& cplSiteName &

Bit Parts: Cashing In on Chips

Carolyn Mathas
News Analysis
Carolyn Mathas
4/25/2014
50%
50%

Welcome to "Bit Parts," a regular roundup of the technology, R&D, financial, and jobs news from the communications components sector.

Here are the latest headlines that caught our eye:

  • FPGA and SoC specialist Altera Corp. (Nasdaq: ALTR) reported higher-than-expected first-quarter revenues of $461.1 million, up 12% from a year ago. "The quarter exceeded our expectations as stronger than anticipated Chinese LTE deployments drove wireless sales," said John Daane, president, CEO and chairman (yes, three jobs in one!), in the company's earnings release. The company's share price rose more than 4% to $35.50 in after-hours trading late Thursday. Read more about Altera in our recent look at the company's recent developments, The M&A Way to Achieve 400G Goals.

  • Comms chip giant Broadcom Corp. (Nasdaq: BRCM) also posted better than anticipated financials late Thursday, reporting revenues of $1.98 billion, though that was slightly down from a year ago. But despite the good results, the firm's stock dipped by about 2% in after-hours trading to $30.50 due to concerns about fierce competition in the 4G chip sector, as this Reuters article notes.

  • Continuing the trend, Freescale Semiconductor Inc. also reported first-quarter results that exceeded expectations, announcing revenues of $1.13 billion that were boosted by network rollouts in China. The company noted that sales for its Digital networking division were up by about 23% year-on-year at $249 million, with the growth "broad based across service provider, enterprise and general embedded segments. Sequentially, the networking business benefited from higher sales of service provider equipment, including wireless base stations in China." That wasn't enough to stop its stock dipping by 1.5% in after-hours trading to $25.50, though that did follow a 4.4% rise during Thursday.

  • ATCA specialist Kontron AG has helped Canadian video optimization partner Vantrix Corp. develop two transcoding solutions designed to help content service providers, including cable operators and telcos, deliver more efficient multiscreen video services. The multiscreen live transcoder and VoD (video-on-demand) transcoder, which support multiple formats (including 4K UHD and Adaptive Bitrate delivery), both run on Kontron's SYMKLOUD platform. Kontron recently announced full-year 2013 revenues of €445.3 million ($616 million), in line with expectations. (See this Kontron release and Kontron Intros Symkloud.)

  • ATCA management software could accelerate complex systems integration by up to 40%, according to Artesyn Embedded Technologies. With its System Services Framework (SSF) management suite for Artesyn ATCA systems, customers can configure and monitor the hardware and software elements of a single ATCA shelf or multiple shelves. A GUI delivers a view of system configuration, events and alarms, and a way to configure switches or payload blades and system access.

  • Chinese FTTH component vendor APAT Optoelectronics Components Co. is to take over Avago Technologies Pte. 's Taiwan R&D Center, including the staff and facilities. The R&D Center has expertise in 10Gbit/s and 40Gbit/s laser and transceiver design. As part of the deal, Avago is to supply chips that APAT will integrate into its transceivers. APAT has also forged a strategic partnership with chip vendor Semtech Corp. (Nasdaq: SMTC), which will supply ICs for all of the Chinese vendor's products. Avago is in the process of buying LSI Corp. (NYSE: LSI) for $6.6 billion as a way to get into the storage chips sector and reduce its reliance on the wireless market. (See Avago to Buy LSI for $6.6B.)

  • Next-gen electro-optic device developer Lightwave Logic Inc. has picked up an exclusive worldwide license agreement to Corning's organic electro-optical materials. Lightwave will integrate Corning's organic chromophores into its portfolio of electro-optic polymers for use in communications, computing, power and power storage apps that need nonlinear optical properties. The Corning agreement adds to the growing number of combinations of electro-optical materials specifically targeting data centers and telecom networks.

  • Communications and military use of high-energy lasers (HEL) are hamstrung by legacy laser systems size, weight, power needs and atmospheric turbulence. To tackle that issue, DARPA's Excalibur program has developed a 21-element optical phased array (OPA), each array element driven by fiber laser amplifiers that can hit a target more than four miles away. Continued development and testing may lead to multi-100 kilowatt-class HELs in a package 10 times lighter and more compact than legacy high-power laser systems.

  • The market for packet-optical switch infrastructure is growing rapidly, propelled by the continued rapid uptake of 100G in long-haul networks. That's the main finding in the latest edition of Heavy Reading 's Next-Gen Core Packet-Optical Market Tracker. To find out more, see Core 100G Fuels Packet-Optical Switching Growth.)

  • Still with Heavy Reading, "The Rise of 100G & Terabit Transport Networks" is a recent Heavy Reading report that "tackles the challenges and opportunities of high-speed DWDM transport, in both long-haul and metro networks, looking at both 100G and B100G [Beyond 100G]." The report presents comprehensive forecasts for long-haul and metro DWDM transport, with breakouts for units shipped, capacity shipped, revenue contribution by port speed and more. In addition, the report analyzes key enabling technologies for B100G and provides a roundup of significant B100G trial activity over the past year. (See Going Beyond 100G? Not So Fast….)

  • According to a recent Frost & Sullivan report, "Analysis of the Global Fiber Optic Test Equipment Market," 2013 revenues for this market reached $603.8 million, and is set to increase to $884.9 million by 2020 thanks to significant mobile rollouts that will include fiber-to-the-antenna (FTTA), fiber-to-the-tower (FTTT), distributed antenna systems (DAS), and cloud or centralized-radio access networks (CRAN).

    — Carolyn Mathas, contributing editor, special to Light Reading

    (3)  | 
    Comment  | 
    Print  | 
  • Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
    nasimson
    50%
    50%
    nasimson,
    User Rank: Light Sabre
    4/28/2014 | 11:26:55 PM
    given the political and economic history
    Chinese equipment manufacturers buying Taiwanese R&D centers! Given the political and economic history of the two countries, this is nothing short of magnificent. I am impressed to see that Chinese companies are climbing that curve.
    DOShea
    50%
    50%
    DOShea,
    User Rank: Blogger
    4/27/2014 | 5:04:22 PM
    Altera
    Interested to know how those optical acquisitions are paying off. Maybe LTE can keep Altera busy until 400G picks up.
    kq4ym
    50%
    50%
    kq4ym,
    User Rank: Light Sabre
    4/27/2014 | 8:42:02 AM
    Cashing In On Lasers
    With a suspicion that high tech military hardware often leads the pack in producing profits (once the package is sold to the government of course) the high energy laser projects seems like a likely money maker. The developent of lower weight hardware systems, with a longer range will surely be a win-win for someone. Of course, these deals are often highly speculative and depend more than one would like on factors unknown.
    From The Founder
    NFV's promises of automation and virtualization are intriguing, but what really excites service providers is the massive amount of money they could save.
    Flash Poll
    Live Streaming Video
    Charting the CSP's Future
    Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
    Women in Comms Introduction Videos
    VMWare VP Brings Women Up With Her

    8|16|17   |   6:49   |   (1) comment


    It's an art and a science to make mentorship, inclusive leadership, diversity and promotion of high-potential women work, says Honore' LaBourdette, vice president of Global Market Development at VMWare.
    LRTV Documentaries
    5G Spectrum Wars – The Recap

    8|15|17   |   2:22   |   (0) comments


    Service provider 3 has filed a lawsuit against Ofcom over 5G spectrum auction in the UK.
    LRTV Custom TV
    Say What? Facebook Unleashes AI Anarchy – The Recap

    8|7|17   |     |   (0) comments


    A recap of the week's talking points on Light Reading's sister site, telecoms.com. Facebook AI programmers had a bit of a brain-fade as they allowed one of its AI applications to invent its ...
    Women in Comms Introduction Videos
    Fujitsu's Women Band Together to Help Girls Do STEM

    8|2|17   |   9:35   |   (1) comment


    Supporting women both inside and outside of Fujitsu is a top priority of the telecom vendor. Yanbing Li, Fujitsu Network Communication's director of System Software Development & Delivery, shares why it's important, but why there's still a long road ahead.
    LRTV Custom TV
    If You're Not First, You're Last – The Recap

    7|31|17   |   08:18   |   (1) comment


    In case you missed it, Amazon's 1% stock increase helped Jeff Bezos dethrone Bill Gates as the richest man in the world. Also, Taiwanese electronics manufacturer
    Women in Comms Introduction Videos
    AT&T's Tech President Preps Workforce for the Future

    7|26|17   |   5:47   |   (10) comments


    AT&T is focused on the software-defined network of the future and is reskilling its workforce to get ready too, according to AT&T's President of Technology Development Melissa Arnoldi.
    Women in Comms Introduction Videos
    Cisco: Mentoring Critical to Attract & Retain Women

    7|19|17   |   6:40   |   (1) comment


    Liz Centoni, senior vice president and general manager of Cisco's Computing System Product Group, shares why mentoring in all its forms is important for women and what Cisco is doing that's made a difference for women in tech.
    LRTV Custom TV
    Gigabit LTE With Snapdragon 835

    7|12|17   |     |   (1) comment


    At an event in Wembley stadium, EE used its live network to demonstrate gigabit LTE using a Sony Xperia XZ Premium smartphone with a Qualcomm Snapdragon 835 chip.
    LRTV Custom TV
    Implementing Machine Intelligence With Guavus

    7|12|17   |     |   (0) comments


    Guavus unites big data and machine intelligence, enabling many of the the largest service providers in the world to save money and drive measureable revenue. Learn how applying Machine Intelligence substantially reduces operational costs and in many cases can eliminate subscriber impact, meaning a better subscriber experience and higher NPS.
    LRTV Custom TV
    Unlocking Customer Experience Insights With Machine Intelligence

    7|12|17   |     |   (0) comments


    When used to analyze operational data and to drive operational decisions, machine intelligence reduces the number of tasks which require human intervention. Guavus invested in Machine Intelligence early. Learn about the difference between Machine Learning and Machine Intelligence.
    Women in Comms Introduction Videos
    Verizon VP Talks Network, Career Planning

    7|12|17   |   4:49   |   (0) comments


    Heidi Hemmer, vice president of Technology, Strategy & Planning at Verizon, shares how bold bets and the future of tech define her career.
    Telecom Innovators Video Showcase
    Masergy's NFV Journey

    7|11|17   |     |   (0) comments


    Ray Watson, vice president of global technology at Masergy, discusses the advantages and challenges in entering the still-maturing NFV market for the past three years.
    Upcoming Live Events
    September 28, 2017, Denver, CO
    October 18, 2017, Colorado Convention Center - Denver, CO
    November 1, 2017, The Royal Garden Hotel
    November 1, 2017, The Montcalm Marble Arch
    November 2, 2017, 8 Northumberland Avenue, London, UK
    November 30, 2017, The Westin Times Square
    All Upcoming Live Events
    Infographics
    With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
    Hot Topics
    Intel CEO Leaves Trump Biz Advisory Board
    Dan Jones, Mobile Editor, 8/15/2017
    Are Cord-Cutting's Days Numbered?
    Alan Breznick, Cable/Video Practice Leader, Light Reading, 8/14/2017
    Analyst Nolle: Fundamental Errors Plague NFV
    Carol Wilson, Editor-at-large, 8/11/2017
    Verizon Video Woes Pile On
    Mari Silbey, Senior Editor, Cable/Video, 8/14/2017
    Orchestration Startup UBiqube Pivots Away From NFV
    Carol Wilson, Editor-at-large, 8/15/2017
    Like Us on Facebook
    Twitter Feed
    Animals with Phones
    We Know a Tough Day When We See One Click Here
    Live Digital Audio

    Understanding the full experience of women in technology requires starting at the collegiate level (or sooner) and studying the technologies women are involved with, company cultures they're part of and personal experiences of individuals.

    During this WiC radio show, we will talk with Nicole Engelbert, the director of Research & Analysis for Ovum Technology and a 23-year telecom industry veteran, about her experiences and perspectives on women in tech. Engelbert covers infrastructure, applications and industries for Ovum, but she is also involved in the research firm's higher education team and has helped colleges and universities globally leverage technology as a strategy for improving recruitment, retention and graduation performance.

    She will share her unique insight into the collegiate level, where women pursuing engineering and STEM-related degrees is dwindling. Engelbert will also reveal new, original Ovum research on the topics of artificial intelligence, the Internet of Things, security and augmented reality, as well as discuss what each of those technologies might mean for women in our field. As always, we'll also leave plenty of time to answer all your questions live on the air and chat board.