Light Reading

Coriant Counts on NSN's Optical Strengths

Craig Matsumoto
3/19/2013
50%
50%

ANAHEIM, Calif. -- OFC/NFOEC -- Coriant, the private company being built around the Nokia Siemens Networks (NSN) optical business, doesn't technically exist yet. NSN's deal to sell that business to Marlin Equity Partners has to close first, and that's due to happen by July. In the meantime, though, Coriant is using OFC/NFOEC to introduce itself to analysts and the media. The company set up shop, so to speak, in a boardroom on the fourth floor of the Anaheim Hilton on Monday. Light Reading snagged the first interview appointment and, with it, the first Coriant business card ever handed out by Herbert Merz, the NSN executive who's designated as Coriant's president and CEO.


Merz signed his historical business card, on the condition we wouldn't sell it on eBay
Coriant isn't starting from scratch. It has a portfolio including WDM gear, OTN switching and software, plus more software that Marlin acquired from Sycamore Networks. And it's got some noteworthy customers, such as AT&T Inc. and, as highlighted in a Monday announcement regarding 100Gbit/s transport, TeliaSonera International Carrier (TIC). Coriant will enter a market that hasn't been so kind in terms of margins and profitability. So now what? We only had half an hour, but we got an idea of why Coriant thinks it can become the No. 2 optical vendor and, of course, a player in software-defined networking (SDN). (One note: The executives talk about Coriant's plans in the present tense, but there's a tacit "after the deal closes" in each of those statements.)

Coriant's lead team -- or, they will be, once Coriant gets going. From left: Uwe Fischer, Patrick DiPietro and Herbert Merz
— Craig Matsumoto, Managing Editor, Light Reading
(7)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Craig Matsumoto
50%
50%
Craig Matsumoto,
User Rank: Light Sabre
3/20/2013 | 11:37:14 PM
re: Coriant Counts on NSN's Optical Strengths
Amusing: Talked to 2 analysts who say they had this exact conversation with Coriant.

Some of that's to be expected -- Coriant has a message to deliver, after all, and some of my questions are the same anyone would ask.-á But apparently they're sticking very close to that message.
Craig Matsumoto
50%
50%
Craig Matsumoto,
User Rank: Light Sabre
3/20/2013 | 4:24:45 PM
re: Coriant Counts on NSN's Optical Strengths
-áDon't forget the year-plus qualification cycle, during which you get to sit and wait.-á :)

I'd disagree about Cisco avoiding the sector. I think they want to be big in telecom, and they've reignited their interest in optical to go with that.
chuckj
50%
50%
chuckj,
User Rank: Light Sabre
3/19/2013 | 3:17:37 PM
re: Coriant Counts on NSN's Optical Strengths
The only problem Telco suppliers have is Telco's themselves. -á They entice you to design new products and they always want the next one because they don't have any competition to force them to buy the one you just designed. -á That is why Cisco avoids this sector like the plague. -áThis will be another failure on a string of failures.
Gabriel Brown
50%
50%
Gabriel Brown,
User Rank: Light Sabre
3/19/2013 | 2:54:42 PM
re: Coriant Counts on NSN's Optical Strengths
Good interview. Thanks. I was interested in how it, indirectly, addressed valuations
of telecom vendors, the role of private equity, and M&A...

I know LR's always talked about this, but the discussion is evolving with the market.

Didn't agree with how dismissive he was about RAN swap outs. It's very obviously not
the case that operators change RAN vendors after two years. There's lock-in (commitment to a decision) there too, albeit of a different nature.
Craig Matsumoto
50%
50%
Craig Matsumoto,
User Rank: Light Sabre
3/19/2013 | 2:29:57 PM
re: Coriant Counts on NSN's Optical Strengths
I can understand the skepticism. I kind of feel it too. One of Coriant's points is that a lot of the uncertainty and pain around NSN has been on the wireless side, and they're free of that now.

Of course, the optical side comes with its own uncertainty and pain.-á :)

Being the #2 player sounds awfully ambitious, although admittedly, market share is so spread out in optical that it might be easier than I think.-á At any rate - they do talk big, and I think they know it's not going to be as easy as they make it sound.-á One key would be to keep the R&D going, and of course DiPietro/Marlin know that.
rgrutza600
50%
50%
rgrutza600,
User Rank: Lightning
3/19/2013 | 1:25:11 PM
re: Coriant Counts on NSN's Optical Strengths
These guys talk big, but are not realistic. -áThey will fail. -áI can't see how anyone would buy from them.
saga2bc
50%
50%
saga2bc,
User Rank: Light Beer
3/19/2013 | 12:58:52 PM
re: Coriant Counts on NSN's Optical Strengths
How could they possibly be competitive to Ciena, Huawei, Alcatel, and Infinera?
Flash Poll
From The Founder
Last week I dropped in on "Hotlanta," Georgia to moderate Light Reading's inaugural DroneComm conference – a unique colloquium investigating the potential for drone communications to disrupt the world's telecom ecosystem. As you will see, it was a day of exploration and epiphany...
Between the CEOs
Affirmed Networks CEO: Digging Into NFV

5|28|15   |   40:26   |   (2) comments


Hassan Ahmed, CEO of Affirmed Networks, is making some big claims for his NFV startup. I sat down with him at the Light Reading HQ in New York City to get the skinny on what this Acton, Mass.-based startup is up to.
LRTV Documentaries
Cable Eyeing SDN for Headend, Home Uses

5|26|15   |   05:57   |   (1) comment


CableLabs is looking at virtualizing CMTS and CCAP devices in the headend, as well as in-home devices, says CableLabs' Karthik Sundaresan.
LRTV Documentaries
Verizon's Emmons: SDN Key to Cost-Effective Scaling

5|22|15   |   03:53   |   (0) comments


For Verizon and other network operators to ramp up available bandwidth cost effectively, they need to move to SDN and agree on how to do that.
LRTV Documentaries
Lack of Universal SDN a Challenge

5|21|15   |   04:51   |   (3) comments


Heavy Reading Analyst Sterling Perrin talks about how uncertainty about SDN standards and approaches may be slowing deployment.
LRTV Custom TV
Steve Vogelsang Interview: Carrier SDN

5|20|15   |   05:02   |   (0) comments


Sterling Perrin speaks to Steve Vogelsang, Alcatel-Lucent CTO for IP Routing & Transport business, about the new Carrier SDN-enabling Network Services Platform and the operator challenges it solves.
LRTV Custom TV
Carrier SDN: On-Demand Networks for an On-Demand World

5|20|15   |   20:52   |   (0) comments


Steve Vogelsang, Alcatel-Lucent CTO for IP Routing & Transport business, talks about requirements and benefits of Carrier SDN during the keynote address at the Light Reading Carrier SDN event May 2015.
LRTV Documentaries
The Security Challenge of SDN

5|19|15   |   02:52   |   (0) comments


CenturyLink VP James Feger discusses concerns that virtualization could create new vulnerabilities unless network operators build in safeguards.
LRTV Custom TV
NFV Elasticity – Highly Available VNF Scale-Out Architectures for the Mobile Edge

5|18|15   |   5:50   |   (0) comments


Peter Marek and Paul Stevens from Advantech Networks and Communications Group talk about their NFV Elasticity initiative and the company's latest platforms for deploying virtual network functions at the edge of the network. Packetarium XL and the new Versatile Server Module: 'designed to reach parts of the network that other servers cannot reach.'
LRTV Huawei Video Resource Center
Bay Area Spark Meetup 2015

5|14|15   |   3:54   |   (0) comments


Developed in 2009, Apache Spark is a powerful open source processing engine built around speed, ease of use and sophisticated analytics. This spring, Huawei hosted a meetup for Spark developers and data scientists in Santa Clara, California. Light Reading spoke with organizers and attendees about Huawei's code contributions and long-term commitment to Spark.
LRTV Custom TV
The Transport SDN Buzz

5|12|15   |   06:01   |   (1) comment


Sterling Perrin, senior analyst at Heavy Reading, speaks with Peter Ashwood-Smith of Huawei and Guru Parulkar of ON.Lab about the evolution of transport SDN and the integration of technologies.
LRTV Custom TV
Next-Generation CCAP: Cisco cBR-8 Evolved CCAP

5|5|15   |   04:49   |   (0) comments


John Chapman, Cisco's CTO of Cable Access Business Unit and Cisco Fellow, explained the innovation design of Cisco's cBR-8, the industry's first Evolved CCAP, including DOCSIS 3.1 design from ground-up, distributed CCAP with Remote PHY and path to virtualization. Cisco's cBR-8 Evolved CCAP is the platform that will last through the transitions.
LRTV Custom TV
Meeting the Demands of Bandwidth & Service Group Growth

5|1|15   |   5:35   |   (0) comments


Jorge Salinger, Comcast's Vice President of Access Architecture, explains how DOCSIS 3.1 and multi-service CCAP can meet the demands of the bandwidth and service group growth.
Upcoming Live Events
June 8, 2015, Chicago, IL
June 9, 2015, Chicago, IL
June 9-10, 2015, Chicago, IL
June 10, 2015, Chicago, IL
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
October 6, 2015, The Westin Peachtree Plaza, Atlanta, GA
October 6, 2015, Westin Peachtree Plaza, Atlanta, GA
All Upcoming Live Events
Infographics
Procera has gathered facts, stats and customer experience feedback from a survey of 540 users from across the globe.
Hot Topics
Charter Seals Deals for TWC, Bright House
Mari Silbey, Senior Editor, Cable/Video, 5/26/2015
Eurobites: Alcatel-Lucent Trials 400G in Czech Republic
Paul Rainford, Assistant Editor, Europe, 5/26/2015
Will Carriers Follow Facebook's Networking Lead?
Mitch Wagner, West Coast Bureau Chief, Light Reading, 5/28/2015
Charter Plans Business Services, Wireless Push
Alan Breznick, Cable/Video Practice Leader, 5/27/2015
Facebook Reinvents Data Center Networking
Mitch Wagner, West Coast Bureau Chief, Light Reading, 5/26/2015
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
On May 29th 1 PM ET, Steve Saunders, founder and CEO of Light Reading, will be drilling into the "pains and gains" of NFV with Saar Gillai, SVP & GM for NFV at Hewlett-Packard Co. (NYSE: HPQ) (HP). He has defined a four-step NFV model describing a sequence of technology innovation. It's a must-read doc for any network architect looking to get to grips with their NFV migration strategy. Join us for the interview, and the chance to ask Saar your NFV questions directly!
Hassan Ahmed, CEO of Affirmed Networks, is making some big claims for his NFV startup. I sat down with him at the Light Reading HQ in New York City to get the skinny on what this Acton, Mass.-based startup is up to.
Cats with Phones