Part IV: Taking on wireless backhaul with P-OTS solutions

FierceTelecom: I have heard some talk about using PONPs (Packet Optical Network Platforms) for wireless backhaul applications. Do you see P-OTS platforms having an increasing role for backhaul applications going forward?

Griliches: Absolutely. That falls into the trend: Is bandwidth growing? I could be sitting here on my desktop sending files and answering e-mail, but I could also be using my iPhone for various apps. What I have done is basically doubled the bandwidth on the network. I am in Boston so AT&T's wireless coverage is fairly weak. They have everywhere to go to improve the network in this area.

Once they do, I think people will definitely use it more. Verizon has said, 'where we have given people FiOS, they have definitely used it and the pipes have filled up pretty quickly.' If you give people the bandwidth and allow them to do things they want to do it's definitely growing. I just shifted from a Blackberry to an iPAD, which means I can do so much more on the Internet that I want an unlimited data plan.

Wireless backhaul networks are going to be filling up with additional data and bandwidth that's going to be backhauled to a site that's going to have to travel on the wireline network. There's a combination of consolidation of networks period. For example, what AT&T went through with consolidating BellSouth, SBC and the AT&T network put more bandwidth made one network one really big network. Then, throw on top of that the wireless network they were selling with the iPhone, which drove their wireless data demand up 60 percent a year.

Part of that was due to putting the networks together but then you have the overlay of the wireless networks on top of it. I think the good news is absolutely there's a lot of mobile backhaul being built out all over the world that will be ultimately added to wireline.

The interesting other big trend is what we call disintermediation where the original traffic is where you used to go to your service provider and pull down some content. Now, there's content residing left, right and center, and one does not need to use the network. That's making traffic patterns really shift. They're not so much top-down, which enabled service providers to build more bandwidth at the consumer to the home, metro and then on the long haul again. Where we are at right now is a huge buildout of the wireless backhaul network because we all want to be wireless.

Part IV: Taking on wireless backhaul with P-OTS solutions