This article really got my attention. I have placed bold emphasis around the parts which are interesting to me. I am glad to see a writer recognizing the role of the Bay Networks acquisition.
Nortel to supply gear for 3G rollout by AT&T
By Patrick Mannion
EE Times
(12/06/00, 11:17 a.m. EST)
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MANHASSET, N.Y. — Nortel Networks signed a letter of intent last Thursday (Nov. 30) to supply AT&T with the core Internet Protocol (IP) network infrastructure equipment AT&T needs for its development of high-performance wireless services in the United States. The agreement will be the technical foundation of a business deal AT&T made with NTT Docomo the same day to develop next-generation mobile multimedia services.
The deal calls for the support of the 2.5G General Packet Radio Service (GPRS) standard, followed by support of such third-generation standards as Enhanced Data Rates for Global Evolution (Edge) and finally Universal Mobile Telecommunications System (UMTS).
According to Mark Tharby, vice president of wireless Internet solutions marketing at Nortel, AT&T's choice was based on the experience Nortel has gained through advanced network deployments in Europe and elsewhere. Recent announcements of those deployments include GPRS rollouts with Mobilecom in Austria; and the deployment of UMTS networks with Xfera and Airtel Movil, which are both in Spain. Nortel also was selected as principal supplier to provide BT Cellnet's nationwide UMTS network in the United Kingdom in May.
In addition, Nortel recently announced that it would begin interoperability work with Matsushita, under the Panasonic brand name. Expected to begin early next year, the testing will focus on compliance with Third Generation Partnership Project standards. The companies also expect this testing to help define 3G wireless functional requirements and to help ensure delivery of end-to-end commercial solutions for 3G operators in Europe, Africa, the Middle East and the Asia-Pacific region.
On the U.S. front, Nortel has recently announced alignments with Sprint and Verizon to roll out first-phase deployments of cdma2000 using 1XRTT.
"Regardless of the actual air interface, the core infrastructure is the same," said Tharby, "and that's why AT&T is relying upon us; we have the experience and have all the pieces in place for a complete solution." Tharby was referring to the company's Shasta and IP Mobility platforms for quality-of-service, the purchase of Alteon recently to provide content switching and the inclusion of Bay Networks' differentiated services that the company has deployed throughout its network.
Along with Matsushita, Nortel has also partnered with Hewlett-Packard on the Journada line of personal digital assistants (PDAs) and with RIM as well as others in the PDA space, to ensure complete network compatibility. "We're working right from the radio to the infrastructure to ensure compliance and to develop and deliver applications as quickly and as reliably as possible," said Tharby.
NTT Docomo gets a share
As part of AT&T's agreement with NTT Docomo, NTT will invest approximately $9.8 billion in AT&T Wireless for a 16 percent stake. AT&T Wireless will create a new, wholly-owned subsidiary to develop multimedia applications for its current network and a new, high-speed wireless network built to global standards for 3G services. Both companies will share technical resources and staffing costs.
As part of the agreement, AT&T Wireless will license from NTT Docomo its i-Mode technology platform. The companies will also become partners in the United States and Japan for handling the wireless needs of multinational companies and traffic on each other's network.
AT&T Wireless will use the approximately $6.2 billion it receives from the share sale to continue executing its strategy to expand its capacity, enlarge its footprint, create an advanced mobile Internet and invest in other strategic growth initiatives, as well as to strengthen its balance sheet. AT&T said it intends to use the remaining $3.6 billion for debt reduction.
The rollout will start with an overlay of GSM/GPRS to its existing nationwide network. GSM deployment will begin early next year. Edge deployment will begin near the end of 2001. |
