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News Summaries
for the week ending November 10, 1999

Last Week's News

CyberTel, Inc. Launches Major Upgrade
Lucent Introduces New DSP Operating At One Volt of Power
Microsoft Licenses Object Technology's Internet Patent Portfolio
Tests give boost to Lucent technology
Equinix makes $1.2 billion Net hub push
Ericsson teams to build advanced networks
GATX capital to finance telecom start-ups
Inter-Tel expands system capacity of its I-PBX product
Software.com and Cisco to unify Internet and wireless telephony applications
Splitterless ADSL Promises Faster Service Delivery
The New Order: Can the Traditional Carriers Cope



CyberTel, Inc.  Launches Major Upgrade 
Source: businesswire

CyberTel Inc., a leading IP telecommunications software company, announced on November 5, a major upgrade to its software-based, pure-play IP platform, CyberCom.  It will deliver universal communications, and the freedom to access, exchange, and route messages to and from a broad range of devices.  CyberTel, Inc. delivered the first software-based solution over a year ago, and is now raising the ante, providing enterprise organizations, ISPs, and telecommunications carriers with two new, focused solutions to leverage the flexibility of a universal communications system.

CyberCom Type S (CTS), and CyberCom Type E (CTE) are the latest solutions from CyberTel, Inc., developed specifically for carriers and for enterprise organizations, respectively. Both solutions offer targeted platforms to support universal, two-way messaging over pure-play IP networks, such as the Internet, intranets, or extranets.
Using FreeCom, CyberTel, Inc.'s device-independent thin JAVA client, both CyberCom platforms have the capability to send, receive, forward, and broadcast any type of message - including fax, e-mail, voice mail, and pager - from any device, to any other device, connected to any IP or PSTN network. FreeCom resides on any computer or workstation, providing secure, uniform access to any communications application across the network, with the ease-of-use of a regular phone.  Alternatively, CyberCom's messaging and communications services can be fully accessed using any phone, wired or wireless, with optional notification services through paging devices or SMS. CyberCom's pure-play IP architecture also enables users to retrieve messages through any e-mail client.



Lucent Introduces New DSP Operating At One Volt of Power
Sources: businesswire and ilocus

Researchers at Lucent Technologies' Bell Labs have developed the world's fastest DSP operating at one volt. The chips operate at 100 Megahertz - the fastest processing speed of any industry DSP technology using only one volt of power.  Potential applications include enabling smaller and lighter cellular phones with extended battery life. The technology also could be instrumental in packet voice and data transport over wireless phones, higher-speed Internet surfing and video applications, as well as digital audio broadcasts.  Typically, system-on-a-chip (SoC) technology combines on a single silicon chip a number of components that formerly had to be implemented on separate chips. The approach enables substantial reductions in cost, power consumption and size of integrated circuits. Lucent's one-volt DSP could be a key ingredient in SoC applications.
    
To create this high-performance DSP technology, Bell Labs researchers turbo-charged an existing Lucent DSP 1628 chip, which is used for cellular phones. The current DSP has gates that measure 0.25 micron, or roughly 400 times smaller than the width of a human hair.  In the turbo-charged version, Bell Labs researchers Isik C. Kizilyalli and Pat Watson shrank the gates to 0.12 micron by refining the optical lithography approach used to produce various features on today's silicon chips. The novel phase-shifting approach modified how light passes through the mask, which is the master pattern for a silicon circuit, and improved resolution considerably.  The researchers powered the modified DSP 1628 at two voltages. At 1.0 volt, it ran at 100 megahertz, and at 1.5 volts, it ran at 170 megahertz.  The latter is nearly a three-fold improvement over the unmodified DSP 1628's performance of 60 megahertz at 1.5 volts.



Microsoft  Licenses Object Technology's Internet Patent Portfolio
Source: businesswire

Object Technology Licensing Corporation ("OTLC"), a privately-held Cupertino, California based marketer of Internet and distributed computing technologies, today announced its entry into a broad ranging patent license agreement with Microsoft Corporation, whereby Microsoft has acquired the rights to use in its products the inventions covered by OTLC's extensive portfolio of over 150 US and 300 foreign software-related patents.  "OTLC's patent portfolio provides Microsoft with access to a number of essential leading edge Internet and distributed computing technologies available nowhere else," said Brian Naylor, OTLC's president. "The agreement's provision that Microsoft will be automatically licensed under any future US and foreign patents that may issue to OTLC ensures that in the future Microsoft will continue to receive full access to the latest OTLC technologies."

"We are delighted to have Microsoft Corporation, the world's leading independent software company, join with our other existing licensees -- which include IBM, Apple Computer, and Hewlett-Packard -- in accessing our extensive portfolio of Internet and distributed computing software patents," said Naylor. "Having signed up these key licensees, OTLC will direct its full attention and resources to licensing its technologies more widely, and will continue to aggressively enforce its intellectual property rights."  The remaining terms of the agreement were not announced.

Object Technology Licensing Corporation controls the world's largest portfolio of object-oriented Internet and distributed computing software patents. The Cupertino, California-based company owns numerous US and foreign patents in the key areas of Internet-based networking, collaboration, multimedia, graphics, notification systems, middleware, and natural language processing.


Tests give boost to Lucent technology

Source: C/Net News

Lucent Technologies said AT&T is among 60 phone companies that plan to test a piece of super-fast Internet gear Lucent acquired earlier this year.  Lucent gained the product, a router that directs traffic on the Internet, with its July purchase of Nexabit Networks for $1.1 billion. AT&T, Global Crossing, and the state of Oklahoma already have run tests on the NX-64000, said Mukesh Chatter, vice president of core routing at Murray Hill, New Jersey-based Lucent. The other companies plan tests over the next six months.  Successful trials at AT&T would give credibility to a product that Lucent hopes will help it regain the lead in optical networking from rival Nortel Networks. Lucent developed a sophisticated link between the router and its optical equipment that speeds transmission and reduces costs, Chatter said.

Because the technology works best with other Lucent equipment, it could help the company sell more of the gear used to send and boost capacity on fiber, Chatter said.  Lucent already has its first purchase order for the NX-64000 and expects at least two more by year-end, Chatter said.  The NX-64000 is one of a new generation of devices known as terabit routers that promise to make the Internet faster and more reliable for sensitive traffic such as phone calls and video-conferencing. Others are being developed by Nortel, Avici Systems, Pluris, and Siemens.  The biggest challenge for Lucent when it bought Nexabit was to develop an interface that would let the NX-64000 handle data traffic on the fastest of fiber networks. The lasers used to power such networks are based on technology called OC-192.  Early on, Lucent executives were unsure that Nexabit would develop an OC-192 interface as quickly as the startup claimed and said the process could take until next year. Chatter said it's ready now; Global Crossing used it to move traffic from Cleveland to Chicago and back again.  "That's a key to getting the product into big, core networks," said Craig Johnson, a principal analyst with the Pita Group in Portland, Oregon.  Phone companies and Internet-service providers need OC-192 interfaces to avoid bottlenecks that slow traffic as new fiber- optic equipment adds capacity to optical networks. Without them, carriers won't be able to provide customers with guaranteed data speeds, analysts said.



Equinix makes $1.2 billion Net hub push

Source:
C/Net News

Internet firm Equinix announced a $1.2 billion contract with construction firm Bechtel to build a worldwide series of Internet hubs and hosting centers.
  Equinix is one of a group of firms that aims to eliminate Internet congestion with new technology. The contract will give the company momentum in its goal to change the way the Internet's various networks connect, analysts said.    Equinix joins a group of firms taking advantage of the Net's current congestion and turning the solution to this problem into a lucrative business.  The company plans to build 30 high-security network hubs around the world where Internet service providers, telephone companies, Internet content companies, or any other firm involved in the distribution of Net traffic can locate their servers and connect to each other.  The hubs largely will compete with the data exchange points now owned by big telephone companies like MCI WorldCom and Sprint, which analysts say are badly overloaded.  But where the original exchanges simply allowed one company's network to hand off traffic to another, Equinix aims to facilitate a more complex series of exchanges within its centers.  The idea is to allow virtually any Net firm to swap data within a network hub, without having to send traffic out onto the slower Internet. Thus, a company like eBay could set its servers next to Yahoo's, use Yahoo's search engines to find results, and then send information onto the Internet much faster than if all of the companies were located in different areas, connected by traditional networks.

The idea is still relatively new, but has attracted enough attention from the likes of Microsoft and Cisco Systems to win the company more than $12 million in an initial round of funding. Another round of cash is on its way, but the company has not said how much or who is contributing this time around.  Even if the second round of funding is considerably larger than the first, there will still be a big gap between the company's cash on hand and the $1.2 billion needed to pay Bechtel for its network services. The company plans to finance the deal through debt, a spokeswoman said. 

Equinix has opened one exchange facility near Washington, with another in New Jersey slated to open in a few weeks. A third in the Silicon Valley area will open early next year, with the rest of the 30 centers being built and deployed over the next three years, Avery said.


Ericsson teams to build advanced networks
Source:
C/Net News

Cellular phone firm Ericsson said it formed an alliance with a U.S.-based networking equipment company to build Internet-based networks that combine voice and data.  Ericsson plans to resell Extreme Networks' switching equipment and integrate the company's technology in its own products for corporate clients.  Ericsson will also use Extreme's products on its networks based on Internet Protocol.  Ericsson and other phone equipment makers, like Nortel Networks, are pushing to develop new networks that can carry data and give phone users access to the global computer network, email, and other functions.  "This strategic alliance provides our customers with a competitive advantage by enabling them to increase their productivity by implementing emerging IP telephony services and business applications," such as Web-based call centers, Lars Svensson, vice president at Ericsson's Enterprise Systems Business Unit, said in a statement.

 

GATX capital to finance telecom start-ups
Source: ilocus

GATX Capital, the financial services arm of GATX Corporation announced that it has formed GATX Telecom Investors II, primarily to finance start-up telecommunication companies.  It is in partnership with Dana Commercial Credit Corporation, Banc One Capital Corporation, Heller Financial, and a major technology lessor. GATX Capital is the arranger, manager, and a co-investor.  This is the second telecommunication investment partnership formed and managed by GATX Capital. Both partnerships provide large-ticket leases and loans to finance the infrastructure of start-up telecom companies. The aggregate investment capacity of GATX Telecom Investors II is $300 million, whereas the investment capacity in GATX Telecom Investors I was $200 million.



Inter-Tel expands system capacity of its I-PBX product
Source: ilocus

Inter-Tel announces the release of the latest version of its I-PBX product expanding transparent PBX networking capability up to 63 systems and 20,000 system ports.  AXXESS software version 5.1. will also support distributed and networked voice mail as well as voice processing enhancements.  In addition to expanded system capacity, AXXESS v5.1 provides several voice processing enhancements including voice mail networking and return calls from voice mail.  Voice mail networking allows organizations to network multiple voice mail systems to operate as one, supporting larger applications.  Inter-Tel's new voice mail networking supports industry standard networking protocols, like AMIS, to allow the AXXESSORY Talk voice mail to network with messaging systems from other vendors.  In addition, the version 5.1 software provides digital networking over a TCP/IP network, like a LAN or the Internet, or using a business's existing e-mail system to transport messages between AXXESSORY Talk systems.  Where Caller I.D. is available, the voice mail system captures this information and the return calls feature uses it to allow users to press a single button to place a return call to the person identified in the Caller I.D. information.

Software.com and Cisco to unify Internet and wireless telephony applications
Source: ilocus

Cisco Systems and Software.com have announced a joint initiative to extend unified messaging services beyond the desktop computer to the wireless market, providing the unification of Internet and wireless telephony applications.  Founded in 1993, and with over 56 million mailboxes licensed, Software.com provides Internet infrastructure applications for service providers.  The two companies have joined forces with the intent to offer service providers the networking equipment combined with a scalable unified communications software platform and Internet infrastructure applications.  Software.com will provide a scalable infrastructure for storing and forwarding messages regardless of device, media or content.  The users will then be capable of receiving or sending notifications based on changes to their mailboxes. These notifications can be generated as pager, wireless SMS or message waiting indicators, depending on intelligent user customizable filters.  This will enable a user to access voicemails, emails, pages and faxes from a single unified mailbox regardless of location, time or device.  The market for wireless communications is growing and International Data Corporation estimates worldwide cellular/PCS subscribers in 1998 were 303 million and will reach more than 1 billion by the year 2003.

 

Splitterless ADSL Promises Faster Service Delivery
Source: comsoc

Incumbent local carriers are beginning to use splitterless asymmetric DSL as a way to make installation of DSL less costly and time consuming. The technology uses a device that customers install, eliminating the expense associated with sending a technician to install a splitter at the customer site. BellSouth and SBC Communications are conducting trials of splitterless ADSL, while Bell Atlantic has announced plans to broaden its use of the method. U S West already uses splitterless ADSL to prevent DSL demand from exhausting its service technicians. Though the majority of customers can successfully install the microfilters used for splitterless DSL, technicians sometimes need to be sent to customer sites because their wires need to be upgraded or the wiring within the building cannot sufficiently support the service. The microfilter is needed because it prevents interference that can force the ADSL modem to drop its connection.



The New Order: Can the Traditional Carriers Cope
Source: comsoc

While proponents of an Internet-based public network believe incumbent service providers will get left behind with their circuit-switched networks, the incumbents believe they will survive despite challenges in the data-communications arena. The most pressing concern is the fact that incumbent telcos need to find new, more effective ways to manage the increasing amount of dial-up Internet traffic. A long-term concern is how fast traditional telcos will need to shift to a totally converged network that offers packet-based voice and data transmissions. Circuit-switched networks are being clogged with dial-up traffic, a problem that is not expected to be resolved in the near future. U S West has employed a "dial offload" plan, which converges the SS7 capabilities of the circuit-switch network with the carrier's ATM network to shift dial-up transmissions off the PSTN. Bell Atlantic has introduced a similar offering called Internet Protocol Routing Service. While SBC, BellSouth, Bell Atlantic, and U S West said they are developing interim solutions based on ATM, they have not yet moved past testing. Traditional carriers have not yet made the move to all-packet networks because IP services are not yet profitable. Even companies like Qwest, who tout their IP strategies, generate money from other services, including parallel TDM, ATM, and frame relay networks. Another factor that may keep carriers from migrating to all-packet networks is the development of new technologies like DWDM, which may eliminate the incentive to converge TDM, ATM, frame relay, and IP networks.