Under a new contract extension, Alcatel will supply digital subscriber line equipment for Verizon Communications's recently announced broadband push. Financial terms of the deal, which runs through 2005, were not disclosed.
In March, Verizon said it will expand the number of lines equipped for delivering broadband access by nearly 30 percent. The service provider's goal is to make its DSL service available to 10 million homes, roughly four out of five of its customers, by year's end.
"Verizon is installing DSL in an additional 1,000 switching centers - both remote and central office units - with most areas connecting via fiber optic cables," said Mike Quigley, an executive with Paris-based Alcatel.
Specifically, the contract includes Alcatel's 7300 ASAM (Advanced Services Access Manager) and Litespan NGDLC (Next Generation Digital Loop Carrier) products.
Going forward, Verizon will introduce Alcatel's newest line of 7300 ASAM ultra high-density central office racks and the 7300 ASAM HDLP (High Density, Low Profile) for remote terminals which pack more DSL capability into less space on existing equipment racks.
All Alcatel DSL equipment in Verizon's network is managed by the Alcatel AMS element management system.
Verizon and other carriers are making a push to retain existing broadband subscribers and win new ones as more users upgrade from slower dial-up connections. The telecoms believe the fatter pipes into homes and businesses will help them sell advanced services, which have a higher profit margin than just Internet access services.
SBC COmmunications Currently recently announced its own DSL push. About two-thirds of the San Antonio, Texas, company's 57 million local lines can accommodate DSL broadband. SBC wants to up that total to three-quarters.
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