New fiber-based ultra-broadband access solution from Alcatel-Lucent helps cable operators build revenue opportunities from business services
Paris, October 16, 2013 - Alcatel-Lucent (Euronext Paris and NYSE: ALU) is introducing a new ultra-broadband optical fiber access solution for cable multiple-system operators (MSOs). The Ethernet Passive Optical Networking or EPON, solution can be integrated into existing cable access networks to deliver greater capacity to more businesses at a lower cost. This will enable MSOs, particularly those in North America, to expand their service offerings to meet the growing data bandwidth needs of businesses.
Bright House Networks, the sixth largest owner and operator of cable systems in the United States has selected Alcatel-Lucent’s EPON solution for its commercial services network.
North American businesses are estimated to spend over $140 billion per year in total on communications services, yet MSOs are currently only capturing a small percentage of this market. With an increasing reliance on cloud-based services and applications like video conferencing, one of the fastest growing opportunities is high-bandwidth connectivity. Revenue from fixed broadband services providing connections between 100 megabits-per-second (100Mbps) and 1 gigabit-per-second (1G) is predicted to more than double between 2013 and 2017
Alcatel-Lucent’s new EPON solution will help MSOs meet this demand more cost-effectively, allowing them to capture a far greater share of the growing business services market.
About the Alcatel-Lucent EPON solution
Alcatel-Lucent’s EPON solution for MSOsis based on the highest capacity fiber platform on the market – the Alcatel-Lucent 7360 ISAM FX with 1G EPON and 10G EPON linecards.
The solution supports DOCSIS® provisioning of EPON (DPoE™), EPON Small Form-factor Pluggable (SFP) Optical Network Units (ONU), and a 10G EPON ONU. This enables it to integrate smoothly with existing networks, provisioning systems, and customer premises equipment, allowing MSOs to provision new services quickly and easily.
EPON delivers more bandwidth (up to 1G or 10G upload and download speeds) than today's DOCSIS networks and supports three to four times the number of customers per fiber as existing point-to-point coarse wavelength division multiplexing (CWDM) solutions.
EPON is also scalable and flexible, providing symmetrical speeds from 10s of Mbps up to 1 Gbps, with a smooth evolution to 10 Gbps on the same high-capacity fiber platform.
Alcatel-Lucent’s EPON solution is a further proof point of The Shift Plan, the company’s industrial strategy to become a specialist IP Networking and Ultra-Broadband Access vendor, as well as expanding its footprint in broader market segments, such as MSOs.
Craig Cowden, SVP, Network Engineering/Operations & Enterprise Solutions, Bright House Networks said: “Bright House Networks has been an early champion of PON technologies in general, and EPON specifically, as our default last-mile fiber connectivity solution supporting all of our MetroE and cell backhaul services. Compared with competing alternatives, EPON has clear advantages in capital efficiency, vendor interoperability, bandwidth scalability and standardized provisioning. Bright House Networks is excited to partner with Alcatel-Lucent as we continue our EPON technology journey, migrating to 10G systems with full DPOE provisioning functionality.
Jeff Heynen, Principal Analyst, Broadband Access and Pay TV, Infonetics: “By offering an EPON solution designed to integrate with MSO’s existing networks, Alcatel-Lucent is allowing them to address an important market opportunity. Except for the small and medium sized business customer, the business communications segment represents a largely untapped market for cable operators and Alcatel-Lucent’s fixed fiber broadband expertise can help MSOs deliver real value to more demanding business users.”
Erik M. Keith, Principal Analyst, Fixed Access and Digital Media Infrastructure, Current Analysis: “Expanding its fiber access portfolio is a logical move for Alcatel-Lucent given the emphasis placed on the cable market in the company’s Shift Plan. The wealth of experience Alcatel-Lucent brings from its leading position in the fixed access market, combined with its strong presence in North America, will make this new EPON solution an attractive proposition for MSOs.”
Federico Guillen, head of Alcatel-Lucent Fixed Networks: “The business communications market segment is growing rapidly and cable operators in North America have a real opportunity to address it. As ultra broadband specialists, with a strong portfolio of products and real local knowledge and expertise in the North American cable market, Alcatel-Lucent is in a great position to help MSOs meet enterprise customers’ demands with high-capacity, high-quality connectivity.”
• Product web site
• Alcatel-Lucent Cable MSOs Business Services
 Source: Heavy Reading, “The Future of Cable Business Services 2012”, November 2012 Source: IDC "U.S. Carrier Ethernet Services 2013–2017 Forecast", October 2013
ABOUT ALCATEL-LUCENT (EURONEXT PARIS AND NYSE: ALU)
Alcatel-Lucent is at the forefront of global communications, providing products and innovations in IP and cloud networking, as well as ultra-broadband fixed and wireless access to service providers and their customers, enterprises and institutions throughout the world.
Underpinning Alcatel-Lucent in driving the industrial transformation from voice telephony to high-speed digital delivery of data, video and information is Bell Labs, an integral part of Alcatel-Lucent and one of the world’s foremost technology research institutes, responsible for countless breakthroughs that have shaped the networking and communications industry. Alcatel-Lucent innovations have resulted in the company being recognized by Thomson Reuters as a Top 100 Global Innovator, as well as being named by MIT Technology Review as amongst 2012’s Top 50 “World’s Most Innovative Companies”. Alcatel-Lucent has also been recognized for innovation in sustainability, being named Industry Group Leader for Technology Hardware & Equipment sector in the 2013 Dow Jones Sustainability Indices review for making global communications more sustainable, affordable and accessible, all in pursuit of the company’s mission to realize the potential of a connected world.
With revenues of Euro 14.4 billion in 2012, Alcatel-Lucent is listed on the Paris and New York stock exchanges (Euronext and NYSE: ALU). The company is incorporated in France and headquartered in Paris.
For more information, visit Alcatel-Lucent on: http://www.alcatel-lucent.com, read the latest posts on the Alcatel-Lucent blog http://www.alcatel-lucent.com/blog and follow the Company on Twitter: http://twitter.com/Alcatel_Lucent.