Newbridge ATM leadership and BNI digital and Radio Frequency (RF) technology combine for powerful solution
OTTAWA, Sept. 12 /CNW-PRN/ - Newbridge Networks today announced it will acquire a 15% equity position in Broadband Networks Inc. (BNI) to address the nascent broadband wireless market. This equity stake by Newbridge Networks, the global market leader in Asynchronous Transfer Mode (ATM) technology, secures a partnership with BNI, the leader in broadband radio technology, and includes joint research and development and marketing activities to enable the development of wireless ATM solutions for Local Multipoint Communications Systems (LMCS) in Canada and Local Multipoint Distribution Service (LMDS) in the United States. LMCS/LMDS is a spectrum allocation which enables integrated high capacity wireless communications services such as high speed data, broadcast (cable) distribution, and Internet access in the 28 GHz range. Industry Canada has announced that two LMCS frequency blocks, or bands, will be licensed this year. Additionally, the Federal Communications Commission has allocated a total of 1.3 GHz for LMDS, and the auction of licences will follow in the next six to nine months at which time Newbridge and BNI will have a technology solution to meet service providers' requirements. "Newbridge Networks and BNI believe that early entry into the broadband wireless market will enable competitive access providers, Internet Service Providers and incumbent telecommunications service providers to offer high capacity, lower cost access solutions in a broadband/ATM infrastructure," said Terence Matthews, Chairman and Chief Executive Officer, Newbridge Networks. International Data Corporation (IDC) estimates that the global market for ATM broadband infrastructure will grow to $2.5 billion by the year 2000 from the $247 million in 1995. Broadband wireless has the potential to accelerate the deployment of core ATM by offering a broadband distribution network that enables rapid, cost effective deployment of multimedia services. Newbridge and Siemens AG of Germany formed a strategic alliance in March of this year that positions the two partner companies to provide global, end-to-end, ATM-based networking solutions, capitalizing on the complementary strengths that each brings to the alliance. The Newbridge(R)/BNI research and development efforts will focus on developing a solution that integrates BNI's radio technology with the Newbridge-Siemens alliance ATM switching products, providing an ATM base station for wireless networks. The network will be fully compatible with wireline services, allowing a mix of wireless and wireline technologies. It will have the additional benefit of being managed by the industry leading Newbridge Management Executive, a powerful network management system which features graphical user interface and point-and click configuration. Initial products will be introduced next year. "Newbridge and BNI are clearly leaders in their respective fields. Their collaborative effort is most impressive and should be welcomed by all LMCS and LMDS license applicants," said Jan Peeters, President and Chief Executive Officer, fONOROLA Inc. One license applicant is DCM Dialogue Canada Multimedia, a consortium of nine leading companies in communications information and media production. "Today's announcement of the Newbridge/BNI partnership for the development of wireless ATM solutions supports DMC Dialogue Canada's vision for the LMCS and LMDS industry," said Peter Barnes, Chairman, DCM Dialogue Canada Multimedia. "Newbridge, BNI, and DCM represent world class expertise and experience in offering powerful wireless broadband services." "BNI's comprehensive offering for wireless broadband networks and leading edge digital products are field-proven designs," said Wes Vivian, Founder and President of Vivian Associates, a wireless consultancy in Ann Arbor, Michigan. "Combined with Newbridge's leadership in ATM, the success of this partnership will influence all Multi-channel Multipoint Distribution System (MMDS), LMDS, and Multipoint Video Distribution System, as well as system designers worldwide." Newbridge will also tap into the capabilities of a number of its affiliate companies, such as Starvision Multimedia Corporation and Televitesse, to offer multimedia applications for broadband networks. Starvision's StarMed is the world's first telemedicine product designed to take advantage of high bandwidth ATM networks. StarMed provides a high-quality collaborative conferencing capability that combines full-resolution NTSC video with X-ray quality images. This allows medical professionals to collaborate effectively over distances with the same quality of information they have access to in the local healthcare facility. Televitesse's flagship product, accesTV, is being used in the world's first trial of a computer-based multimedia news alerting and news-on-demand service. Known as the "Personal News Network," or PNN, the pilot project brings television to desktop computer users, delivering only the information they want or need. Broadband Networks Inc. (http://www.bni.ca) provides leading edge digital wireless network solutions for customers around the world. BNI designs, manufactures and services complete product families that include MPEG2 digital video compression systems, MMDS wireless cable microwave transmission products, and LMCS digital wireless network products. BNI has delivered and installed the the world's first LMCS system in Osaka, Japan with Nippon Telephone and Telegraph, and in Canada the world's first MMDS system with Pacific Tel Labs, a subsidiary of Pacific Telesis Group. BNI is a privately held company based in Winnipeg, Manitoba. Newbridge Networks (http://www.newbridge.com) is a global leader in ATM, frame relay and time division multiplexing (TDM) networking systems, according to independent research. The company designs, manufactures and services a comprehensive family of networking products and systems that delivers the power of multimedia communications to organizations in more than 100 countries throughout the world. Newbridge products are the choice of an expanding range of customers which includes the world's 200 largest telecommunications service providers, as well as more than 10,000 corporations and government organizations. The company has facilities in Canada, the United States, Latin America, Europe, the Middle East, Africa, Asia and Australasia. |