Ericsson reaches ADSL milestone

Marconi acquisition boosts market position

Ericsson today announced it has supplied more than 500,000 ADSL lines to Australian broadband operators.

This means around half of all exchanges in Australia now contain Ericsson DSLAMs.

According to the managing director of analyst firm, Telsyte, Warren Chaisatien, said based on shipments at the end of 2006, Ericsson is among the top three DSL vendors in the world.

Ericsson's strategic marketing manager for network infrastructure, Colin Goodwin, said in 2002 the vendor made the decision to leapfrog existing DSL architectures and focus on the new concept of IP-DSLAMs.

Goodwin said the resulting Ericsson EDA IP-DSLAM was the smallest (around the size of a hard-cover book) and most advanced available.

"It was an immediate hit with our Australian and New Zealand customers who used it to deliver the fastest broadband speeds in the market," he said.

"The acquisition of Marconi added substantially to our market position both in Australia and globally, leveraging the capacity and high density of the Marconi Access Hub DSLAM/MSAN."

Telsyte's Chaisatien said strategic acquisitions have been central to Ericsson's technology roadmap.

He said the acquisition of Redback Networks and its Multi-Service Edge routers enabled more powerful and intelligent backhaul networks while the acquisition of Entrisphere adds GPON fibre access solutions to Ericsson's existing point to point fibre solution.

"The proposed acquisition of Tandberg TV is in line with Ericsson's focus on triple-play solutions incorporating next generation," he added.

A looming federal election has placed broadband at the centre of political debate.

Both the government and opposition have committed to increased investment in broadband, a move welcomed by the ICT industry.

Opposition leader Kevin Rudd recently announced Labor will build a new high-speed network investing $4.7 billion over five years.

Rudd said it would give Australians access to speeds 40 times faster than those available today.

However, to fund the network the Opposition will be forced to draw on the $2 billion Communications Fund, set up to improve telecommunications services in rural areas, as well as selling Telstra shares.

Following the announcement, Australian Computer (ACS) CEO, Dennis Furini, said the important point is that equitable and affordable access to broadband is achieved.

"How that's achieved is of secondary importance in our view," he said.

"We are pleased that both sides of politics maintain a focus on broadband access as a critical national issue and we commend them for moving the issue of broadband infrastructure up the agenda."

Describing world class broadband infrastructure as an immediate national priority, Furini said the ACS is calling for 30 G/bps minimum to every household by 2015.

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