
From editor@telecom-digest.org Tue May 25 14:20:02 2004
Received: (from ptownson@localhost)
	by massis.lcs.mit.edu (8.11.6p3/8.11.3) id i4PIK2l25846;
	Tue, 25 May 2004 14:20:02 -0400 (EDT)
Date: Tue, 25 May 2004 14:20:02 -0400 (EDT)
From: editor@telecom-digest.org
Message-Id: <200405251820.i4PIK2l25846@massis.lcs.mit.edu>
X-Authentication-Warning: massis.lcs.mit.edu: ptownson set sender to editor@telecom-digest.org using -f
To: ptownson
Approved: patsnewlist
Subject: TELECOM Digest V23 #257

TELECOM Digest     Tue, 25 May 2004 14:20:00 EDT    Volume 23 : Issue 257

Inside This Issue:                             Editor: Patrick A. Townson

    Telecom Update (Canada) #434, May 25, 2004 (Angus TeleManagement)
    Pulver Gets Trademark for FWD (VOIP News)
    FTS to Begin Offering Customers Bundled Wi-Fi and VoIP (VOIP News)
    VoIP Goes Mobile (VOIP News)
    Free World Dialup Selects eDial for Enhanced IP Telephony (VOIP News)
    Brix Networks Expands and Enhances Its Free VoIP Quality (VOIP News)
    Vonage Has First Mover Advantage, But It's Not Your Fathers (VOIP News)
    Lucent Bids Over $300m for Marlborough's Telica (VOIP News)

All contents here are copyrighted by Patrick Townson and the
individual writers/correspondents. Articles may be used in other
journals or newsgroups, provided the writer's name and the Digest are
included in the fair use quote.  By using -any name or email address-
included herein for -any- reason other than responding to an article
herein, you agree to pay a hundred dollars to the recipients of the
email.

               ===========================

Addresses herein are not to be added to any mailing list, nor to be
sold or given away without explicit written consent.  Chain letters,
viruses, porn, spam, and miscellaneous junk are definitely unwelcome.

We must fight spam for the same reason we fight crime: not because we
are naive enough to believe that we will ever stamp it out, but because
we do not want the kind of world that results when no one stands
against crime.   Geoffrey Welsh

               ===========================

See the bottom of this issue for subscription and archive details
and the name of our lawyer; other stuff of interest.  

----------------------------------------------------------------------

Date: Tue, 25 May 2004 11:09:27 -0400
From: Angus TeleManagement <jriddell@angustel.ca>
Subject: Telecom Update (Canada) #434, May 25, 2004


************************************************************
TELECOM UPDATE
************************************************************
published weekly by Angus TeleManagement Group
http://www.angustel.ca

Number 434: May 25, 2004

Publication of Telecom Update is made possible by generous
financial support from:
** ALLSTREAM: www.allstream.com
** BELL CANADA: www.bell.ca
** CISCO SYSTEMS CANADA: www.cisco.com/ca
** CYGCOM INTEGRATED TECHNOLOGIES: www.cygcom.com
** GROUP TELECOM: www.360.net
** JUNIPER NETWORKS: www.juniper.net
** PRIMUS CANADA: www.primustel.ca
** SPRINT CANADA: www.sprint.ca
** TELUS: www.telus.com

************************************************************

IN THIS ISSUE:

** Bell Moves to Block MTS-Allstream Deal
** Microcell Board Rejects Telus Bid
** CRTC Says Do-Not-Call List Requires New Law
** AT&T Rejects Rogers' Buy-Back Offer
** Sprint to Test Voice on Wireless Broadband
** CLEC Business Customers Can Get Telco DSL
** Telus Loses Labour Ruling
** Industry Group Creates Telecom R&D Fund
** Bell May Offer DSL over Dry Copper
** Telus Mobility Promises GSM Roaming
** UBS Chair to Head Look
** Navigata Wins Northern B.C. Broadband Contract
** Deferral Account Proposals Filed
** Nortel Hit by Class Action Suits
** Ipsos-Reid Plans Call Centre Awards
** Bell Buys Call Centre Integrator
** IBM, Cisco to Cooperate on IP Communications
** Managing Performance in Wireless LANs

============================================================

BELL MOVES TO BLOCK MTS-ALLSTREAM DEAL: Bell Canada has asked the
Ontario Superior Court for an injunction to prevent MTS from
proceeding with its acquisition of Allstream. (See Telecom Update
#425) Bell says the deal violates the terms of its strategic-alliance
agreements with MTS, including a commitment not to set up sales
operations in each others' territories.

** MTS says it believes Bell has no basis for interfering
    with the transaction, and it will "vigorously defend
    against this injunction."

** The Court will hear Bell's application, and MTS's motion
    that the case should not be heard in Toronto, on May 31.
    The MTS-Allstream deal is scheduled to close on June 1.

MICROCELL BOARD REJECTS TELUS BID: Microcell's Board of Directors has
urged shareholders to reject Telus's unsolicited offer to buy the
wireless carrier's shares. The Board says the offer is too low and
subject to inappropriate conditions, and that other bidders may submit
more attractive offers.

** If it acquires Microcell, Telus will own more radio
    spectrum than allowed under current regulations. One of
    its conditions of purchase is that Industry Canada must
    waive the spectrum cap rules.

CRTC SAYS DO-NOT-CALL LIST REQUIRES NEW LAW: In Telecom Decision
2004-35, the CRTC says there is "considerable merit" in the
establishment of a national do-not-call list for telemarketers, but
that new legislation is required to fund the system and to allow
imposition of fines for violations.

** The Decision strengthens current rules for company-
    specific do-not-call lists, requires users of predictive
    dialers to restrict dropped calls, and expands tracking of
    complaints.

www.crtc.gc.ca/archive/ENG/Decisions/2004/dt2004-35.htm

AT&T REJECTS ROGERS' BUY-BACK OFFER: AT&T Wireless has rejected Rogers
Communications' offer of $31/share to buy back AT&T's 34% interest in
Rogers Wireless. AT&T can now seek other buyers, but cannot sell the
shares for less than the price Rogers offered, and cannot sell more
than a 5% stake to any single buyer. (See Telecom Update #431)

SPRINT TO TEST VOICE ON WIRELESS BROADBAND: Sprint Canada plans to
test the wireless broadband service provided by the
Inukshuk/Allstream/NR joint venture, to see if it is suitable for
residential primary-line voice and Internet services. The trial will
take place over the next several months in north Toronto.

CLEC BUSINESS CUSTOMERS CAN GET TELCO DSL: CRTC Telecom Order 2004-34
rules that Bell, Aliant, SaskTel, and Telus cannot refuse to provide
DSL service to business customers who obtain telephone service from a
competitor, if the customer would otherwise qualify for DSL.

www.crtc.gc.ca/archive/ENG/Decisions/2004/dt2004-34.htm

TELUS LOSES LABOUR RULING: The Canadian Industrial Relations Board has
ruled that Telus Mobility and Telus Communications are a single
employer, so formerly non-unionized Telus Mobility employees in
Ontario and Quebec are now represented by the Telecommunications
Workers Union. Telus says it will appeal.

INDUSTRY GROUP CREATES TELECOM R&D FUND: The Montreal-based
International Institute of Telecommunications says its new
"pre-competitive R&D Consortium" will spend about $50 million over the
next five years supporting advanced telecommunications
research. Members include Bell Canada, Nortel Networks, Ericsson,
Hewlett Packard, Exfo, Rogers Wireless, and Microcell.

BELL MAY OFFER DSL OVER DRY COPPER: Responding to an application by
FCI Broadband and Maskatel (see Telecom Update #427), Bell Canada says
it may be able to offer DSL on copper loops that are not used for
voice service by late 2004 or early 2005, but not when competitors are
using the existing drop wires or inside wire.

www.crtc.gc.ca/PartVII/eng/2004/8622/f18_200402321.htm

TELUS MOBILITY PROMISES GSM ROAMING: Telus Mobility says that next
year it will offer global roaming on GSM networks for its PCS and Mike
customers, using new dual-mode phones developed by Motorola.

UBS CHAIR TO HEAD LOOK: Unique Broadband Systems has appointed its
Chairman, Gerald McGoey, as CEO of Look Communications. UBS, which now
owns 51% of Look, says it will receive a one-time payment of $1.2
million plus $2.4 million a year, for providing the CEO and for
updating Look's strategic plan, monitoring and renegotiating service
provider contracts, providing technical support, and supplementing
back-office services.

NAVIGATA WINS NORTHERN B.C. BROADBAND CONTRACT: Navigata
Communications has won contracts to provide broadband Internet
connections to the Nadina and Stuart Nechako regions of Northern
B.C. The $2.1 million project is scheduled for completion in 2005.

DEFERRAL ACCOUNT PROPOSALS FILED: Responding to the CRTC's request in
PN 2004-1, incumbent telcos and others have submitted proposals for
spending surpluses accumulated in the telco deferral accounts created
by the CRTC's 2002 Price Cap decision.

www.crtc.gc.ca/PartVII/eng/2004/8678/c12_200402313.htm

NORTEL HIT BY CLASS ACTION SUITS: Several organizations, including
OPSEU Pension Trust and Netherlands-based pension giant Stichting
Pensionfonds, have filed lawsuits against Nortel Networks in regard to
accounting irregularities. The Ontario Teachers Pension Plan Board has
asked to become co-lead plaintiff in some actions previously filed in
the U.S.

** The Ontario Securities Commission has banned 161 current
    and former Nortel executives from trading the company's
    shares until two days after the company files its revised
    financial statements from 2001, 2002, and 2003.

IPSOS-REID PLANS CALL CENTRE AWARDS: Ipsos-Reid has announced an award
program for incoming call centres in Canada. The researcher will
survey 100 customers and 40-50 call centre employees for each centre
that registers, announce its "Call Centre of the Year" awards in
December, and provide benchmark reports to participants.

** Participation costs $3,000 for centres with up to 50
    seats; $4,500 for larger ones. For information go to
    www.ccoty.com

BELL BUYS CALL CENTRE INTEGRATOR: Bell Canada has acquired a majority
interest in Elix, a Montreal-based systems integrator that specializes
in contact centres. The 125- employee firm will now operate as BCE
Elix.

IBM, CISCO TO COOPERATE ON IP COMMUNICATIONS: IBM and Cisco have
announced a "broad-based initiative" to offer their IP- based
communications systems and expertise to customers, including offering
Cisco CallManager on IBM servers.

MANAGING PERFORMANCE IN WIRELESS LANs: Wireless LANs work -- but how
well, and how efficiently? This month, Telemanagement subscribers
received a feature report on practical ways to improve coverage and
speed in enterprise Wi-Fi.  Also in this issue:

** Wireless Substitution: How Accurate Are Telco Claims?
** Toronto Airport Implements Multi-User IP Network
** Key Issues in the CRTC's VoIP Review

To become a Telemanagement subscriber--including unlimited
access to Telemanagement's extensive online content--visit
Angus TeleManagement's website.

http://www.angustel.ca/teleman/tm-sub-online.html

============================================================

HOW TO SUBMIT ITEMS FOR TELECOM UPDATE

E-MAIL: editors@angustel.ca

FAX:    905-686-2655

MAIL:   TELECOM UPDATE
         Angus TeleManagement Group
         8 Old Kingston Road
         Ajax, Ontario Canada L1T 2Z7

===========================================================

HOW TO SUBSCRIBE (OR UNSUBSCRIBE)

TELECOM UPDATE is provided in electronic form only. There
are two formats available:

1. The fully-formatted edition is posted on the World
    Wide Web on the first business day of the week at
    www.angustel.ca

2. The e-mail edition is distributed free of charge.
    To subscribe, send an e-mail message to:
       join-telecom_update@nova.sparklist.com
    To stop receiving the e-mail edition, send
    an e-mail message to:
       leave-telecom_update@nova.sparklist.com

    Sending e-mail to these addresses will automatically add
    or remove the sender's e-mail address from the list. Leave
    subject line and message area blank.

    We do not give Telecom Update subscribers' e-mail
    addresses to any third party. For more information,
    see www.angustel.ca/update/privacy.html.

===========================================================

COPYRIGHT AND CONDITIONS OF USE: All contents copyright 2004 Angus
TeleManagement Group Inc. All rights reserved. For further
information, including permission to reprint or reproduce, please
e-mail rosita@angustel.ca or phone 905-686-5050 ext 500.

The information and data included has been obtained from sources which
we believe to be reliable, but Angus TeleManagement makes no
warranties or representations whatsoever regarding accuracy,
completeness, or adequacy.  Opinions expressed are based on
interpretation of available information, and are subject to change. If
expert advice on the subject matter is required, the services of a
competent professional should be obtained.

============================================================

JOHN RIDDELL                    jriddell@angustel.ca
Angus TeleManagement Group              http://www.angustel.ca
8 Old Kingston Road                     Tel: 905-686-5050 x226
Ajax Ontario L1T 2Z7  Canada            Fax: 905-686-2655  

------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 13:13:07 -0400
Subject: Pulver Gets Trademark for FWD®
Reply-To: VoIPnews@yahoogroups.com


This is from Jeff Pulver's Blog for May 25, 2004, at
http://192.246.69.231/jeff/personal/index.html

FWD(R) Trademark Granted

Yesterday I received the official letter from the US Trademark and
Patent office that FWD(R) is now a registered and recognized trademark
for Free World Dialup.

[Comment: Note to Jeff: If I recall correctly, a letter "R" in
parenthesis is NOT a legal equivalent for the R-in-a-circle trademark
symbol, ®.  So, you should probably be writing it as FWD®.  In HTML
you'd use "& # 1 7 4 ;" (without the quotation marks or spaces) to
make the ® symbol.  But I am not a lawyer, so I might be wrong about
that.]


How to Distribute VoIP Throughout a Home:
http://michigantelephone.mi.org/distribute.html

If you live in Michigan, subscribe to the MI-Telecom group:
http://groups.yahoo.com/group/MI-Telecom/
 
------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 09:55:11 -0400
Subject: FTS to Begin Offering Customers Bundled Wi-Fi and VoIP Services
Reply-To: VoIPnews@yahoogroups.com


http://www.primezone.com/newsroom/news_releases.mhtml?d=58130

Source: FTS Wireless, Inc.

LEVITTOWN, Pa., May 25, 2004 (PRIMEZONE) -- FTS Wireless, Inc., a
wholly owned subsidiary of FTS Group, Inc. (OTCBB:FLIP), an operator
of retail wireless locations that market and sell next generation
wireless and VoIP products and services and operate Wi-Fi HotSpot's,
today announced that FTS will offer its customers bundled Wi-Fi
Internet service with VoIP Telephony service combined plans starting
at $39.99 per month.

FTS CEO Scott Gallagher commented, "After successfully testing VoIP
service provided by our strategic partner, Voiceglo.com (OTCBB:TGLO)
over a wireless 802.11b (Wi-Fi) network for 3 months, we are confident
the service, pricing and call quality will be well received by our
wireless customers and plan to begin selling the bundled service
through both our retail and Internet channels immediately."
Mr. Gallagher continued, "The ability to efficiently check e-mail and
make Internet Calls while on the road should radically change the
communications expense structure of some 70 million business travelers
often referred to as 'Road Warriors'."

According to a recent article in Barron's magazine titled "Talk Gets
Cheap" published 5/24/2004, Market-research firm In-Stat estimates
that 4% of all U.S. businesses used some VoIP services in 2003. This
year, the figure should reach 6% and the total will keep growing.

Full press release at:
http://www.primezone.com/newsroom/news_releases.mhtml?d=58130

------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 09:52:20 -0400
Subject: VoIP Goes Mobile
Reply-To: VoIPnews@yahoogroups.com


http://www.thefeature.com/article?articleid=100667&ref=-1

By Mark Frauenfelder, Tue May 25 09:15:00 GMT 2004
 
VoIP is slowly moving into the mobile space, as one US company offers
cellular users cheap international calls.

[.....]

As you probably know, VoIP (short for Voice over Internet Protocol) is
a way to use the Internet -- rather than traditional phone networks --
to make telephone calls. Phone networks typically route phone calls
over a dedicated circuit, but VoIP networks send voice calls as plain
old digital packets, using the standard Internet protocol.

Phone Bills Too Cheap to Meter

There are a number of benefits (and some drawbacks) to making phone
calls over the Internet, but the number one reason people use VoIP is
because it dramatically reduces phone bills. For example, through
Vonage, a VoIP company, you pay a flat fee for unlimited local
calling, and just pennies per minute to call other countries. The
traditional phone companies, which for decades have been able to get
away with charging several dollars a minute for an overseas call, are
trying to compete with VoIP startups, but they just can't keep
their rates that low. Naturally, they're doing everything they can
to kill VoIP companies by lawyering them to death, but cool
technologies have always been able to mutate their way out of any
impediment. (Look at what happened when the record industry shut down
Napster, and as a result, help spawn umpteen all-but-unstoppable
peer-to-peer networks.)

Guess what -- somebody has figured out a way to sneak cheap long
distance into the cellular carriers' networks.
 
Full story at:
http://www.thefeature.com/article?articleid=100667&ref=-1

------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 09:57:20 -0400
Subject: Free World Dialup Selects eDial for Enhanced IP Telephony
Reply-To: VoIPnews@yahoogroups.com


http://home.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20040525005120&newsLang=en

WALTHAM, Mass. & MELVILLE, N.Y.--(BUSINESS WIRE)--May 25, 2004--

Leading Internet Telephony Community Deploys eDial's Audio Presenter
to Offer Audio Conferencing and advanced dialing services to
Subscribers

eDial, Inc., a leading provider of open platform solutions and
applications that enable service providers and enterprise system
integrators and OEMs to quickly develop and implement rich media
services that meet the specific needs of their customers, today
announced that Free World Dialup (FWD) has selected and deployed the
company's Audio Presenter and Instant Collaboration System (ICS) to
offer audio conferencing and dialing technology to its subscribers.

Free World Dialup is an IP communications service that offers
broadband consumers everywhere the ability to join a community of FWD
users who are able to call one another directly, at no cost, from
anywhere, using their computers or IP phones and the Internet. With
hundreds of thousands of members in more than 180 countries, FWD
continues to provide the best-connected, standards-based services in
IP communications.

"eDial understands the requirements of service providers such as Free
World Dialup to offer subscribers a breadth of enhanced IP
communications services that provide a distinct competitive edge,"
said Jeff Pulver, chief executive officer of Free World Dialup.

eDial's provides a complete environment for developing and deploying
advanced, revenue-generating rich media services, including audio and
web conferencing, IM and presence, over new and existing network
infrastructures

"Free World Dialup has a unique offering that has attracted hundreds
of thousands of members from around the globe and we are pleased to be
playing an integral role by enabling a host of highly collaborative
and scaleable services," said Jill Smith, president and CEO of eDial,
Inc. "Our solution empowers service providers like FWD to quickly
integrate and deploy the audio and collaborative services that give
them a competitive edge."

About Free World Dialup 

FWD is the largest open network service provider for person-to-person,
advanced, real-time IP communications. Lead by visionary Jeff Pulver,
the breadth of useful services, interconnectivity, cool technology,
and zero cost makes FWD a clear leader in the industry. For more
information, please visit www.freeworlddialup.com.

About eDial 

eDial, Inc. offers service providers, enterprise system integrators
and OEMs a flexible platform for the development and deployment of
customized scaleable, real-time media services over existing network
architectures. eDial addresses the rapidly escalating demand by
carriers and partners to have access to new premium service revenues
streams that will ultimately increase profit margins and give them a
true competitive edge. For more information, visit the Web site at
www.edial.com or call 866-99-eDial (866-993-3425).

All product and company names herein may be the trademarks of their
respective owners.
  
Contacts:  
   
Racepoint Group
Dan Carter, 617-583-1331
dcarter@racepointgroup.com
or
Qorvis Communications
Brian Lustig, 703-744-7826
blustig@qorvis.com 

------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 10:02:34 -0400
Subject: Brix Networks Expands and Enhances Its Free VoIP Quality
Reply-To: VoIPnews@yahoogroups.com


http://home.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20040525005110&newsLang=en

CHELMSFORD, Mass.--(BUSINESS WIRE)--May 25, 2004 -- TestYourVoIP.com
Now Offers Testing Locations In Canada And Europe, Adds New Call Setup
And Signaling Quality Metrics, And Allows Users To Compare Results
With Others

Brix Networks (www.brixnet.com), the trusted provider of real-time
service assurance solutions to operators of service-centric networks,
today announced Version 2.0 of TestYourVoIP.com, the company's highly
popular, free, Voice over Internet Protocol (VoIP) quality testing
portal that enables users to independently measure the quality of
their residential VoIP connections via a quick, user-initiated test
call.

In response to increased interest in the site beyond the United
States, Brix now offers new testing points in Montreal, London, and
Helsinki, the latter being hosted by Creanord Oy, the company's
Scandinavian partner, from that organization's SLAvision.net data
center. These three new locations join the company's initial two sites
in Boston and San Jose.

With Version 2.0, TestYourVoIP.com provides even more insight and
various performance metrics to prospective VoIP users about the
ability of their broadband connections to successfully support
VoIP. Specifically, TestYourVoIP.com now reports call setup and
signaling quality statistics, including Post-Dial Delay, Post-Pickup
Delay, Call Setup Time, and Media Delay.

Other enhancements to TestYourVoIP.com that were unveiled by Brix
Networks today let users:

-- Identify firewall or other environmental configurations that may
   restrict their ability to run VoIP.

-- E-mail a copy of their VoIP performance test results to themselves
   for future reference or, if they do not achieve the level of
   performance they require, even to the customer support department
   of their broadband provider.

-- Compare how their test scores stack up against other users based on
   time (hour, day, week), region, country, or broadband provider.

The access technology-independent TestYourVoIP.com site can be used by
potential VoIP consumers who have cable, DSL, broadband over power
line, satellite, or other broadband options.

"With more than one million hits received since the initial launch of
our TestYourVoIP.com portal less than two months ago, it has quickly
become a 'must visit' site for anyone contemplating or already using a
residential VoIP service," said Tom Pincince, president and CEO of
Brix Networks. "With these new enhancements, TestYourVoIP.com is an
even more useful and compelling tool for VoIP prospects and users
alike as it accurately measures the ability of their broadband
connection to support IP telephony."

TestYourVoIP.com is powered by the Brix System, Brix Networks'
award-winning VoIP performance management solution. The Brix System
consists of distributed hardware test points, called Verifiers, which
communicate with, and are managed by, the BrixWorx(TM) central-site
software application.

With its unique Brix Tri-Q(TM) Analysis, the Brix System provides
total VoIP service testing across each of the areas that impact users'
experience of quality, namely: signaling quality (call setup
performance), delivery quality (media path network performance), and
call quality (overall voice clarity and call experience).

The Brix System improves the overall effectiveness of networks, and
allows organizations to maximize their investment in -- and increase
the value of -- all their business-critical IP services.

About Brix Networks 

Brix Networks develops and markets real-time service assurance and
performance management solutions that verify the quality of advanced,
Internet Protocol-based services, including VoIP, VPN access, video,
and Web-hosted business applications. The Chelmsford, Mass.-based
company's hardware and software offerings allow carriers, service
providers, cable operators, large enterprises, and government agencies
to build, operate, and assure their IP networks and services by
providing proactive, end-to-end, service level management (SLM) and
service level agreement (SLA) verification. Additional information
about Brix Networks can be found on the company's Web site at
www.brixnet.com, and by calling 978-367-5600, or 1-888-BRIXNET.

Brix Networks, Brix, Brixnet, the Brix Networks logo, BrixWorx, and
Brix Tri-Q are trademarks of Brix Networks, Inc. All other company or
product names mentioned may be trademarks of their respective holders.
  
Contacts  
 
Brix Networks 
John H. Ricciardone, 978-367-5757 
jricciardone@brixnet.com

------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 10:00:35 -0400
Subject: Vonage Has First Mover Advantage, But It's Not Your Fathers
Reply-To: VoIPnews@yahoogroups.com


http://home.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20040525005088&newsLang=en

Vonage Has First Mover Advantage, But It's Not Your Fathers Telephone
Company, Says Yankee Group

BOSTON--(BUSINESS WIRE)--May 25, 2004--

Better quality of VoIP offerings emerging from incumbent providers
will make competition difficult

In the bleak telecommunications sector, broadband telephony start-up
Vonage has emerged as one of the most well known, yet, controversial
companies. Vonage, a provider of SIP-based broadband VoIP services,
launched its all-you-can-eat consumer voice service in 2002. Providing
a best-effort service with local, long distance, and enhanced calling
features for a single price, Vonage's service has appealed to the
price sensitive user. In a year, Vonage signed up 100,000 users,
creating a level of angst among broadband providers, and renewing
interest in broadband VoIP among the investment community.

"Vonage has successfully marketed itself, and its concept. The company
has created a grand illusion in the marketplace," says Lindsay
Schroth, Broadband Access Technologies senior analyst. "Most service
providers are not only familiar with this small, privately held
company, but feel threatened by the start-up and its approach to
offering telephony services."

"However, we anticipate Vonage will become a victim of its own
success. Their eventual downfall will come because the company
threatens the RBOCs, IXCs, and MSOs. As the incumbent service
providers and MSOs offer wide-scale residential VoIP services with
QoS at the same price point as Vonage, we believe the start-up will
find it difficult to compete. Today, some RBOCs require their
customers to subscribe to their telephony services to receive
broadband. Tactics such as this, as well as the increased focus on the
triple play and bundling discounts, will aggravate Vonage's problems,"
adds Schroth.

Because Vonage operates over the Internet and does not own network
assets, the company easily expanded its service to 125 U.S. markets.
The start-up also launched its service in Canada in 2004.

------------------------------

From: VOIP News <voip news>
Date: Tue, 25 May 2004 04:46:45 -0400
Subject: Lucent Bids Over $300m For Marlborough's Telica
Reply-To: VoIPnews@yahoogroups.com


http://www.boston.com/business/technology/articles/2004/05/25/lucent_bids_over_300m_for_marlboroughs_telica/

Vote of confidence seen for local firms
By Peter J. Howe, Globe Staff  

Lucent Technologies Inc., a frequent buyer of Massachusetts
telecommunications start-ups during the 1990's boom years, broke a
four-year drought of local deal making yesterday, offering over $300
million for Marlborough equipment maker Telica Inc.

The deal represents a long-hoped-for vote of confidence in the local
telecom sector, especially for the voice-over-Internet protocol market
in which Telica has become an increasingly strong alternative to
bigger players like Nortel Networks Inc. and Sonus Networks Inc. of
Westford. Telica, whose customers include Verizon Communications
Inc. and some four dozen smaller phone companies, estimates its
switches are now processing 4 billion minutes a month of voice and
data traffic and can serve up to 3 million callers at a time.

Up until last week, 251-employee Telica had been on the brink of
filing for an initial public offering of stock. Lucent's integrated
network solutions president, Janet Davidson, said with the market for
phone company voice-over-Internet equipment expected to grow from $1
billion now to as much as $15 billion in 2008, Lucent saw adding
Telica as a key way to bolster its product line.

Verizon, for example, has said it expects to spend hundreds of
millions of dollars in coming years converting its network to carry
phone calls in the same Internet data packet format as e-mail and Web
pages, which can slash the cost of handling traffic and also make it
easier and cheaper to offer advanced services such as combined voice
mail and e-mail. AT&T this spring has begun offering a $40-a-month
unlimited calling plan over the Net called CallVantage, which requires
a separate broadband connection.

"Telica clearly has a product that we don't have, as well as a set of
human resources and a lot of talent for us," Davidson said. Lucent has
been relying on Cisco Systems Inc. and BroadSoft Inc. for key elements
of its voice-over-Internet equipment packages.

Full story at:
http://www.boston.com/business/technology/articles/2004/05/25/lucent_bids_over_300m_for_marlboroughs_telica/

------------------------------

TELECOM Digest is an electronic journal devoted mostly but not
exclusively to telecommunications topics. It is circulated anywhere
there is email, in addition to various telecom forums on a variety of
networks such as Compuserve and America On Line, Yahoo Groups, and
other forums.  It is also gatewayed to Usenet where it appears as the
moderated newsgroup 'comp.dcom.telecom'.

TELECOM Digest is a not-for-profit, mostly non-commercial educational
service offered to the Internet by Patrick Townson. All the contents
of the Digest are compilation-copyrighted. You may reprint articles in
some other media on an occasional basis, but please attribute my work
and that of the original author.

Contact information:    Patrick Townson/TELECOM Digest
                        Post Office Box 50
                        Independence, KS 67301
                        Phone: 620-402-0134
                        Fax 1: 775-255-9970
                        Fax 2: 530-309-7234
                        Fax 3: 208-692-5145         
                        Email: editor@telecom-digest.org

Subscribe:  telecom-subscribe@telecom-digest.org
Unsubscribe:telecom-unsubscribe@telecom-digest.org

This Digest is the oldest continuing e-journal about telecomm-
unications on the Internet, having been founded in August, 1981 and
published continuously since then.  Our archives are available for
your review/research. We believe we are the oldest e-zine/mailing list
on the internet in any category!

URL information:        http://telecom-digest.org

Anonymous FTP: mirror.lcs.mit.edu/telecom-archives/archives/
  (or use our mirror site: ftp.epix.net/pub/telecom-archives)

Email <==> FTP:  telecom-archives@telecom-digest.org 

      Send a simple, one line note to that automated address for
      a help file on how to use the automatic retrieval system
      for archives files. You can get desired files in email.

*************************************************************************
*   TELECOM Digest is partially funded by a grant from                  *
*   Judith Oppenheimer, President of ICB Inc. and purveyor of accurate  *
*   800 & Dot Com News, Intelligence, Analysis, and Consulting.         *
*   http://ICBTollFree.com, http://1800TheExpert.com                    *
*   Views expressed herein should not be construed as representing      *
*   views of Judith Oppenheimer or ICB Inc.                             *
*************************************************************************

ICB Toll Free News.  Contact information is not sold, rented or leased.

One click a day feeds a person a meal.  Go to http://www.thehungersite.com

Copyright 2004 ICB, Inc. and TELECOM Digest. All rights reserved.
Our attorney is Bill Levant, of Blue Bell, PA.

              ************************


   ---------------------------------------------------------------

Finally, the Digest is funded by gifts from generous readers such as
yourself who provide funding in amounts deemed appropriate. Your help
is important and appreciated. A suggested donation of fifty dollars
per year per reader is considered appropriate. See our address above.
Please make at least a single donation to cover the cost of processing
your name to the mailing list. If you donate at least fifty dollars
per year we will send you our two-CD set of the entire Telecom
Archives; this is every word published in this Digest since our
beginning in 1981.

All opinions expressed herein are deemed to be those of the
author. Any organizations listed are for identification purposes only
and messages should not be considered any official expression by the
organization.

End of TELECOM Digest V23 #257
******************************
