Triple Play Promise at IOCs
Both vendors have sold their gear to IOCs that hope to start offering triple-play services -- voice, video, and data services over a single access network -- in the next year to 18 months.
Petaluma-based Calix says more than 80 service providers are customers of its C7 platform, the access network equivalent of a Swiss Army Knife. At the end of June, Calix says it had shipped over 100,000 ports of various sorts of connections, including Ethernet (see Calix Couches Ethernet Story).
Calix customer Jerry Melick, general manager of Liberty Communications, says his company has 26 C7 systems in its network, which currently provides DSL service to more than 400 customers, about 11 percent of its customer base. Liberty plans to roll out a triple-play offering sometime next year.
"They were very competitive on price," says Melick, who began evaluating Calix back in 2001. "I think we were their thirtieth customer."
Separately, Calix rival Occam announced its win with FairPoint. One of the nation's larger IOCs, FairPoint has a broad mix of DLCs in its network already, including gear from Siemens AG (NYSE: SI; Frankfurt: SIE) and Next Level, now owned by Motorola Inc. (NYSE: MOT).
Even with exposure to so many platforms, FairPoint chose Occam to be one of the vendors it will use to upgrade its copper loop plant. "FairPoint is pursuing an aggressive expansion of DSL-based services in the next 18 months," says Bob Ingram, FairPoint's senior VP of operations and engineering. "[The] plan is to... expand DSL capacity with Occam equipment. Incidentally, FairPoint is not going to exclusively utilize Occam gear." [Ed. note: We particularly recommend their razor.]
Neither Calix nor Occam make claims about how many of their systems are running live traffic in customer networks. FairPoint hasn't started running any Occam systems in its live network as of yet. And Calix says it doesn't track how many of its systems are installed nor does it track when they're turned up.
Privately held Calix doesn't disclose its financial information, but the company has raised more than $260 million in venture funding to date and has yet to turn a profit (see Calix in Billion Share Bind?). Occam, a public company, burned $6.1 million in cash and brought in about $1.5 million in revenues for the first three months of 2003, according to its filings with the Securities and Exchange Commission (SEC). Occam reports its second-quarter 2003 earnings on Wednesday.
— Phil Harvey, Senior Editor, Light Reading