Tellabs Wins Mobile Core Contract – Analyst Blog

Tellabs Inc. (TLAB) received a new contract for its SmartCore 9100 ASN Gateway from Clearwire Corp. (CLWR) for the latter’s WiMAX deployment in Spain. Clearwire already used Tellabs’ SmartCore 9100 platform for its ongoing nationwide 4G WiMAX network deployment in the U.S. The company has now decided to expand its presence in Europe.  

 

Tellabs introduced its SmartCore 9100 ASN Gateway as a result of its acquisition of WiChorus. We believe the acquisition of WiChorus will be incrementally positive for Tellabs’ long-run growth. WiChorus’ state-of-the-art SmartCore platform is a leading mobile packet core solution that has been developed for the next-generation (4G) WiMAX and LTE technology together with support for 3G.

 

Integration of SmartCore with Tellabs’ existing IP mobile backhaul solution and intelligent network manager will create a formidable player in the industry. Tellabs’ advanced IP-access (growth) products are receiving increasing market traction. Several industry sources predict that market size for mobile packet core may reach up to $2.6 billion by 2014.

 

Tellabs has decided to substantially focus on the growth areas of mobile backhaul solutions, optical networking solutions and business services solutions. Mobile backhaul solutions will support massive demand for high-speed mobile Internet and video and will enable telecom customers a smooth transition to 3G or next-generation 4G networks. Optical networking solutions will enable the carriers to meet the growing demand for bandwidth for metro-Ethernet networks. Business services solutions, on the other hand, will serve large enterprises that need reliable multimedia services.