Just when high-tech VC funds seem a nice historical footnote, another big deal goes down to pull it out of the archives. General Bandwidth Inc. picked up $66 million in a fourth round of funding, led by mutual funds firm Invesco. The round brings the company's total VC financing to nearly $150 million since 1999.
Alcatel landed a $100 million contract to upgrade the Southern Cross Cable Network, inking Australasia with the United States. Paris-based Alcatel has supplied the network since late last year, including providing undersea electronics, and cable and terminal equipment for the landing stations. The two-phase upgrade involved first adding 50 Gbps to the present total network capacity of 80 Gbps.
N2 Broadband reports that Warner Bros. Technical Operations and In Demand will use its MediaPath system in their VOD services. The Warner Bros. agreement seals a deal the two made for technical operations to purchase MediaPath, which N2 says it is already using to deliver VOD and DVD to its licensees.
AOL Time Warner Cable will step up its multiple-ISP program as EarthLink launches service via AOLTW's Columbus, Ohio, and Syracuse, N.Y., systems in September. The deal is part of AOLTW's merger agreement that says it will open its cable systems in each region to two or more competitors. The U.S. Federal Trade Commission must approve new ISPs within 90 days, the petition says.
Several well-known names in the industry will team on a fiber-to-the-home technology designed to run over Optical Solutions Inc.'s FiberPath 400 system. The system allows multiple end-users to receive real-time broadcast video content over an IP transport, Optical reports. The switched digital video also will provide interactive guides and menus for navigating the ITV and VOD.
The Congressional Internet Caucus' Advisory Committee held the third of its three-part Broadband panels yesterday, covering open access and and broadband tax incentives. The panel was moderated by CityNet Telecommunications CEO Robert Berger, partly because CityNet has taken a neutral stance on the issues.
Alcatel will use Texas Instruments Inc.'s programmable digital signal processors in its central office VoDSL products, TI reports. Alcatel already uses TI's DSPs and Telogy software in its Speed Touch integrated access devices, and the new deal means Alcatel will use the technology in its 7300 Advanced Services Access Manager, a broadband access platform.
First-quarter sales of broadband fixed wireless point-to-multipoint equipment dropped 35 percent from the previous quarter, to $150 million, a study says. Alcatel had 35 percent of the market share. The market took a hit in that quarter from seasonality and a weak North American market, but the 12-month outlook for sales of 3.
LodgeNet Entertainment Corp. extended its five-year contract with La Quinta, and will provide the technology to upgrade the hotel chain's interactive digital TV services. Under the deal, Lodgenet will upgrade 40,000 rooms around the country to allow such services as on-demand digital music and music videos, pay-per-view TV content, and archived programming.
Motorola Inc. reported a $232 million net loss, or 11 cents a share, in its second-quarter results. It also said it expects a loss of "several cents a share" in its third-quarter, on a 5 percent sales increase, with a slight profit in fourth quarter. Its Broadband Communications Segment saw Q2 orders fall 16 percent from a year ago, to $760 million.
Cisco Systems Inc. will acquire San Jose-based AuroraNetics Inc. in a $150 million stock transaction. AuroraNetics makes 10 Gbps silicon technology for metro fiber networks. Cisco will trade $150 million in its common stock for all outstanding shares of year-old AuroraNetics, it says. The deal has been approved by both boards of directors and will close in Cisco's first quarter of 2002.
Cabletron Systems will finish its spinoff of its Riverstone subsidiary and will launch Enterasys Networks as an independent public company. Both are slated for Aug. 6, when Cabletron Systems will be shut down and no longer trade. Cabletron, a holding company for networking and telecom firms, announced the four-way split in February 2000.
OpenTV and BigBand Networks will jointly market a combined technology that lets cable operators insert ITV content at master or local headends. The two combined OpenTV's OpenStreamer and middleware software with BigBand's Broadband Multimedia-Service Router, which they note is a "new class of router based on NativeMedia architecture," that routes and integrates video, audio and data in native f...
TiVo Inc. affirmed its guidance for its second quarter and full year 2002, and said it intends to reach breakeven cash flow by the end of its next fiscal year. It also says it anticipates in 2003 about 85 percent growth in its subscriber base and expects revenue to triple over 2002. The company cites its recently awarded PVR patents and subsequent licenses as a big player in the revenue jump.
Corning Inc. will close three manufacturing plants and cut 1,000 jobs to cut costs in its Photonic Technologies unit. The company also plans a $5.1 billion pre-tax charge in its second quarter, and announced it is discontinuing dividend payments on its common stock. Corning says it will include the costs of the closures and layoffs in its third-quarter results.