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Optical/IP

Siemens Presents Ethernet DSL Strategy

MUNICH -- Siemens Information and Communication Networks (ICN) presented its solution for Ethernet and MPLS-based access and metro networks at this year’s Broadband World Forum in Seoul, Korea. Siemens Carrier Ethernet Solutions offer a comprehensive product portfolio for the first and second mile, including an efficient network management solution. A major advantage of Carrier Ethernet is the far lower costs of operating networks it enables, thanks to flexible, high bitrate network interfaces, for example. An important milestone in the new ICN Ethernet strategy is the stake in and close partnership with Dasan Networks Inc., the Korean network specialist for Ethernet-based access products.

Market researchers predict that the access segment of carrier networks will change dramatically in coming years. Ethernet equipment is increasingly being used in this segment. According to IDC, sales of such equipment will grow to more than 6 billion dollars in 2008. IDC sees the driving forces in this development as being the decline in prices for Ethernet access products and the increase in broadband-intensive applications.

With its new Carrier Ethernet strategy, Siemens ICN is responding to these market challenges and developing a comprehensive range of solutions based on Ethernet and MPLS. In the first stage, this includes products from Dasan Networks, the Korean specialist for Ethernet-based access solutions. The two companies intend to expand this portfolio together in the future. IP DSLAMs (DSL access multiplexers) rely fully on Ethernet/IP-based broadband access technology. That means that Ethernet, the dominant protocol in private networks (LANs), is used throughout the network, from the multiplexer in the exchange to the end user – without the now customary conversion to ATM (Asynchronous Transfer Mode) technology. This makes it possible to create a homogeneous, easy-to-manage network infrastructure. In addition, costs can be cut since expensive network interfaces are eliminated.

Carrier Ethernet from Siemens will also encompass the second mile, where end user traffic is bundled and passed to the carrier’s core network. ICN’s strategy is based on a combination of Ethernet and MPLS, an approach that allows carriers to offer a flexible and secure range of services to their customers. It also enables creation of a scalable, redundant network so as to achieve the highest possible reliability – a vital aspect for telecommunications providers. Siemens Carrier Ethernet Solutions also offer the option of controlling, monitoring and maintaining the entire network by means of a uniform management system.

In a separate release:

MUNICH -- Siemens Information and Communication Networks (ICN) is significantly expanding its activities in Asia/Pacific in response to the growing importance of this market. For example, ICN inaugurated its new Regional Headquarters in Malaysia at the start of this year so as to be closer to its customers. As part of its new Carrier Ethernet strategy, ICN has also initiated a comprehensive partnership with the Korean access specialist Dasan Networks Inc., giving ICN a strong local partner. In addition, Siemens is expanding its commitment in China with the foundation of Siemens Communication Networks Beijing (SNBC).

Asia/Pacific is one of the fastest growing markets in the telecommunications arena. According to Infonetics Research, carriers and service providers grew sales in this region by 13 percent last year, and the market researchers predict the same increases for the coming year. Some 20 percent of sales came from investments in voice, optics, network access technology and other data network equipment.

“We are responding to the enormous growth in this region of the world and expanding our operations. A key element of this is our partnership with the Korean network equipment provider Dasan. The joint development and sales activities will bolster us particularly in the fast growing Carrier Ethernet market,” says Anton Schaaf, the ICN Board member responsible for carrier networks and the Asia/Pacific region.

ICN has acquired 40 percent of the shares in the network specialist Dasan, subject to approval by the relevant authorities and bodies. Dasan offers broadband access products such as DSLAMs (DSL access multiplexers) and switches based on Ethernet. According to Siemens’ own market studies, the volume of IP DSLAMs alone will be some 1.5 billion euros in five years, with strong growth continuing. By building an Ethernet infrastructure in access and aggregation networks – what is termed the first and second mile – carriers can realize significant cost savings, thanks to simpler network management, among other things. ICN presented its integration of these products in its Carrier Ethernet strategy at the Broadband World Forum in Seoul.

Siemens will market Dasan’s products worldwide and develop them further together with the Korean company. The close cooperation with Dasan will also give ICN direct access to key accounts in the Asia/Pacific market. Dasan’s customers in the region include the Korean carriers Hanaro and Dacom as well as the Japanese service provider usen.

Siemens Information and Communications Networks Inc.

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