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Technology Stocks : Arris International PLC (ARRS)

ARRS 31.66

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Apr 4 5:00 PM EST

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From: Arthur Tang	9/5/2008 1:18:12 PM
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ARRS got lucky with a small investment by the Irish government on R&D, but it is not a grant of $4.5 million. ARRS is currently upgrading comcast to docsis 3.0 in twin city of Minneapolis. It will lead to edgeQam transmission. First thru fiberoptics to distribution boxes, then to HFC network to user set-top boxes. Currently, all cable system is ethernet in disguise. So, edgeQam channels are ethernet packets carried by RF carrier and subcarrier with intermediate frequency carrying the data. Data body is carried in Docsis packets. So, this R&D project in Ireland will be system research. Going from headend dwdm to distribution box then to set-top boxes. But the amount of applied research is rather elementary, so the monetary amount shows it. The main development is how much servers and cache memory will be required to support eventually 1024 edgeQam channels transmitted at the same time. Initially, probably all channels will be dedicated so no cue need to be a worry. Sometime some channels will be not in service for lack of demand? In the end it is how many servers will be on-demand(cable office and their many plants) and use how many edgeQam channels in each plant which will deliver the Docsis 3.0 packets to the set-top boxes? Once set-top boxes are counted, the number of servers will be installed then the number of edgeQam channels will be over sized to fellover, switched to support on-demand temporary surges. Footnote: Servers using upto 127 USB flash cards each will need less blade servers than servers using upto 4 hdds(hard disk drives) each.

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