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2014/05/23

| 05.23.14 | Alcatel-Lucent in talks to sell cybersecurity unit to Thales

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FierceTelecom

May 23, 2014

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This week's sponsors:
Ciena
Oracle
CVx ChannelVision Expo
Small Cells World Summit



Editor's Corner:
Have a great Memorial Day

Today's Top Stories:
1. Alcatel-Lucent enters talks to sell cybersecurity division to Thales
2. TDS partially completes Oklahoma broadband stimulus project
3. Cox offers details on 1 Gbps rollout--will start out in Phoenix, Las Vegas, Omaha
4. Level 3 names James O. Ellis Jr. chairman of the board, succeeding Walter Scott Jr.
5. Lawrence, Kan., proposes building its own 1 Gbps-capable FTTH network

Spotlight:
Alcatel-Lucent, Cisco and Juniper's router revenues decline sequentially, but up year over year, says ACG Research

Also Noted:
WOW! Business brings 10G Ethernet, SIP trunking to Evansville, Ind.; Jack Cassidy retires from Cyrus One's board Much more...

[Sponsored Content]
Executive Insights:
- TIA 2014: Strategies for Thriving Amidst Dramatic ICT Transformation
- Read More Executive Insights

News From The Fierce Network:
1. Google says its Fiber ISP service won't make paid peering deals
2. California's energy innovations reach new highs
3. Spotlight: As OpenStack grows, can it remain open?
4. More headlines...

Grading the top 13 ILECs in Q1 2014
With the first quarter 2014 earnings season now complete, FierceTelecom is taking a look at the results of the top U.S. ILECs. In this report, we break down the numbers in our quarterly chart, which summarizes how the top 13 ILECs performed in terms of revenue, access line losses, and subscriber additions. Special Report

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This week's sponsor is Ciena.

Webinar: How to build a profitable metro-regional network
Thursday, May 29th, 11:00am ET / 8:00am PT | New Speaker Added!

In this webinar we'll look at how service providers can craft retail business service offerings and revenue opportunities for specific verticals like education and health care. And we’ll talk about the demand for Ethernet and optical services. Register Today!


Editor's Corner

Have a great Memorial Day

By Sean Buckley Comment | Forward | Twitter | Facebook | LinkedIn

In observance of Memorial Day, FierceTelecom will not be publishing on Monday, May 26, but we will back in your inbox on Tuesday morning. Have a great holiday.--Sean

Sponsor: CVx ChannelVision Expo

Webinars

> How to build a profitable metro-regional network - Thursday, May 29th, 11amET / 8am PT
> Inside NFV - Why is virtualization important? - Thursday, June 5, 2014 2 PM ET/ 11 AM PT
> Driving revenue from multiscreen opportunities - Wednesday, June 11, 2014, 2pmET / 11amPT
> Developing for the Internet of Things: Challenges and Opportunities - Wednesday, June 18th, 2pm ET / 11am PT

Events

> The TIA Network of the Future Conference - June 3-5 - Dallas, TX - Sponsored by: Telecommunications Industry Association
> 2014 FTTH Conference & Expo - June 23-25, Fort Lauderdale, Florida
> Super Mobility Week - September 9 ? 11, 2014 - Las Vegas, NV
> Don't Miss this FierceWireless 5G Breakfast at Super Mobility Week! - September 9, 2014 - Las Vegas, NV - Sponsored by Ericsson, Intel, and SOLiD
> Don't Miss this FierceWireless IoT Breakfast at Super Mobility Week! - September 10, 2014 - Las Vegas, NV - Sponsored by RacoWireless and Sierra Wireless

Marketplace

> Whitepaper: Next-generation OSS is critical to delivering service agility in new virtualized networks
> eBook: VoLTE and the Future of Mobile Voice
> Whitepaper: 802.11ac in the Enterprise: Technologies and Strategies
> Whitepaper: Enhanced Mobility
> Whitepaper: HP Mobility Management
> eBook: Executive Summary | Thoughts on the Small Cell Evolution Part 2: Distributed Antenna Systems
> eBook: eBrief | MSOs See New Era for VoIP
> Whitepaper: Moving to the Suburbs: New Network Services For Data Centers
> eBook: Advancing the Network Through SDN and NFV

Jobs



This week's sponsor is Oracle.

Next-generation OSS is critical to delivering service agility in new virtualized networks
This white paper outlines the key role the OSS will play in enabling CSPs to deploy and realize anticipated benefits from service agility, operational flexibility and cost optimization. Download today.

Today's Top Stories

1. Alcatel-Lucent enters talks to sell cybersecurity division to Thales

By Sean Buckley Comment | Forward | Twitter | Facebook | LinkedIn

Alcatel-Lucent (NYSE: ALU) is in talks to sell its cybersecurity unit to Thales as part of what it says is a broader partnership to address network security opportunities.

This potential agreement, which would include the transfer of Alcatel-Lucent's network security assets to Thales, would allow Alcatel-Lucent to expand its position in the cybersecurity segment, one of the tenets of CEO Michel Combes' Shift Plan.

The vendor would be able to offer new and existing customers a suite of security solutions that combine its integrated security expertise in telecommunication products with complementary services provided by Thales. Meanwhile, Thales would be able to grow its cybersecurity business.

Alcatel-Lucent said this partnership is subject to a final definitive agreement and will become effective after the consultation of representative bodies, the execution of definitive agreements and obtaining necessary permissions.

Today, Alcatel-Lucent runs its cybersecurity services and communications security activities in three sites in France--Villarceaux, near Paris, Toulouse and Orvault near Nantes--and in three other European countries (Germany, Belgium and UK).

The potential sale of the cybersecurity division is part of a broader plan Combes embarked on last year to sell $1.37 billion of assets to turn the company around by the end of 2015. In December it sold its public sector subsidiary LGS Innovations to Madison Dearborn Partners and CoVant for $200 million, for example.

For more:
- see the release
- Reuters has this article

Related articles:
Alcatel-Lucent core networking revenues jump 6.9 percent to $1.8B on strong IP routing, transport sales
Alcatel-Lucent IP routing down 5.2 percent, but Q4 optical transport soars
Alcatel-Lucent sheds public sector division LGS Innovations for $200M
Alcatel-Lucent searches for another buyer for its struggling enterprise unit

Read more about: Michel Combes, Corporate Security
back to top


This week's sponsor is the CVx ChannelVision Expo.


2. TDS partially completes Oklahoma broadband stimulus project

By Sean Buckley Comment | Forward | Twitter | Facebook | LinkedIn

TDS Telecom has made another step towards bringing broadband to more hard-to-reach residents by completing another American Recovery and Reinvestment Act (ARRA) stimulus-funded broadband Internet project around Kellyville, Okla.

When construction on this project is completed early this summer, TDS will be able to offer nearly 900 residents, including subscribers that live around Cyril, Elgin, Fletcher and Inola, a broadband connection.

For this project, TDS will install about 40 miles of fiber-based cabling and 25 cabinets that will house necessary Broadband Loop Carrier (BLC) and related electronics throughout its Oklahoma Communication Systems territory.

By using the ARRA grant funding, TDS said it has been able to expand broadband access to more than 28,000 households across the country.

The service provider continues to make progress with its broadband stimulus projects. It recently completed a similar project in its home state of Wisconsin, which has extended service to 1,900 households. In addition, it partially completed projects in Kentucky, Mississippi and Tennessee.

For more:
- see the release

Special report: TDS' stimulus program will breathe broadband life into 27,000 rural households

Related articles:
TDS Telecom's hosted and managed services revenue jumps 77 percent to $63.1M
TDS completes central Wisconsin broadband stimulus project, extends service to 1,900 households
TDS completes parts of broadband stimulus projects in Kentucky, Mississippi and Tennessee

Read more about: Broadband Access
back to top


3. Cox offers details on 1 Gbps rollout--will start out in Phoenix, Las Vegas, Omaha

By Daniel Frankel Comment | Forward | Twitter | Facebook | LinkedIn

After revealing plans last month to kick off super-fast 1 Gbps Internet services, Cox Communications on Thursday revealed its roadmap for getting them launched.

The Atlanta-based pay-TV and ISP provider announced that it will immediately begin building these services into select areas of Phoenix, Las Vegas and Omaha, Neb., with nationwide rollout scheduled to be completed by 2016.

"We are excited about our road map to offer gigabit speeds to all our residential customers," said Cox Communications president Pat Esser. "Starting today, we will begin deploying new technology and infrastructure that will give customers the choice of gigabit speeds in all markets we serve."

The rollout isn't exactly a secret: Esser told Bloomberg that Cox was planning to offer a 1-gig plan during April's NCTA Cable Show.

Google (NASDAQ: GOOG) and AT&T (NYSE: T) have already began infiltrating select markets with 1 Gbps fiber-based networks. Google Fiber, for example, has already hit Kansas City and Provo, Utah, with plans to roll out in Austin, Texas with this year. Phoenix, meanwhile, is one of the 31 additional metropolitan markets Google is targeting. Cox is the largest pay-TV operator in that market, with 578,000 subscribers there, according to Bloomberg.

For more:
- see this CNET story
- see this press release

Related links:
Cox takes on AT&T and Google Fiber in 1 Gbps fiber race
Google Fiber to conduct small business pilot in Kansas City
Time Warner Cable bumps speeds for 100K Austin subs; service now tops out at 300 Mbps

Read more about: AT&T
back to top


4. Level 3 names James O. Ellis Jr. chairman of the board, succeeding Walter Scott Jr.

By Sean Buckley Comment | Forward | Twitter | Facebook | LinkedIn

Level 3 has appointed James O. Ellis Jr. as chairman of its board during its recent board of directors meeting.

He succeeds Walter Scott Jr., who announced his retirement from the board last year after serving as chairman of Level 3 and its predecessor company Kiewit Diversified Group (KDG), a subsidiary of Peter Kiewit Sons' (PKS).

Ellis comes to the chairman role with plenty of experience having been a member of the board since March 2005.

In addition to the chairman role, Ellis also serves as chairman of the board's Classified Business and Security Committee and is a member of the Nominating and Governance Committee.

Earlier, he served as the president and CEO of the Institute of Nuclear Power Operations from 2005 to 2012. A retired U.S. Navy admiral, Ellis is also currently a member of the board of directors of Lockheed Martin Corporation, Dominion Resources and Inmarsat PLC.

Ellis' appointment is just one of many changes that the company has made to its management team and board. In 2012, the company named Jeff Storey as its new president and CEO. Storey took the reins over from company co-founder James Crowe, who announced he would step down at the end of last year.

For more:
- see the release

Related articles:
Level 3 Chairman Scott to retire in 2014
Level 3 adds space to Bogota data center to accommodate cloud growth
Level 3 expands Latin America fiber, Ethernet network to accommodate surging business growth
Level 3 expands CDN footprint in EMEA, Latin America, Asia

Read more about: James O Ellis Jr
back to top


5. Lawrence, Kan., proposes building its own 1 Gbps-capable FTTH network

By Sean Buckley Comment | Forward | Twitter | Facebook | LinkedIn

Lawrence, Kan., is the latest city to propose building out its own fiber to the home (FTTH) network that will be able to offer the same 1 Gbps speeds Google Fiber (NASDAQ: GOOG) is offering today in Kansas City, reports the Lawrence Journal-World.

The city is not entirely going it alone with this proposed project. On Tuesday, a city advisory board recommended that the city provide a $1 million guarantee for Lawrence-based Wicked Broadband to launch a pilot FTTH project.

"The clock is ticking here," said Douglas County Commissioner Mike Gaughan, a member of the city's Public Incentives Review Committee. "We don't need to be falling further behind in getting high-speed Internet into the community."

In a 3-2 vote, the city's incentives review board recommended that it approve the loan guarantee and other elements, including the use of some of Lawrence's own fiber, for the pilot. The proposal will be submitted to the Lawrence City Commission.

Josh Montgomery, one of the two owners of Wicked Broadband, said that if the pilot works out they would be able to get private funding to provide the fiber-based service throughout the entire city. He expects the expansion of the service would cost $30 million.

If the project is approved, Wicked Broadband would offer 1 Gbps residential fiber-based service for $99 a month and a "slightly slower" speed for $49 a month. Customers that want the service would be required to pay a one-time $300 construction fee. In addition to data, Montgomery told the Lawrence Journal-World it would offer TV service from about $20 to $50 a month.

For more:
- Lawrence Journal-World has this article

Related articles:
Google Fiber to conduct small business pilot in Kansas City
FCC's Wheeler wants to eliminate municipal broadband barriers
Muni broadband support flaring up again as digital divide widens
Maryland Sen. Pugh says Baltimore's broadband proposal is 'destructive'

Read more about: FTTH, municipal broadband
back to top


Also Noted

This week's sponsor is Small Cells World Summit.

THE largest global meeting place for the small cells industry 10-12 June 2014, London

Covering public access, enterprise, residential…indoor or outdoor...femtocells, picocells, metro deployments and more FREE passes for operators, join the linkedin group to save 10% www.smallcellsworldsummit.com


TODAY'S SPOTLIGHT... Alcatel-Lucent, Cisco and Juniper's router revenues decline sequentially, but up year over year, says ACG Research

Alcatel-Lucent (NYSE: ALU), Cisco and Juniper all reported that their carrier routing and switching revenues declined quarter over quarter but increased year over year, according to ACG Research. Alcatel-Lucent's router revenue declined 7.8 percent sequentially but rose 4 percent year over year, while Cisco's rose 4.4 percent from 2.1 percent in the fourth quarter of 2013. Juniper was down 9.4 percent sequentially and up 8.8 percent year over year. Article

Wireline news from across the web:

@FierceTelecom RT @ Dimension Data UK: #Security industry seems to be moving towards a more reactive model of protection. It needs to be proactive. Article | Follow @FierceTelecom

> WOW! Business introduces 10 Gbps Ethernet and SIP trunking services for Evansville, Ind.-based businesses. Release

> Australia's NBN Co. announced that about 19,000 families and businesses in 15 communities across Australia are set to complete the transition to the National Broadband Network (NBN). Article

> Jack Cassidy, who has been a director of CyrusOne since July 2012 and chairman of the board since January 2013, has decided to retire from the board. Release

Cable News
> Can former News Corp. president and COO Peter Chernin make the $49.5 billion AT&T/DirecTV merger work? Article

> Often seeking programming they can't find on linear TV channels, U.S. Hispanics stream more video content than any other domestic consumer demographic, according to a report released earlier this week by research company PricewaterhouseCoopers. Article

Online Video News
> According to sources familiar with the matter, Yahoo is close to acquiring online video startup RayV--a purchase that may help shore up the technology behind its own video efforts, The Wall Street Journal reports. Article

Wireless News
> Cricket, the new prepaid brand of AT&T Mobility, is now offering a wide range of financing options to customers who want to purchase expensive phones. Article

> T-Mobile US, along with its MetroPCS prepaid brand, surpassed Sprint and Sprint's MVNOs as the third-largest U.S. carrier in terms of smartphone volumes in the first quarter, according to a new research report. Article

And finally… Ninety-four of all data security incidents in 2013 can be traced to nine attack patterns. Report

News From The Fierce Network:

> Yahoo may add RayV to online video acquisition pile Post
> T-Mobile launches VoLTE in Seattle, promises more markets this year Post

Webinars

> How to build a profitable metro-regional network - Thursday, May 29th, 11amET / 8am PT

In this webinar we'll look at how service providers can craft retail business service offerings and revenue opportunities for specific verticals like education and health care. And we'll talk about the demand for Ethernet and optical services. Register Today!

> Inside NFV - Why is virtualization important? - Thursday, June 5, 2014 2 PM ET/ 11 AM PT

Vendors claim that the wireless industry is about to go through a major change as operators simplify and scale their networks by separating hardware and software functionality and using virtualization to improve network management in the software layer. This webinar will look at the latest developments in NFV and what it means to operators and vendors. Register today!

> Driving revenue from multiscreen opportunities - Wednesday, June 11, 2014, 2pmET / 11amPT

Smartphones, tablets, smart TVs and other IP-connected devices are revolutionizing the way content providers, distributors and advertisers reach viewers. While multiscreen devices promise to increase viewer engagement and social interaction, the strategies for making money from these other screens are still evolving. This webinar will look at a variety of multiscreen strategies that are currently being used by pay-TV providers. Register Today!

> Developing for the Internet of Things: Challenges and Opportunities - Wednesday, June 18th, 2pm ET / 11am PT

Cisco estimates that 50 billion devices and objects will be connected to the Internet by 2020. Will there be a role for developers in this area? And if so, how can developers position themselves in the months ahead on this nascent but potentially explosive opportunity? Register Today!

Events

> The TIA Network of the Future Conference - June 3-5 - Dallas, TX - Sponsored by: Telecommunications Industry Association

The Conference, which highlights the intersection of markets, technology, and policy perspectives, will focus on transformation of the ICT industry as globalization, technological innovations and regulatory environments present challenges and opportunities. Topics include: 5G, SDN, Big Data, NFV, Cybersecruity, and much more. Click Here Now.

> 2014 FTTH Conference & Expo - June 23-25, Fort Lauderdale, Florida

Join the people driving innovation and bringing FTTH connectivity to communities throughout North America and beyond! Take part in three days of networking, education, and exhibitor solutions that will provide you with ideas and solutions to deploy, grow, and monetize your network. Visit www.ftthannual.org for more information!

> Super Mobility Week - September 9 ? 11, 2014 - Las Vegas, NV

Super Mobility Week powered by CTIA is North America's largest forum for the mobile innovations that power your connected life. Thousands of mobile professionals and executives, 1,100+ exhibitors, as well as 1,000+ media and analysts from across the globe will gather in September for this event. Learn more at www.supermobilityweek.com.

> Don't Miss this FierceWireless 5G Breakfast at Super Mobility Week! - September 9, 2014 - Las Vegas, NV - Sponsored by Ericsson, Intel, and SOLiD

Join Kris Rinne, AT&T; Vish Nandlall, Ericsson; and other industry experts as they explore how to get from today's networks to the 5G network of the future. Seats are limited. Register Today!

> Don't Miss this FierceWireless IoT Breakfast at Super Mobility Week! - September 10, 2014 - Las Vegas, NV - Sponsored by RacoWireless and Sierra Wireless

Join Matt Thompson, Microsoft; John Horn, RacoWireless; and other industry experts as they delve into the market segments where IoT technologies are blossoming now, and explore where the next opportunities may lie. Seats are limited. Register Today!

Marketplace

> Whitepaper: Next-generation OSS is critical to delivering service agility in new virtualized networks

This white paper outlines the key role the OSS will play in enabling CSPs to deploy and realize anticipated benefits from service agility, operational flexibility and cost optimization. Download today.

> eBook: VoLTE and the Future of Mobile Voice

Despite more than two years of anticipation, the U.S. is still waiting for the widespread deployment of voice over LTE as major operators delay deployment. Experts say this shouldn't come as a surprise given the complexity of the technology. FierceWireless will take an in-depth look at VoLTE as well as explore HD voice and other advanced services made possible by VoLTE. Download this eBook today!

> Whitepaper: 802.11ac in the Enterprise: Technologies and Strategies

Download the White Paper "802.11ac in the Enterprise: Technologies and Strategies" to learn from industry expert Craig Mathias about the technologies behind 802.11ac, deployment misconceptions and review steps that every organization should take in getting ready for 802.11ac.
Download today!

> Whitepaper: Enhanced Mobility

Discover how HP NonStop solutions, powered by Intel® Itanium® processors, enable you to meet the growing demands of mobile subscribers while lowering costs and better positioning your business for change. Download today to learn more.

> Whitepaper: HP Mobility Management

See how HP Mobility Management with HP NonStop solutions, powered by Intel® Itanium® processors, helps you better manage subscriber data across 3G/LTE/WiFi networks while delivering a consistent service experience and personalized services with added efficiency. Download today to learn more!

> eBook: Executive Summary | Thoughts on the Small Cell Evolution Part 2: Distributed Antenna Systems

TE Connectivity conducted surveys in the spring and fall of 2013 to gauge how service providers, hardware/software integrators and other segments of the industry are thinking about small cell technologies and their roles in the macro/micro network. The surveys found that attitudes and perceptions continue to evolve. Download this executive summary today!

> eBook: eBrief | MSOs See New Era for VoIP

This FierceCable eBrief will explore that while cable MSOs may be struggling to retain video customers, several Tier 2 and Tier 3 operators are growing their revenues by bundling VoIP services with their existing video and high-speed Internet packages. Download this eBrief today!

> Whitepaper: Moving to the Suburbs: New Network Services For Data Centers

Data centers are moving outside traditional metro areas to take advantage of lower real estate and power costs. Learn three ways service providers can manage this shift by reading this white paper. You will learn: How to optimize connectivity between users and content, how to differentiate user to content domain services and how on-demand service offerings can bring additional revenue. Download this whitepaper today.

> eBook: Advancing the Network Through SDN and NFV

FierceWireless explores the current status of SDN and NFV in this ebook. In addition, we look at some of the advanced capabilities the two technologies can offer. Download this eBook today!

Jobs




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