Summary
1. Is Tellabs telegraphing a new product announcement at SuperComm? 2. The term, “innovation and imagination” seems to imply more than just additional feature/functionality on existing solutions. 3. Ciena should be very interested in knowing the meaning behind Tellabs’ rhetoric.
Analysis
Certainly, a broadband cross-connect would fall into the category of “sav[ing] expense or optimiz[ing] what [its customers] are spending.” It would also be under the heading of “lower cost [and] consum[ing] less energy.” And it would involve “broadband connectivity.”
Tellabs would undoubtedly like to give Ciena a major jolt as soon as possible. Ciena continues to dominate the broadband cross-connect space. But there have been indications lately that the existing CoreDirector architecture may have some limitations in meeting future requirements.
As a result of its wideband switch, the 5500, no supplier is more identified with cross-connects in general than Tellabs. The extent of its ability to offer a truly differentiated broadband cross-connect will be the biggest factor in its future success.
