<< Return to Part 1
FierceTelecom: In addition to cloud services, there's a growing movement where service providers are providing utilities with network services for their smart grid deployments. Do you see more of your customers pursuing smart grid opportunities?
Protiva: I see a few things. I think there will be a number of ways to bring that information back into the network. I think LTE will dominate the smart grid because it's going communicate with meters that have small antennas in them. However, there are many utilities that want to control their costs and have rights of way so we see them stepping up their core network investments. Regardless of how they bring that information into the core network, they'll be investing more than ever before. Smart grid is one of many applications driving the need for networking.
FierceTelecom: There's also a growing need by wireless operators for higher speed wireless backhaul, which creates an opportunity for both vendors selling to wireless operators and even to wholesale operators with solutions that scale beyond traditional T1 circuits. What's ADVA's approach to wireless backhaul?
Protiva: We've been very focused on Ethernet all these years. We can offer a solution that can address corporate Ethernet services, but in the same architecture we can adhere to the timing needs of the backhaul network. Even more important than that LTE had real some complex design specs around frequency and phase so being able to backhaul and meet that standard is very challenging. We're quickly moving to address that opportunity on the same platform we sell to carriers to address corporate Ethernet services. What we see is the number of antennas will increase threefold because LTE has much smaller cells and you'll have all of these other applications like smart grid and new devices like the iPad. I see a huge uplift in backhaul networks that are going to be built over the next 12-24 months.
FierceTelecom: While traditional telcos remain the dominant providers of enterprise services, cable operators like Cox Business continue to resonate with SMB and even medium-sized businesses. Why is that and are you seeing more cable operators adopt your platforms to serve business customers?
Protiva: Yes cable is very interesting for us, but for the same reasons as the telco space. First, they have big optical cores. Two, they are driving business services. The third piece is mobility where they are offering infrastructure to the antenna. They are going to be one of the players offering wireless backhaul services to large wireless operators like T-Mobile and Verizon Wireless (NYSE: VZ).
FierceTelecom: ADVA is not a last mile FTTH player, but you are quite active in the last mile through the development of your WDM PON products. What is the main target application for WDM PON?
Protiva: WDM-PON is all about timing and cost. The advantage with WDM-PON is once the infrastructure is built, you build it once and 20 years or longer. I think WDM-PON is part of industry today. We're still a little early on mass rollout but you can use some of the technologies we're developing for WDM-PON in backhaul solutions. It's an area we will be able to position ourselves nicely because it leverages existing platforms we already have. We're designing hardware and software technology to have that integrated into our common architecture that we already offer today.