Verizon names Alcatel, Motorola, and Tellabs as GPON suppliers

July 27, 2006 New York, NY -- Verizon has tapped Alcatel, Motorola, and Tellabs to supply GPON equipment to upgrade its fiber-to-the-premises (FTTP) network. Later this year, Verizon will begin deploying the Alcatel equipment first, to be followed by Motorola and Tellabs. This schedule is subject to finalizing definitive agreements, Verizon says.

July 27, 2006 New York, NY -- Verizon has tapped Alcatel, Motorola, and Tellabs to supply GPON equipment to upgrade its fiber-to-the-premises (FTTP) network. Later this year, Verizon will begin deploying the Alcatel equipment first, to be followed by Motorola and Tellabs. This schedule is subject to finalizing definitive agreements, Verizon says.

Verizon says that initially, the new equipment will be capable of increasing broadband speeds by up to four times downstream to the customer's home and by up to eight times upstream back to the Internet on Verizon's FTTP network.

Verizon will begin installing the Alcatel equipment first in company central-switching offices and in new installations of direct fiber-optic links terminating at a customer's home. Deployment of the Motorola and Tellabs equipment will follow. Both of those companies currently supply BPON equipment for Verizon's 16-state FTTP network.

"G-PON is the next step in the evolution of the all-fiber-access network," said Paul Lacouture, Verizon's executive vice president for network and technology. "When we first launched the nation's only large-scale FTTP program in 2004, we said that one of the most important competitive and cost-effective features is that we could increase speed and capabilities by evolving to more advanced electronics and without having to change the fiber we had already deployed or are deploying. Today's announcement begins to fulfill that promise.

"In addition to the ability to boost our broadband Internet speeds on fiber, this new technology will enhance the video-on-demand capabilities of our existing FiOS TV product on fiber and sets the stage for an all-IP TV offering in the future," he added. "This new technology also brings us substantial cost benefits, allowing us to reduce costs of the electronics portion of the FTTP platform by about 25 percent. The bottom line is that this is an access network at the local level that is without peer in this industry."

Verizon is building its FTTP network in more than half the 28 states the company serves to support its FiOS services. The company's fiber-based FiOS Internet services today feature downstream speeds ranging from up to 5 Mbits/sec to 50 Mbits/sec as well as upstream speeds ranging from up to 2 to 5 Mbits/sec. Verizon currently sells these services in over 1,200 communities in 16 states. Verizon also sells its all-digital, high-capacity FiOS TV product over the same fiber network in 58 communities in seven states.

Verizon launched its FTTP project in Texas in 2004, passed about 3 million homes and businesses with the technology by the end of 2005, and is on track to pass a total of 6 million premises by the end of this year, the carrier says. Verizon expects to continue to add about 3 million premises passed each year for the next several years.

Verizon reports that its FTTP network has proved to be more reliable than traditional copper networks because it is less susceptible to problems related to moisture and electrical interference. For example, when heavy rains and floods swept through parts of eastern New England recently, Verizon customers served by FTTP reported significantly fewer problems than those served by copper.

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