Light Reading

Say Goodbye to Telcordia

Ray Le Maistre
6/3/2012
50%
50%

Farewell, Telcordia, it was nice knowing you.

Sometimes.

With Ericsson AB (Nasdaq: ERIC) having closed the $1.15 billion acquisition of the Service Provider Information Technology (SPIT) giant in January, the integration process has begun, with completion set for the end of the year. (See Ericsson to Buy Telcordia, Ericsson + Telcordia: What the Analysts Say and Euronews: Ericsson Seals Telcordia Deal.)

According to Martin Sundblad, director of portfolio management at Ericsson's Business Unit Support Systems (BUSS), the "vast majority" of Telcordia's staff are making the switch and will have transferred across to the Swedish vendor by Monday June 4. (See Ericsson Boards Its Own BUSS.)

That's also the day on which the Telcordia brand will cease to exist and the Telcordia portfolio will be rebranded as Ericsson, with the Operations Solutions line of business (including everyone's favorite, Osmine) joining Ericsson's OSS unit, Service Delivery Solutions (SDS) joining Ericsson's BSS unit and Interconnection Solutions (IS, mainly number portability solutions) remaining as a standalone unit. Services staff will join Ericsson's Global Services division.

So what will the Telcordia name be remembered for? Well, we have some lasting memories of the name here at Light Reading, most particularly the media ban the company slapped on us for four years (May 2004 to February 2008) allegedly because of perceived negative coverage. Here are some of our favorites:



— Ray Le Maistre, International Managing Editor, Light Reading

(9)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
DCITDave
50%
50%
DCITDave,
User Rank: Light Beer
12/5/2012 | 5:31:14 PM
re: Say Goodbye to Telcordia


Telcordia was, at one time, a monopoly and a lot of the industry resented the Osmine process and saw it as a shakedown meant to kill competitors. Media bans are always entertaining, though. Worked out just perfectly for Lucent, Telcordia, and a half a dozen other companies I can't even remember.

FastCache
50%
50%
FastCache,
User Rank: Light Beer
12/5/2012 | 5:31:14 PM
re: Say Goodbye to Telcordia


Any predictions who will be next to be acquired in the consolidation stakes?

VictorRBlake
50%
50%
VictorRBlake,
User Rank: Moderator
12/5/2012 | 5:31:10 PM
re: Say Goodbye to Telcordia


Tellabs

jayja
50%
50%
jayja,
User Rank: Light Sabre
12/5/2012 | 5:31:08 PM
re: Say Goodbye to Telcordia


NEBS, Verizon FOC-ITL program, etc.  Does that go in "Ericsson's Global Services"?  Does this mean Ericsson's gear will always pass (and competitors' will not)?

Anne Morris
50%
50%
Anne Morris,
User Rank: Light Beer
12/5/2012 | 5:31:06 PM
re: Say Goodbye to Telcordia


We always missed you guys on the press trips! Media bans send out such bad signals. Anyway, it will be interesting to see how they fare under Ericsson...

paolo.franzoi
50%
50%
paolo.franzoi,
User Rank: Light Beer
12/5/2012 | 5:31:05 PM
re: Say Goodbye to Telcordia


Phil,


I thought a long time about this response and wonder if the lack of Telcordia functionality today is why E is buying it.


You talk about the cost of the OSMINE process and I think that any business plan that was RBOC targeted that did not include it was bunk.  On top of that you were talking about single digit millions of efforts when companies were getting 100s of millions in.  So, I do not believe that it was anti-competitive.  In fact, it was PRO competitive.  The companies that whined about it were those that were going to sell to CLECs.  When the CLECs went away they had products that were ready - but not OSMINED - and were out of money.  If they had done the OSMINE as part of their plan it would not have been a problem.  Now they had to remarket their products to the RBOCs and found that they had not spent their money in a way that would make them survive.


Look at E for example.  Maybe you should ask them if they are finally in the latest Alcatel OSS release for Access.  Every year this has mysteriously slipped by no fault of Alcatel.  And poor E could not sell anything until it was done.  I would bet they would LOVE to be able to pay Telcordia to get their products available for sale.


If you think about it from the carrier side, now they have to fund the effort to integrate the OSS themselves (or the product company does and at that point it is the same as OSMINE).  Do you think they are more likely or less likely to try out new vendors when they have to spend their resources in getting OSS integration done.


Were the tools obsolete?  Yes.  Was it time to improve and upgrade?  Yes.  Was Telcordia too slow?  Yes.  It is better now?  I don't think so.


seven


 

Soupafly
50%
50%
Soupafly,
User Rank: Light Sabre
12/5/2012 | 5:31:05 PM
re: Say Goodbye to Telcordia


Phil's post whilst accurate, could be read negatively.


Telcordia have done a great job down the years of providing the industry with a common set of standards & tools. Bear in mind that the origins of the telco industry in the US (in the modern era) came from a monopoly.


When that was broken up, a clear set of systems had to be established as a free market system running in oligoploy structure could lead to chaos. It very nearly did when you look at the old CS world & national calling in the US!


Telcordia is (having been raped by VC speculators) a good asset and will help ensure Ericsson US has a very strong base for quite awhile. It was a fabulous strategic move to acquire it.


Next to consolidate; Ciena. 


Buyers: Cisco, Dell, HP or IBM.


Cisco; World class optical & ethernet portfolio, with strength in depth.


Dell/ HP/ IBM: Move service & platform integration onto a whole new level of depth, in terms of a proposition to the market place & industry verticals.


 

DCITDave
50%
50%
DCITDave,
User Rank: Light Beer
12/5/2012 | 5:31:02 PM
re: Say Goodbye to Telcordia


If it was such a good thing for the industry, why did so many vendors, of all sizes, even with Tier 1 customers, trash it because of the cost?


Also, I think you make a good point from the carrier POV. They want consistency and predictability and it's great when someone else pays to ensure they're getting it from the vendor community.


The E vs. A item -- I think there's a story there.


ph

paolo.franzoi
50%
50%
paolo.franzoi,
User Rank: Light Beer
12/5/2012 | 5:31:01 PM
re: Say Goodbye to Telcordia


There was a single Optical tool that was very expensive and funded by some equipment folks.  It became a standard and follow on users had to reimburse the original funders.  That was the most anti-competitive aspect.


I really think you need to go back to those heady days of optical startups and CLECs.  I remember trying to get vendors to come to AFC and sell me things.  They all went to Mahi and Turin and Calix.  Very few (Infineon and TI were about my only consistent ones) would visit AFC.  It was that way for a bit and systems vendors were focusing on CLECs...even people like Nortel.  Because if they had originally built their plans for the RBOCs they would have pre-planned for the OSMINE spending.  People would whine about OSMINE (heck I whined about it in budget meetings), but it was like a tax on doing RBOC (and only RBOC) business.  Those CLEC products were built and poof nobody wanted them.  In a similar vein, we bought an IAD company to provide product to Winstar (GVN).  By the time we got the product working, nobody wanted it.  I think that is the way the systems vendors felt across the board - Hey we built this and it works...but nobody will buy it without OSMINE and my business plan has blown up because of it.


So, the question is....Are we better off now?  The death of OSMINE is not the only thing that killed multi-sourcing.  But it sure didn't help new entrants into a market.  Now instead of having a product and being able to guarantee it is OSS complete, you have to wait for some vendor or carrier to include it in their offering.  This definitely changes the way Product Management and funding works.  


seven


 

Flash Poll
From The Founder
The Swedish vendor has undergone a significant transformation during the past few years, adjusting to the demands of next-generation communications companies.
LRTV Documentaries
LTE Paves the Way for the 5G Revolution

4|20|15   |   4:20   |   (0) comments


Håkan Andersson, head of 5G product strategy of the Radio Business Unit at Ericsson, discusses the role of LTE, the US and other industry verticals in building a true 5G ecosystem.
LRTV Documentaries
The 3GPP's Road to 5G Standardization

4|17|15   |   4:43   |   (0) comments


Satoshi Nagata, chairman of the 3GPP's TSG-RAN group and a manager at NTT Docomo, explains the standardization process for 5G, as well as the biggest challenges and opportunities.
LRTV Documentaries
AlcaLu CTO Makes the Case for a New 5G Air Interface

4|16|15   |   3:54   |   (0) comments


Michael Peeters, CTO of wireless at Alcatel-Lucent, explains why 5G will require a new air interface to meet its diverse performance targets.
LRTV Documentaries
AlcaLu + Nokia: The New Uber-Vendor

4|15|15   |   2:42   |   (4) comments


Heavy Reading Senior Analyst Gabriel Brown discusses the technological and competitive opportunities and challenges if a merger between Alcatel-Lucent and Nokia comes to pass.
LRTV Huawei Video Resource Center
Huawei's Data Center Power Play

4|15|15   |   6:22   |   (0) comments


Huawei has developed industry-leading energy efficiency capabilities for its indoor and outdoor data center solutions, explains Dr. Fang Liangzhou, vice president of Huawei's Network Energy product Line.
LRTV Huawei Video Resource Center
Huawei’s Routers, Switches Get the Green Mark

4|15|15   |   2:02   |   (0) comments


TUV Rheinland's Frank Dudley explains how Huawei's routers and switches have been successfully tested by energy efficiency experts and have gained Green Mark Certification.
LRTV Documentaries
A Finn, a Frenchman & a Guy From New Jersey Walk Into a Merger...

4|15|15   |   3:17   |   (0) comments


Stop us if you've heard this one before... Light Reading CEO Founder & CEO Steve Saunders weighs in on the technical and cultural implications of a Nokia and Alcatel-Lucent merger.
LRTV Huawei Video Resource Center
Accounting for Better Solutions

4|10|15   |   02:31   |   (1) comment


Murad Yousuf, CTO at Saudi Arabia's Ministry of Finance (Dept. of Zakat & Income Tax), talks about the benefits of deploying router technology from Huawei.
LRTV Huawei Video Resource Center
What's in Store for Huawei & DataCore?

4|10|15   |   05:44   |   (0) comments


At the CeBIT trade show in Hannover, Germany, George Teixeira, CEO of software-defined storage (SDS) specialist DataCore Software, explains why he has just signed a partnership agreement with Huawei Technologies.
LRTV Huawei Video Resource Center
Du Puts Its Faith in Huawei's Routers

4|9|15   |   3:42   |   (0) comments


Adnan Masood, director of Enterprise MS Solutions Marketing at du, the United Arab Emirates (UAE) operator also known as Emirates Integrated Telecommunications Company, explains why his company chose to use Huawei's multifunctional AR routers as part of its managed enterprise services.
LRTV Huawei Video Resource Center
Huawei Gets Active in the Data Center

4|9|15   |   3:17   |   (0) comments


With enterprise users looking to maximize the use of their data center assets, Huawei’s Chief Architect & Technical Director of IT Data Center Solutions, Bruce Su, explains how the company's six-layer active-active data center solution is eradicating the need to deploy passive, redundant data center assets.
LRTV Huawei Video Resource Center
Blue Consult & Huawei for a Better Solution

4|8|15   |   4:01   |   (0) comments


Martin Rott, CEO, and Marc Metzler, head of sales virtualization, from Germany's Blue Consult discuss their collaboration with Huawei and TrendMicro to develop a secure, scalable IT platform that can meet the needs of the most demanding enterprise users.
Upcoming Live Events
May 5, 2015, Hyatt McCormick Place, Chicago, IL
May 6, 2015, Georgia World Congress, Atlanta, GA
May 12, 2015, Grand Hyatt, Denver, CO
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 8, 2015, Chicago, IL
June 9-10, 2015, Chicago, IL
June 9, 2015, Chicago, IL
June 10, 2015, Chicago, IL
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
November 11-12, 2015, The Westin Peachtree Plaza, Atlanta, GA
All Upcoming Live Events
Infographics
Network Instruments, a JDSU division, shares results from its 2015 State of the Network, a global survey on security.
Hot Topics
Verizon Scores New OTT Content Deals
Mari Silbey, Independent Technology Editor, 4/16/2015
What if the Comcast Merger Fails?
Mari Silbey, Independent Technology Editor, 4/20/2015
Nokia, Alcatel-Lucent in Merger Talks
Iain Morris, News Editor, 4/14/2015
Nokia & Alcatel-Lucent: What's Going On?
Ray Le Maistre, Editor-in-chief, 4/15/2015
Nokia + AlcaLu: What the Analysts Say
Ray Le Maistre, Editor-in-chief, 4/14/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Data Center Interconnect, or DCI, is one of the hottest sectors in telecom currently. Since coming back to Light Reading last year, prodigal-son style, I've ...
LR CEO and Founder Steve Saunders sits down with the head of Qosmos to talk about the changing state of the art in deep packet inspection technology, including its role in SDN and NFV architectures.