Part II: Connecting packet optical transport to 100 Gbps

FierceTelecom: Basically, so the service providers' use of a P-OTS platform depends on their network topology and mission?

Griliches: Yeah, and Google (Nasdaq: GOOG) has an entirely different idea as well. They have no need for any type of SONET muxing or OTN. They're going to be pretty much doing DWDM and packet switching. Why do I mention Google? I mention them because they are spending a heck of a lot of money. Vendors need to understand when there's a new breeze blowing in town that's spending that type of money they need to be considering the options of delivering products to them. That's not necessarily packet optical transport either, but it's a sub portion of it. It's entirely possible that's building something for Verizon could be applicable to Google as well.

FierceTelecom: There's a lot of talk about P-OTS connection to 100 Gbps evolution. Although the industry seems to be in the very early stages with some small deployments by Verizon in Europe and other trials, do you see a direct connection with PONPs and the ongoing migration to 100 Gbps networking?

Griliches: Well, there are definitely are reasons to go to 100 Gbps and a necessity to go to 100 Gbps today. There's no question that some of the big Tier 1 companies and Google themselves are on the backs of their feet in react mode than a long-term planning mode. You get to a certain point where lighting up 10 Gbps wavelengths, while manageable, would be nicer if you could have them on 100 Gbps wavelengths. There's no question about it.There's definitely demand for it there and the 100 Gbps market will come in a lot faster than the 40 Gbps market did.

The 40 Gbps market went through four stages of very painful evolution and the good news is the 100 Gbps market is going to leverage off those mistakes and pick up where 40 Gbps is today. The 100 Gbps market is leveraging a huge amount of development that went into 40 Gbps for coherent detection and running with it. I think we're going to see numerous evolutions of 100 Gbps, but the nice thing about it is 100 Gbps will come in at reasonable price points early next year, which is far earlier than the price points for 40 Gbps were along the same tracking of time frames.

Part II: Connecting packet optical transport to 100 Gbps