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Yankee Group Report Positions RAD Data Communications as Pivotal Vendor of Ethernet Access Infrastructure Solutions

Posted on: Thursday, 4 March 2004, 06:00 CST

Ethernet Access Infrastructure Market Plays a Leading Role in

Carrier Network Evolution Plans

¶ A new Yankee Group report that reviews carrier plans for Ethernet access infrastructure positions RAD Data Communications as a central provider of access solutions for Ethernet over SDH/SONET, Ethernet over Fiber and Metro Ethernet networks. As the market for Ethernet over SONET/SDH, Ethernet over fiber, and metro Ethernet services is projected to reach $7 billion by 2007, Ethernet access products will play a major role. The report is based on a series of comprehensive interviews conducted by the Yankee Group during the past three months with carriers throughout North America, Europe and Asia. ¶ In the report, the Yankee Group states that RAD "will benefit from carriers looking to provide Ethernet services without having to deploy full-scale MSPPs" (Multi-Service Provisioning Platforms). It cites RAD as one of the few vendors offering an Ethernet Network Termination Unit (E-NTU) device for "relaying link status and statistics of both access path and customer equipment -- a required demarcation functionality." The report explains that an E-NTU device "is specifically designed as the demarcation unit, which builds upon the managed converter solution by adding additional Layer 2 functionality and intelligence." In assessing the Multi-Service NTU segment, it spotlights RAD's TDM-over-IP (TDMoIP(R)) approach, acknowledging its "key benefit" as "its ability to complement any Ethernet access solution."¶ The report also analyzes the market for Ethernet access infrastructure -- and, specifically, equipment installed in the CO (central office), at the POP (point of presence) and the customer premises. Based on carrier responses, the report establishes how this market is segmented and examines the primary drivers influencing demand for Ethernet access gear. It concludes by mapping vendor coverage of this market and provides specific recommendations for carriers and equipment manufacturers. ¶"Ethernet access equipment will emerge as the customer demarcation point for providing new and legacy services, regardless of edge and core backbone transport," predicts Patrick Matthews, Senior Analyst, Yankee Group. "Carriers' ability to easily trouble-shoot, provision, aggregate, and provide a secure demarcation between customers will be the driving force behind this adoption."¶ Matthews adds that the push for these products will be carrier demand "to extend their networks to their customers without the expense related to MSPPs, WDM, or high-end Layer 2 switches." Eventually, the report concludes, the incumbents will gravitate to Ethernet for TDM support.

¶ About RAD

¶ Established in 1981, privately owned RAD Data Communications has achieved international recognition as a major manufacturer of high quality access equipment for data communications and telecommunications applications. These solutions serve the data and voice access requirements of service providers, incumbent and new carriers, and enterprise networks, by reducing infrastructure investment costs while boosting competitiveness and profitability. The company's installed base exceeds 8,000,000 units and includes more than 150 carriers and operators around the world. These customers are supported by 19 RAD offices and more than 200 distributors in 105 countries.

¶ RAD is a member of the RAD Group of companies, a world leader in networking and internetworking product solutions.

¶ RAD Data Communications site: www.rad.com

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