Kelly new Tellabs CEO and president
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Kelly new Tellabs CEO and president
Daniel P. Kelly, 51, was appointed Tellabs' (NASDAQ: TLAB) new chief executive officer and president. Kelly fully assumes the roles after serving as Tellabs’ acting CEO and president since June 27, 2012.Kelly became acting CEO and president shortly before his predecessor, Rob Pullen, died of cancer (see “Tellabs CEO Pullen dies from cancer”). Kelly was executive vice president of global products at the company before stepping into Pullen’s duties."Dan is the right leader to enable Tellabs' success in these challenging times," said Michael J. Birck, Tellabs chairman and co-founder, who is battling cancer himself (see “Birck, citing cancer, to step down as Tellabs chairman”). "He has the deep expertise, relationships and experience to execute our plan to improve Tellabs' ormance.""We are building on Tellabs' strengths - our people, our customer focus and our product innovations," said Kelly. "Tellabs stands ready to help our customers succeed as they advance networks with Tellabs Mobile Backhaul, Packet Optical, Optical LAN and Access Solutions."The Tellabs board unanimously backed Kelly's appointment.
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Nokia Siemens Networks to sell optical network hardware business to Marlin Equity Partners
Nokia Siemens Networks is getting out of the optical network hardware business. The company says it has agreed to sell the unit to Marlin Equity Partners and focus on mobile broadband. Terms of the deal were not disclosed.Marlin Equity Partners, a private investment firm with more than $1 billion in assets, intends to operate the business as an independent company. According to a press release announcing the deal, Marlin Equity partners will form a new Munich-based company that “intends to act as a consolidator, building an industry leader in the fragmented optical networking sector.” The new will be led by its existing management team; Herbert Merz has been nominated as chief executive officer. As many as 1,900 employees – mainly in Germany, Portugal, and China – from the optical business unit and related functions are expected to transfer to the new company.“We are making a major commitment to this sector, and have significant capital under management that we intend to use as a catalyst for consolidation,” said Nick Kaiser, a co-founder and partner at Marlin Equity Partners.This is Marlin Equity Partner's second recent purchase in the fiber-optic network hardware space. The company announced in October plans to purchase the intelligent bandwidth management business of Sycamore Networks (see "Sycamore Networks shutting down, sells optical business for $18.75M"). Marlin Equity Partners didn't indicate whether it plans to combine its two new assets into one company, but it would appear to make sense.For its part, Nokia Siemens Networks will turn its attention full-time to the mobile broadband space. “During 2012 Nokia Siemens Networks has made tremendous progress in the transformation of our company to being the world’s mobile broadband specialist. Our strategic focus on our core markets has enabled us to concentrate our energy and investment in areas such as LTE where we have strengthened our global leadership position,” said Rajeev Suri, Nokia Siemens Networks CEO. “This transaction builds on that momentum and aims to provide a new home for the optical networks business with the focus, resources, and strategic flexibility to address the opportunities in the optical market.”The transaction isn’t a surprise, according to Dana Cooperson, leader of market research and consulting firm Ovum’s Network Infrastructure Telecoms practice. “When Nokia Siemens Networks announced its updated strategy about a year ago it said it was focusing its business on mobile broadband but needed to keep its optical group as a complement. This struck Ovum as odd: Its strongest position in optical (it’s ranked 10th globally in the $14.9B market with just under $500M annual sales) is in the network core, where there is little connection with MBB,” she said via a statement Ovum released this morning. “Furthermore, NSN’s optical business has been slipping for years with no clear plan to improve; it has not done the kind of fundamental R&D that its main competitors (e.g., Alcatel-Lucent, Ciena, Cisco Systems, Huawei Technologies) are doing.”Meanwhile, the new company will be embarking on a journey across rough waters, Cooperson adds. “Competition in the market is keen; margins are under constant pressure,” she said. “Competitors will take advantage of this ownership change and related confusion to gain any advantage in NSN’s accounts. Marlin’s goal may be to sell the optical business to another vendor, for example Juniper Networks.”The transaction is expected to close in the first quarter of 2013.
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Infinera, ESnet demo Transport SDN via Open Transport Switch
Infinera (NASDAQ: INFN) has unveiled a concept for bringing the benefits of software-defined networking (SDN) to optical networks. Called Optical Transport Switch (OTS), the prototype development enables network operators to use an SDN controller via an extension of OpenFlow to manage the optical transport layer. Infinera has demonstrated OTS operation with the help of the U.S. Department of Energy’s Energy Sciences Network’s (ESnet’s) Long Island Metropolitan Area Network (LIMAN) control plane testbed.Infinera calls the use of SDN concepts at the optical layer Transport SDN. According to Chris Liou, vice president of network strategy at Infinera, and Mike Capuano, vice president of corporate marketing, the OTS provides a gateway via which an SDN controller can interact either with the GMPLS control plane or Bandwidth Virtualization capabilities of Infinera’s DTN and DTN-X optical transport platforms to create new connections, access additional bandwidth, enable services, and perform other optically related network functions. The OTS and Transport SDN aim to enable at the optical layer the goals of SDN in general: application-driven control of network resources that result in simplified operations, acceleration of new service deployment, and efficient resource use.To demonstrate the potential of the OTS prototype, Infinera worked with ESnet to apply OTS to DTN platforms ESnet has installed in both its testbed and production network (see “ESnet selects Infinera for network testbed”). With the Brookhaven National Laboratory as the hub of the experiment, the ESnet operators used OTS to perform on-demand Ethernet service creation and bandwidth elasticity on the LIMAN running from Manhattan to Upton, NY.The demonstration included both implicit and explicit path setups. In the implicit case, the SDN controller established the connection parameters only on either end of the network, and left the DTN platforms to determine the best path through the network elements in between. For explicit instances, the SDN controller set up each connection along the path from one end to the other.According to ESnet Chief Technologist Inder Monga, the Brookhaven National Laboratory and other ESNet users increasingly require the ability to transmit large data flows on-demand without swamping their network. He described OTS and Transport SDN as “a good first step” in meeting his organization’s needs for efficient connection creation and bandwidth access. Monga says the next steps should involve a full SDN implementation, which would mean bringing other domains – such as the IP layer -- and vendors into the loop.
Liou and Capuano say Infinera shares these goals. The company is working within the Open Networking Foundation (ONF) on the group’s effort to create a virtual transport switch, which is similar in concept to the OTS. Toward this end, the Infinera sources say the next step in the demonstration setup is making it accessible remotely so that others with interest in the ONF’s virtual transport switch effort can see the OTS in action.Meanwhile, the potential ability to bring both Transport SDN and IP-layer SDN capabilities together under the same umbrella has implications for the trend toward IP/optical convergence. With the creation of an open, standards-based way to get platforms at the IP and optical layers to interact with each other more efficiently an industry desire, Liou and Capuano agreed that SDN may prove a viable path toward that goal. However, additional development of SDN principles will be necessary before the industry can evaluate SDN’s potential in a convergence role, they believe.
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