, however, has been the possible impact on the telecom network infrastructure market should Huawei make a bid for Nokia. The fact that Yu would even mention the possibility sets up what could become an intriguing scenario, because if Huawei were to buy Nokia, it might also end up with infrastructure vendor NSN. Nokia currently owns half of NSN but is in the process of buying out partner Siemens' 50 percent stake for $2.21 billion.

Nokia has repeatedly stated its desire to make NSN an "independent entity," and Nokia could eventually spin NSN off as a public company but the timing for such a possibility is far from clear.

Taking over NSN via Nokia could give Huawei a backdoor entry into the U.S. mobile network market, where its infrastructure gear has been effectively banned by persistent concerns that the Chinese company poses a national security threat. A report from the House Permanent Select Committee on Intelligence recommended in October 2012 that the U.S. government and U.S. companies avoid using equipment from Huawei and ZTE.

However, it is unclear what actions the U.S. government could or would take if Huawei (or ZTE, for that matter) gained a significant foothold in existing U.S. telecom networks by taking over an infrastructure vendor that already has a strong presence in the market.

NSN and Ericsson (NASDAQ:ERIC) are primary vendors for T-Mobile US' (NYSE:TMUS) $4 billion network modernization project. NSN has also won LTE radio access network (RAN) and mobile management entity (MME) contracts from U.S. Cellular (NYSE:USM). Further, NSN supplies Verizon Wireless' (NYSE:VZ) IMS core as well as the IMS core for smaller operators. Rick Corker, head of NSN North America told FierceBroadbandWireless early this year that NSN believes it has some 40 percent market share in IMS core in the United States.

Although Huawei has repeatedly argued that it does not pose a security threat and has no ties to the Chinese military or government, the allegations refuse to die down. Former CIA and NSA head Michael Hayden told the Australian Financial Review last week that he believes Huawei has shared with China's government "intimate and extensive knowledge" of foreign telecom systems in which the company is involved.  

Huawei, China's largest maker of telecommunications equipment, was quick to defend itself once again. Huawei's vice president of external affairs William Plummer demanded critics produce concrete evidence of espionage or "shut up," said ZDNet, citing a report in Sina News.

Even without new U.S. wireless network contracts, Huawei's wins around the globe put it in strong position. Ovum has estimated that Ericsson held a market-leading 34.7 percent share in the global RAN market at the end of 2012, followed by Huawei with a 20.5 percent share and NSN with 18.7 percent.

For more:
- see this Financial Times article (sub. req.)
- see this Register article
- see the Australian Financial Review article and transcript
- see this Bloomberg article
- see this ZDNET article

Related articles:
Huawei fends off more spying claims and faces UK security review
NSN records operating profit, but Q2 sales fall 17%
Huawei's R&D spending tops $4 billion
Nokia 'buys a future' with NSN, but does that future include devices?
Nokia paying $2.21B for Siemens' stake in NSN
Huawei puts its hopes in Europe, the UK
China hits back over EU threat to Huawei, ZTE
Report: Microsoft plan to buy Nokia's phone biz fell apart

Read more about: acquisition, Noka Siemens Networks
back to top


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2. Ericsson CEO says Wi-Fi will be standard small cell feature


Ericsson (NASDAQ:ERIC) expects to enable Wi-Fi, with few exceptions, in all of its small cell equipment, which certain mobile operators are expected to start deploying in the fourth quarter.

Hans Vestberg, Ericsson

Vestberg (Image source: Ericsson)

Ericsson CEO Hans Vestberg told GigaOM that although not all carriers will take advantage of the Wi-Fi capability in their small cells, the infrastructure vendor intends to take this opportunity to seed the market with Wi-Fi nodes. He didn't name the carriers that would roll out the technology.

Carriers will be able to upgrade their small cells to offer Wi-Fi via two primary methods, depending upon equipment configuration. Boards could be slotted into a small cell chassis or, in some cases, a software patch delivered over the cellular network might be all that is needed to enable Wi-Fi communications.

Ericsson jumped onto the Wi-Fi bandwagon more than one year ago, when it acquired BelAir Networks. BelAir's technology has now been fully integrated into Ericsson's small cell equipment, enabling operators to roll out small cell and Wi-Fi functionality, with Wi-Fi being integrated directly into the cellular network, Vestberg said.

In true HetNet fashion, Ericsson's approach will treat macrocells, small cells as well as Wi-Fi nodes as part of a single network. The company's technology will handle "handover from macro to micro, micro to Wi-Fi and back to micro or macro all over again," Vestberg said.

Operators that are considered likely to deploy Ericsson small cells starting this year include AT&T (NYSE:T) and Sprint (NYSE:S), which are both Ericsson customers and have committed to intensive small cell deployments.

For more:
- see this GigaOM article

Related articles:
Ericsson posts weak Q2 results, but looks to China and Europe for growth
Ericsson, NSN focus spotlight on Wi-Fi traffic steering
Wi-Fi offloading morphs to integration as operators strive for more control
Ericsson aims to score with Wi-Fi for stadiums
Ericsson wants operators to control their small cells, Wi-Fi access points
Ericsson buys Wi-Fi gear specialist BelAir Networks

Read more about: small cells, Wi-Fi
back to top



3. Apple addresses 802.11ac Wi-Fi coverage problem


Addressing the fact that inclusion of 802.11ac Wi-Fi in its latest Macbook Airs apparently resulted in spotty wireless connectivity, Apple (NASDAQ:AAPL) released an update aimed at fixing the problem.

The issue came to light in late June, when users began complaining about connection problems and Apple reportedly began investigating the issue.

Releasing "MacBook Air (Mid 2013) Software Update 1.0" last week, Apple said, "This update fixes an issue that in rare instances may cause an intermittent loss in wireless connectivity, an issue with Adobe Photoshop which may cause occasional screen flickering, and an issue which may cause audio volume to fluctuate during video playback."

Some commenters have suggested the connection issue was due to the way Apple's OS X software handled the additional bandwidth provided by 802.11ac. According to The Register, the problem likely stemmed from a GPU or driver issue and should be easily corrected with the new software update.

802.11ac products, which operate in the uncongested 5 GHz band, should provide reduced latency and data rates more than double those of a typical 802.11n network. Most Wi-Fi certified 802.11ac products are expected to operate in both bands, providing support for the older 802.11n standard at 2.4 GHz. The Wi-Fi Alliance officially launched its "Wi-Fi Certified ac" program for 802.11ac, last month in advance of finalization of the IEEE standard.

ABI Research forecasts shipments of dual-band Wi-Fi chipsets will exceed 1.5 billion by the end of 2014.

For more:
- see this Apple update
- see this Register article
- see this CNET article

Special Report: 802.11ac Wi-Fi--Top Wireless Technologies in 2013

Related articles:
Wi-Fi Alliance says 802.11ac-certified devices will drive more Wi-Fi offloading
Apple's iOS 7 proves it's a Wi-Fi world
FCC charges ahead with 5 GHz Wi-Fi spectrum plan
Rumor mill: Apple planning 802.11ac for Mac line

Read more about: Apple
back to top



4. Gogo says San Francisco flyers use the most in-flight Wi-Fi


Gogo said San Francisco is the top airport for travelers who take advantage of its in-flight Wi-Fi services.

The company's airport rankings cover the number of passengers who used the service and calculate it as a percentage of the total amount of passengers who actually board an aircraft with Gogo Wi-Fi. The data includes usage rates over a 12-month period. To make the list, an airport had to have a minimum of 500,000 passengers board a Gogo-connected aircraft and had to be located in the continental United States.

In second place behind San Francisco International Airport was John F. Kennedy Airport in New York, followed by John Wayne Airport in Orange County, Calif., and Los Angeles International Airport.

"Almost all of the top 10 is made up of airports on the coasts in markets where we see a large number of business travelers who also are likely traveling on longer, cross country routes," said Ash ElDifrawi, Gogo's chief commercial officer.

Pensacola International Airport in Florida was rated the airport with the least connected air travelers, according to Gogo.

For more:
- see this Gogo release

Related articles:
Gogo's IPO takes off but finds early turbulence|
Gogo says Apple devices dominate in-flight connectivity
Row 44, Gogo mark in-flight Wi-Fi milestones
Gogo installing satellite and ATG service for American Airlines
Analyst: Gogo's growth appears to be stalling

Read more about: in-flight, Wi-Fi
back to top



5. Meru pushes aggressive pricing on 802.11ac access point


Meru Networks hopes to jumpstart the market for 802.11ac Wi-Fi technology by pricing its first 802.11ac-compatible access point for enterprises at $1,295, which is only $100 more than the company's comparable 802.11n access point.

This was intentionally done so enterprise verticals looking at 802.11n might start considering 802.11ac today rather than eyeing it as a purchase for next year. "It's a slight difference from our .11n solution but provides three times the performance," said Dennis Huang, Meru's director of product marketing.

He alleged that while other vendors have been announcing 802.11ac solutions they have been conservative in pushing the technology and continue aggressively marketing their existing 802.11n product lines.

Meru's contends its new AP832 access point, which will ship next quarter, is the market's fastest 802.11ac access point, in part because its single-channel option, part of Meru's MobileFlex architecture, can support the use of 80 MHz channels as outlined in the IEEE 802.11ac draft specification.

Wider channels by default mean there are fewer channels to work with, said Huang. He alleged rival multichannel architectures from companies such as Ruckus Wireless, Aruba and Aerohive for the most part restrict support to 40 MHz channels so as to avoid co-channel interference. But that restriction has the effect of reducing data rates to about 600 Mbps, or about half of the 1.3 Gbps-per-radio that the 802.11ac specification allows.

By not using the full channel size specified in the standard, "you're really not getting what you've called out for in adopting 802.11ac," Huang told FierceBroadbandWireless. "It's really not serving the purposes of why you want people to migrate to it."

Meru's access point also includes two dual-band three-stream 802.11a radios capable of simultaneously transmitting on the 5 GHz band. This allows users to overlay 802.11ac APs on 802.11n networks to solve capacity problems in high density environments, said the company.

For more:
- see this Meru release
- see this Network Computing article

Related articles:
Wi-Fi Alliance says 802.11ac-certified devices will drive more Wi-Fi offloading
Broadcom sampling 802.11ac chips for entry-level devices
Growing WLAN demand sets stage for 802.11ac shipments

Read more about: access point, AP832
back to top



Also Noted

SPOTLIGHT ON... Comcast patent envisions Wi-Fi transceivers on bikes, humans

A Comcast patent application titled "Mobile WiFi Network" addresses how to expand Wi-Fi coverage by placing transceivers on a host of mobile assets such as rental cars, buses, bicycles and even humans. According to the patent application, obtained by sister publication FierceCable, Comcast has gone so far as to consider how it might motivate drivers to move their Wi-Fi equipped vehicles to areas where the operator needs coverage. It is unclear whether the invention was produced at the joint innovation lab Comcast operates with Verizon Wireless. The patent application, published last week by the U.S. Patent & Trademark Office, notes 3G and 4G circuitry could also be added to the Wi-Fi transceivers to transmit data to cellular towers. For more, see this FierceCable article.

Broadband wireless news from around the Web.

> Nokia Siemens Networks reportedly offered the lowest bid to supply China Mobile's multibillion-dollar TD-LTE tender. Post

> Intel Strategic Research Alliance (ISRA) has lined up U.S. universities for 5G exploration. Post

> British consumers are more concerned about data allowances than voice minutes. Article

> Russia's MTS targets quad-play, outlines LTE and data ambitions. Article

> Spain gets third 4G network as Yoigo's LTE goes live. Article

> T-Mobile renews calls for the Dynamic Market Rule to control market leaders' bidding in 600 MHz auction. Post

And finally… One long experiment: Pitch shown to be a liquid as camera catches tar drip after 69 years. Article


Events


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Marketplace


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> Whitepaper: Knowledge Management: 5 Steps to Getting it Right the First Time

This eBook sets out 5 simple steps for optimizing customer service and support with an effective, best-practice-led knowledge management initiative. Download today!

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This eBook explores the challenges facing traditional contact centers and the benefits of deploying the contact center of the future. You'll find links to further resources on the final page. Download today.

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Get the latest in touch and sensory technologies. This edition explores the frontiers of touch computing, mobile lifestyles and more. Download today.

> Whitepaper: Geocoding Advantage White Paper: Best Practices for Managing Customer and Location-Based Data in Telecommunications

Learn the many benefits of high-quality geocoding and how today's market leaders are employing best practices to engage customers, reduce costs, streamline processes and more effectively management risks. Download this white paper today.

> eBook: Backhaul Strategies for Next-Gen Networks

Wireless operators are considering various strategies when dealing with network capacity challenges. This eBook explores backhaul best practices and solutions. Download for free today.

> Whitepaper: How Mobility Can Transform Your Business

Mobility is more than just smartphones and tablets. IT professionals need to get their arms around on four key elements of the mobile ecosystem as the rise of mobile devices in the enterprise offer untapped opportunities for businesses...Download today!

> Whitepaper: Cisco ONE: Framework for the Internet of Everything

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> Whitepaper: The Financial Benefit of Cisco's Elastic Core

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> Whitepaper: How HR Is Solving the Puzzle of Leave Management

Over half of HR professionals are unsure how much employee absence costs their organization. This unsettling statistic was revealed in the Optis survey conducted in June at the SHRM 2012 Annual Conference & Exposition in Atlanta. Find out more and download today!



Jobs


* Post listing: Click here.
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> Tower Crew Foreman – Minneapolis, MN – CCI Systems, Inc.

CCI Systems is a 100% employee owned company seeking experienced tower crew foremen to lead crews on the construction and implementation of cell site upgrades, antenna change outs, new cabling, and all required testing and documentation. Duties & Responsibilities include lead work on tower top…Learn more

> Sales Executive with ability to Speak Mandarin – Florham Park, NJ – PCS Wireless

The Sales Executive will be responsible for all sales activities, from lead generation through close in an assigned territory. He or she will develop and implement agreed upon Sales Plan which will meet both personal and business goals of expanding customer base in the marketing area…Learn More

> Sales Executive, Bilingual Spanish – Florham Park, NJ - PCS Wireless

The Sales Executive will be responsible for all sales activities, from lead generation through close in an assigned territory. Candidates must be fluent in Spanish as well as in writing in Spanish.  He or she will develop an annual business plan in conjunction with Sales Manager… Learn More

> Wireless Store Manager – Florham Park, NJ – Cricket Communications

Cricket Communications offers nationwide wireless voice and mobile data services over high-quality, all-digital wireless networks. Every day, our Store Managers at Cricket run all aspects of the Cricket retail business including, but not limited to, financial management, business operations... Learn More

> Sr. Account Executive – San Diego, CA – Cox Communications

The Sr. Account Executive - Enterprise is responsible for meeting or exceeding sales goals for large accounts. The position is responsible for initial contact with customers, follow-up, proposal preparation, making customer presentations and seeing the sale through to the signing of a contract...Learn More

> Inventory Specialist /Revenue Analyst – Oklahoma City, OK – Cox Communications

The Inventory Specialist is responsible for providing accurate and detailed reports regarding inventory sell-out levels with recommendations and guidance to assist sales leadership in yield management through the development of optimized rates...Learn More

> Field Auditor I – Rancho Santa Margarita, CA – Cox Communications

The Field Auditor will maintain the security of the cable system by designing and implementing an effective and efficient audit program, asset and loss prevention programs; investigate internal and external security problems; implement internal and field security programs with other departments... Learn More

> SAS Administrator – Atlanta, CA – Cox Communications

SAS Administrator is responsible for providing senior level expertise on overall technology, infrastructure and administration as it relates to the SAS Grid enabled architecture, installed on RHEL/JBOSS server platform. Manages, configures and supports SAS...Learn More

> Senior Director, Technology Delivery Assurance – Atlanta, CA – Cox Communications

This position is accountable for driving Standard Processes, Governance, and Continuous Process Improvements across the Technology organization to improve the consistency and repeatability of our delivery processes. This role supports all technology organizations and closely partners with our enterprise portfolio management team...Learn More

> SMB Account Exec (Cox Business) – San Diego, CA – Cox Communications

The SMB Account Executive promotes, sells, and retains commercial business solutions for voice, data and video to SMB level customers. Sell bundled telephony, data and video products to existing/new commercial business customers based on assigned revenue targets...Learn More

> Need a job? Need to hire? Visit FierceWirelessJobs

Announcing FierceWirelessJobs, the new FierceMarkets careers site. Find the perfect job or post your openings at http://www.fiercewireless.com/jobs.

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