& cplSiteName &

Cisco, ip.access Prep Femto Combo

Michelle Donegan
LR Mobile News Analysis
Michelle Donegan
5/13/2008
50%
50%

Cisco Systems Inc. (Nasdaq: CSCO) is jointly developing a femtocell offering for mobile operators with ip.access Ltd. , the home base station vendor in which it holds a stake, Unstrung has learned. (See Cisco Invests in ip.access.)

Collaboration between the femtocell vendor and the IP networking giant has reportedly already paid off with a big win at AT&T Inc. (NYSE: T), according to industry sources and a report from ThinkPanmure.

The research and investment banking outfit suggests in its report that the AT&T deal could even lead Cisco to acquire ip.access.

An AT&T spokesman says only that the carrier is interested in femtocell technology "and we are testing it, with a view to a trial later this year. We have not been specific about which vendors we might or might not use," the spokesman added.

The success at AT&T, which has been confirmed by industry sources, gives ip.access its second major carrier scalp, following its RFP (request for proposal) success last year at Vodafone Group plc (NYSE: VOD). (See Vodafone Picks Femto Vendors and Vodafone RFP Fuels Femtocells.)

Cisco is a strategic investor in ip.access, but the relationship involves more than just a stakeholding, and the companies are now actively working together to develop an extended femtocell solution that stretches from the mobile core network to the home base station customer premises equipment (CPE). That sort of integrated package would compete with the strategies of Nokia Networks and NEC Corp. (Tokyo: 6701).

But the extent of any product integration is not yet clear.

"We have a very positive partnership with Cisco... We are working closely with them to deliver an end-to-end femtocell solution that leverages both companies' strengths in wireless and IP technologies," says Andy Tiller, vice president of marketing at ip.access. "The whole solution that we're putting together will have some bits that are Cisco's and some bits that are ours."

But Cisco isn't ready to spill the beans yet about what it's doing with ip.access.

"We use direct investments such as the one in ip.access to gain market insight, to create linkages into adjacent markets, and to capitalize on go-to-market opportunities through complimentary organizations such as service providers," says a Cisco spokesman in an email response. "That's the extent of the relationship at this point."

The relationship with Cisco seems to have already helped ip.access to win a femtocell request for proposal (RFP) at AT&T, which has been widely reported. Unstrung sources can confirm the AT&T win, but not the reported size of the order.

ThinkPanmure's research note suggests ip.access has won a deal to supply AT&T with up to 7 million femtocell units priced at less than $100 each, with the total value of the deal coming in at $500 million or more. According to the research outfit, ip.access beat Motorola Inc. (NYSE: MOT), Alcatel-Lucent (NYSE: ALU), Nokia Networks , Airvana Inc. , and 2Wire Inc. to win the AT&T deal.

Unstrung sources are not convinced that the size of the initial order is as large as ThinkPanmure suggests. One source, who did not want to be named, believes ip.access won an order for femtocells that will be used in friendly user trials in two of AT&T's markets, and that other vendors will have a chance to bid again after the trial.

Cisco's pulling power
It's understood that Cisco -– and more specifically, Cisco's home gateway subsidiary Scientific Atlanta -- was instrumental in ip.access securing the winning bid in AT&T's RFP.

“It is widely rumored that it's the Scientific-Atlanta guys [at Cisco] who won this at AT&T, and that Cisco is doing the integration and using ip.access boxes,” says Stuart Carlaw, vice president and research director at ABI Research .

ThinkPanmure goes so far as to suggest the AT&T win could make ip.access an attractive acquisition for Cisco, which is already a strategic investor in the firm. Such a buy would follow other Cisco acquisitions of Linksys , Scientific Atlanta, and Navini Networks Inc. (See Cisco Buys Navini for $330M, Cisco Buying Linksys for $500M, Cisco to Acquire Scientific-Atlanta.)

Tiller at ip.access would not comment on AT&T, but said it was important to partner with a large equipment supplier.

"Operators are saying they want to buy their femtos from a large supplier," says Tiller. "They want to buy their femto access point from large companies. We provide the hardware and software that go into the CPE."

Ip.access has a partnership with Thomson S.A. (NYSE: TMS; Euronext Paris: 18453), for example, to integrate femtocells into home gateways. (See Thomson, IP.access Team and Femto Players Gun for Gateways.)

Working together
Tiller would not provide specific details on what kind of products ip.access is developing with Cisco. But we have some ideas of what the two companies could be planning.

There are three scenarios where Cisco and ip.access can collaborate: Cisco can act as a systems integrator for ip.access femtocell access points and gateways; the pair could develop a femtocell gateway together; or they could integrate ip.access femtocell technology into Cisco's CPE equipment. Of course, the companies could be doing a combination of these scenarios.

On the CPE side, an ip.access femtocell module could be integrated into Cisco's Linksys wireless networking platforms or the Scientific Atlanta set-top boxes. This strategy would fit with the partnerships ip.access and other femto vendors, such as Ubiquisys Ltd. , have formed with home gateway providers. (See Netgear, Ubiquisys Team and Netgear Gateway Goes Femto.)

Given Scientific Atlanta's reported involvement in the AT&T RFP, the CPE integration scenario seems the most likely joint product development for the two companies.

In a femtocell gateway, ip.access could combine its existing femto gateway with security gateway capabilities from Cisco that could sit on Cisco's 7600 edge router platform, for example. So, the ip.access element in the gateway would handle radio access management, which is what its existing gateway does, while Cisco would contribute the security, IP routing, and authentication.

Such a strategy would throw Cisco into the path of mobile packet core vendor Starent Networks Corp. (Nasdaq: STAR), which is busily developing just such a gateway product. (See Starent Intros Femto Solution.)

An end-to-end femto solution from Cisco and ip.access would be competitive with NEC's partnership with Ubiquisys, or Nokia Siemens's CPE partnership strategy, for example. (See NSN's New Femtofriend, NSN, Pirelli Partner, and NEC, Ubiquisys Team.)

— Michelle Donegan, European Editor, Unstrung

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
From The Founder
Kicking off BCE 2017, Light Reading founder Steve Saunders lays blame for NFV's slow ramp-up and urges telecom to return to old-fashioned standards building and interoperability.
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
Intel Ushers in the Revolutionary 5G Era

6|28|17   |   5:00   |   (0) comments


5G will bring job opportunities for women in telco and IT, as well as a whole new era of communications for consumers and industries of all kinds, says Caroline Chan, vice president and general manager of the 5G Infrastructure Division at Intel.
LRTV Custom TV
VeEX at ANGA COM

6|27|17   |     |   (0) comments


At ANGA COM 2017, Cyrille Morelle, president and CEO of VeEX, updates Alan Breznick with VeEX's new products and technology. This includes VeSion cloud-based platform for network monitoring, AT2500-3G advanced spectrum analyzer and MTTplus-900 WiFi Air Expert module. He also comments on DOCSIS 3.1 deployment and Remote PHY technology.
LRTV Custom TV
The Overall Objective Is to Win the Game

6|26|17   |     |   (0) comments


SCTE•ISBE's Chris Bastian discusses Energy 2020's success to date and the importance of a flexible approach that allows for changes in specific strategies in order to reach significant milestones.
LRTV Interviews
CenturyLink: Let's Get Past SD-WAN Hype

6|23|17   |   04:02   |   (0) comments


Technology becomes a "shiny object" unless it's properly focused on solving business needs for enterprise customers, says Bill Grubbs, network solutions architect for CenturyLink. He explains to Light Reading why SD-WAN deployments have to be tailored to specific needs – and more.
Women in Comms Introduction Videos
Infinera's Sales Director Paints Tech's Big Picture

6|21|17   |   4:14   |   (1) comment


Shannon Williams, Infinera's director of sales, shares how she achieves work's many balancing acts -- between her role and the broader company, today and tomorrow's tech and more.
LRTV Custom TV
SD-WAN Innovation & Trends

6|20|17   |     |   (0) comments


Versa CEO Kelly Ahuja discusses with Carol Wilson the current status and trends in the SD-WAN market, Versa's innovation around building a software platform with broad contextualization, and the advantages that startups can bring to the SD-WAN market.
LRTV Interviews
Ovum's Dario Talmesio on 5G in Europe

6|20|17   |   02:16   |   (0) comments


At 5G World 2017, Dario Talmesio, principal analyst and practice leader on Ovum's fixed and mobile telecoms European team, explains the emerging trends amongst European operators as they prepare for 5G.
LRTV Custom TV
Putting Power on a Pedestal

6|19|17   |     |   (0) comments


ARRIS's John Ulm says a major accomplishment of SCTE•ISBE's Energy 2020 program is increased focus on power cost and consumption, including inclusion of energy requirements in operators' RFPs and RFIs.
LRTV Custom TV
Gigabit Access: The Last-Mile Pipe for All Future Services

6|19|17   |     |   (0) comments


A Gigabit access platform being deployed today must be able to deliver all types of services to an increasing number of devices. A non-blocking architecture is necessary to support the ever-increasing growth in bandwidth demand. The Huawei Gigabit access solution is based on a distributed design that is fully scalable to deliver a unprecedented performance.
LRTV Custom TV
Key Factors to Successfully Deploy an SD-WAN Service

6|19|17   |     |   (0) comments


As service providers transition their SD-WAN solution from trials and limited deployments into production at large scale, there are important considerations to successfully operationalize these solutions and realize their full potential, without adding complexity, introducing uncertainty or disrupting current business operations. Sunil Khandekar, CEO and Founder ...
LRTV Custom TV
IoT Solutions: Rational Exuberance

6|19|17   |     |   (0) comments


IoT solutions are morphing from hype into viable business opportunities. Huawei has the platform and ecosystem support to help carriers successfully address new business opportunities in the IoT space.
LRTV Custom TV
Realizing ICN as a Network Slice for Mobile Data Distribution

6|19|17   |     |   (1) comment


Network slicing in 5G allows the potential introduction of new network architectures such as Information-centric Networks (ICN) as a slice, managed over a shared pool of compute, storage and bandwidth resource. Services over an ICN slice can benefit from many architectural features such as Name Based Networking, Security, Multicasting, Multi-homing, Mobility, ...
Upcoming Live Events
October 18, 2017, Colorado Convention Center - Denver, CO
November 1, 2017, The Montcalm Marble Arch
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
No Imagination: UK Chip Biz Goes Up for Sale
Iain Morris, News Editor, 6/22/2017
Does AT&T Deserve Time Warner?
Mari Silbey, Senior Editor, Cable/Video, 6/23/2017
Netflix's Lesson in Culture Expectation Settings
Sarah Thomas, Director, Women in Comms, 6/21/2017
Verizon Takes 'One Fiber' to More Cities
Mari Silbey, Senior Editor, Cable/Video, 6/22/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Following a recent board meeting, the New IP Agency (NIA) has a new strategy to help accelerate the adoption of NFV capabilities, explains the Agency's Founder and Secretary, Steve Saunders.
One of the nice bits of my job (other than the teeny tiny salary, obviously) is that I get to pick and choose who I interview for this slot on the Light Reading home ...
Animals with Phones
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.