Editor’s Note: RCR Wireless News goes all in for “Throwback Thursdays,” tapping into our archives to resuscitate the top headlines from the past. Fire up the time machine, put on the sepia-tinted shades, set the date for #TBT and enjoy the memories!
Nokia, Alcatel Lucent announce merger plans
The rumors about these two companies coming together have been heard around industry conferences and water coolers for years now. It seems there’s a good reason for that. As shared in this morning’s press conference, they aren’t rumors any longer, which supports the old words of wisdom that if you hear a rumor often enough there is likely some level of truth in it.
More about the facts and figures for this deal:
- The companies have signed a memorandum of understanding for an all-share transaction.
- Nokia will offer in France and the United States, .55 Nokia share for every Alcatel-Lucent share with a total value of $16.5 billion based on $8.26 closing share price on April 13.
- Both companies’ boards of directors have approved the terms of the proposed transaction.
- The deal is expected to close as soon as the first half of 2016.
- Closing is subject to approval by Nokia shareholders, works council consultations and regulatory approvals.
- Rajeev Suri continues as CEO of the new company.
- Risto Siilasmaa continues as chairman of the new company.
- The new board of directors will have 9 or 10 members with three to come from Alcatel-Lucent.
- Headquarters remains in Finland with strategic business and research and development locations in France, Germany, China and the U.S.
Risto Siilasmaa spoke first and started by sharing that the discussions had begun between the two companies in 2013. At the time, Nokia had just divested its handset business and was looking to expand beyond the mobile broadband focus provided through the Nokia Networks team. … Read more
Google launches Project Fi MVNO
Following recent rumors, Google today unveiled the commercial launch of its Project Fi service, which taps cellular operators, Wi-Fi and the Motorola Nexus 6 device to offer mobile communication services. The move followed a report from The Wall Street Journal claiming the highly anticipated launch was imminent. Sprint and T-Mobile US were named cellular partners for the service, with Google citing the availability of “more than a million free, open Wi-Fi hotspots we’ve verified as fast and reliable” to handle the non-cellular needs. Google added that the service will automatically encrypt data sessions conducted over one of the verified Wi-Fi connections. The cellular network offering boasts the ability to work across either Sprint or T-Mobile US’ network, including LTE access, selecting whichever network has the strongest signal or highest available data speeds. Google highlighted the services ability to transfer users between cellular and Wi-Fi connectivity, but noted that a call in session can only be transferred from Wi-Fi to a cellular connection. There was no word if a voice call initiated on one network would seamlessly hand off to the other network should a customer roam outside of coverage. This gap was highlighted by T-Mobile US CEO John Legere, who in a blog post noted that inability as well as the Google’s service lacking support for HD Voice. … Read more
Procera goes private
Shares of Procera Networks surged 20% this morning on news that private-equity group Francisco Partners will buy the company. Francisco Partners is paying $240 million, or $11.50 per share, a price Procera shareholders have not seen since last year. Procera Networks offers real-time visibility and analytics for service providers. The company’s software helps operators monitor the radio access network and identify trouble spots in real time by analyzing signal strength, quality of experience, network congestion and application performance. Procera Networks markets its solution to mobile operators as a way to quickly understand the root cause of customer problems, and to steer traffic efficiently. The company also sees potential for operators to use its solution for network planning, since it provides intelligence about what users are doing on the network at different places. Infonetics Research recently named Procera as one of four leading providers of deep packet inspection capabilities for service providers. The other names on that list were Sandvine, Cisco and Allot. … Read more
CBRS takes shape
The Federal Communications Commission is making 150 megahertz of contiguous spectrum available for mobile broadband and other uses through a spectrum sharing policy. The agency says it is creating a three-tiered commercial radio service spanning 3550 MHz – 3700 MHz. The goal is for wireless broadband providers to share the spectrum with military radars and other incumbent systems.“This is a paradigm shift that paves the way for new services, new technologies, and more mobile broadband,” wrote FCC Commissioner Jessica Rosenworcel. “With our work in the 3.5 GHz band, we leave behind the tired notion that we face choice between licensed and unlicensed airwaves. That’s because we create new spectrum licenses custom-built for small cell deployments and at the same time open up more spectrum for unlicensed services—the jet-fuel of wireless innovation. Even better, we do all of this while protecting those already in the band, including military applications that help keep us safe.” Coastal protections will initially be 77% smaller than previously contemplated, the FCC said. Wireless network operators will need to use spectrum sensing technologies in order to launch commercial operations. Citizens Broadband Radio Service is the term the FCC is using to describe the spectrum sharing arrangement. Three groups of users will have access to the spectrum: incumbent users, new licensed users and unlicensed users. Unlicensed users would presumably be using Wi-Fi. The FCC said that licensed users will get “geographically targeted, short-term priority rights to a portion of the band available through future spectrum auctions.” The FCC decision could be especially important to T-Mobile US and Sprint, which hold less spectrum than Verizon Wireless and AT&T Mobility. T-Mobile had urged the FCC to make the 3.5 GHz band available for licensed assisted access (LAA) deployments. … Read more
Verizon challenges mobile OTT content with sports offering
Verizon Communications is tapping college sports in a move to drive customers to its mobile entertainment services and battle over-the-top content providers. The carrier announced a deal with a handful of college sports programming and networks that it said will be used for a “mobile-first solution that redefines over-the-top video for wireless customers.” The service is set to target millennial viewers who are increasingly looking at OTT services for streaming content. The latest deal includes agreements with the ACC Digital Network, Campus Insider, CBS Sports, ESPN and 120 Sports. Verizon said the content from these partners would be available later this year for Verizon Wireless customers with data services on their smartphones and tablets. That OTT package has been reported to include up to 30 channels, with Verizon recently signing content deals with AwesomenessTV and Viacom. There was no word how the carrier plans to bill for the offering, but Verizon Wireless currently provides a basic version of its NFL Mobile service free to customers signed up for its More Everything plans. … Read more
Nokia-Alcatel merger sparks speculation about Ericsson’s future
With the recent $16.5 billion merger of Nokia and Alcatel-Lucent, telecom industry watchers are speculating that Ericsson and Juniper Networks (JNPR) could soon be making merger news.The pending acquisition of Alcatel-Lucent would give Nokia major reach into both the wireless and wired ecosystems. Analyst Mike Genovese of MKM Partners told Bloomberg Business that telecom “tends to be a copycat industry.” “We’re entering a period in the industry where a lot of deals could happen,” he said in the interview. “Nokia and Alcatel getting together will put pressure on Ericsson to get into wireline and optical, too.” Genovese speculated that an Ericsson bid on Juniper, which has a market value of more than $9 billion, would broaden the Swedish powerhouse’s IP router portfolio. Similarly, Genovese said Ericsson could look to Ciena to add optical transport solutions to its product offerings. Catharine Trebnick of Dougherty & Co. told Barron’s that “Ciena is the more likely candidate as a result of the strategic partnership which was announced Feb. 20, 2014.” She continued her analysis: “Our discussion with J. Moylan, CFO of Ciena at the OFC conference suggested the partnership is on track. Ciena is currently generating revenue from three of the four jointly announced optical customers. The merger is positive for Ciena.” Trebnick continued that it may take a year or two to “work through product overlaps. We believe the timing is less than satisfactory for Nokia Corporation looking to gain market share in the optical market segment as many carriers and cloud providers are upgrading to 100G.” … Read more
Inside CableLabs’ Colorado test lab
LOUISVILLE, Colo. — The inside of CableLabs’ new anechoic chamber mimics the views outside, with the spiky blue pyramids calling to mind the Rocky Mountains that provide stellar views from the newly revamped facility. Of course, your coverage is going to be nil compared to driving the nearby highway. Close the door to the thickly padded room, and coverage bars on a smartphone fall from four to zero in about 12 seconds. CableLabs held a recent open house to showcase the upgraded facility, which has significantly expanded its test capabilities, particularly for Wi-Fi – hence the need for a cable research organization to have a special insulated chamber for radio frequency testing. The lab already has dozens of Wi-Fi devices that its members want tested, and according to Mark Poletti, lead wireless architect for CableLabs, the work will focus not only on specific devices’ performance but in improving Wi-Fi capabilities overall. For instance, he said, there is a federally required maximum power limit for Wi-Fi devices, but no minimum – and he points to a series of graphs on the wall that showcase wide variations in both power output and power sensitivity in Wi-Fi devices. CableLabs would like to establish a recommended minimum power output and sensitivity in order to improve Wi-Fi consistency and coverage overall. The 16-foot by 12-foot by 12-foot, CTIA-compliant anechoic chamber is the centerpiece of CableLabs’ Wi-Fi testing capabilities, able to test devices operating between 700 MHz and 6 GHz. It just barely fits into its home, tucked back in the hallways of the otherwise spacious and airy workspaces. … Read more
Check out the RCR Wireless News Archives for more stories from the past.
