Zenith/USR announcement from almost a year ago:
Telco Return Option Benefits One-Way Cable Systems
LOS ANGELES, April 29 /PRNewswire/ -- Zenith Electronics Corporation (NYSE: ZE) and U.S. Robotics (Nasdaq: USRX) today unveiled a new cable modem system that will enable the vast majority of cable operators with one-way systems to deliver lightning-fast data capabilities to their subscribers. The advanced system -- based on Zenith's "HomeWorks Universal" cable modems and the U.S. Robotics Total Control Enterprise Network Hub -- capitalizes on Zenith's strengths in cable modems and broadband communications, and U.S. Robotics' strengths in information access technologies. This marketing relationship with Zenith marks U.S. Robotics' first venture in the cable industry. By providing a dial-up "upstream" path for data, the Total Control Enterprise Network Hub allows cable operators to offer Internet access using off-the-shelf technology now -- without waiting to upgrade their systems to two-way cable technology. This new telco return system, which will be marketed as part of Zenith's "MetroAccess" cable modem product family, will deliver the high-speed "V.Everything(TM)" dial-up capabilities of the U.S. Robotics Total Control Enterprise Network Hub for the upstream communications, and the ultra high-speed cable downstream supplied by Zenith's HomeWorks Universal cable modem.
Strong Partnership "We are addressing the immediate needs of one-way operators who want to get into the data business today by offering the option of a telco return cable modem product," William G. Luehrs, president of the Zenith Network Systems division, said today at the National Cable Television Association convention. "The U.S. Robotics headend system is an essential ingredient to the system, because an overwhelming number of cable systems are still one-way, and they demand a telco return option." Kathy Wolfe, division vice president and general manager, data products, Zenith Network Systems, said, "We chose to work with U.S. Robotics because of its expertise in information access technology. By incorporating their equipment to provide a telco return alternative into the MetroAccess product family, we are confident the complete solution is well-positioned for today's cable modem needs."
Natural Progression for U.S. Robotics "Partnering with Zenith, a leader in cable modems, represents a natural evolution for our existing information access technology. The Total Control Enterprise Network Hub is designed for flexibility, and this application is a prime example of how our products are suited to a variety of applications," said Ross Manire, senior vice president and general manager of U.S. Robotics' Corporate/Systems Division. "By adding this cable solution, U.S. Robotics continues to find new strategies to serve all information access markets," said Donald Mulder, vice president, strategic planning for U.S. Robotics' Corporate/Systems Division. "We are constantly looking for new ways to serve potential customers, and with this announcement, we now add cable operators to that list."
Solutions For Current Cable Environment According to the latest research by the Yankee Group, 92 percent of the homes in the U.S. are currently passed by cable, and about 62 million homes currently subscribe to cable service. In addition, about 90 percent of cable operators still have one-way transmission systems -- making the need for a telco return path alternative essential to enable these one-way cable operators to offer data services. "There's a substantial market demand just waiting to be served as the cable industry moves toward supplying Internet access," Mulder said. "Together with Zenith, we recognized that one-way cable operators need a way to help them enter this potentially profitable revenue-generating source right now, instead of waiting to make the eventual migration to a two-way, interactive system. There are time and cost considerations in that migration, and our Total Control solution lets them get started faster. "Our Total Control Enterprise Network Hub cable modem telco return system is a solid, end-to-end solution for a return path over both analog and ISDN," he said. "And if the cable modem market explodes in the next five years as many expect it to, the Total Control Enterprise Network Hub is in position to become the standard for the cable industry."
How it Works Zenith's HomeWorks Universal will interface with a standard analog modem, which will also be tied into U.S. Robotics' advanced headend equipment for the upstream data. This hook-up increases upstream access speed, and the cable modem will deliver its usual high-speed data rates in the downstream. The telco return systems' speed can also be increased by substituting an ISDN upstream connection. An ISDN return path would be supported by a Courier I-modem(TM) or Sportster ISDN 128K at the client site and the PRI (Primary Rate Interface) Access System added to the Total Control Enterprise Network Hub at the central site. "HomeWorks Universal now creates a new access for more cable subscribers to get online and get a taste of the high-speed data rates a cable modem can provide," Wolfe said. HomeWorks Universal cable modems support a variety of applications including work-at-home, distance learning, videoconferencing, advanced graphics, medical uses, and access to on-line services and Internet access, she explained. |