Telco spending, 4G set to boost Tellabs' growth [Business Times (Malaysia)]
(Business Times (Malaysia) Via Acquire Media NewsEdge) KUALA LUMPUR: Tellabs (Malaysia) Sdn Bhd, which specialises in technology and equipment for telecommunications companies' infrastructure, is expecting double-digit growth this year.
This is expected to be driven by continuous investments by its customers in telecommunications infrastructure, said its country manager for Malaysia, Srinivasan Thukkaram.
The company's optimism is also based on the accelerated fourth-generation (4G) deployment as it now spreads beyond major cities for a wider reach nationwide.
"It is always the same, with the telecommunications operator starting (deploying 4G networks) from big cities, and then scaling and expanding the rollout of 4G networks across Malaysia. As mobile operators grow, Tellabs grows. We have an opportunity to grow on new orders and new businesses," Srinivasan said.
4G, or Long Term Evolution (LTE), is capable of data bandwidth performances of up to 300Mbps. The next step, called LTE Advanced, promises data speeds of up to 1Gbps.
Tellabs' Software Defined Networking (SDN) solutions are also anticipated to contribute to its growth.
"The word going around in the technology space today is SDN.
"SDN allows you to make dynamic decision on the path of data, and Tellabs believes that SDN will be the biggest trend in the telecommunications industry's mobile backhaul technology in 2014.
"Operators are looking at seriously reducing costs and that's what the SDN components that we put in Tellabs equipment do," he said.
To see how SDN works is to imagine the mobile telecommunications infrastructure as a massive web of data relay pathways. The SDN component in the network will choose the most optimal pathway for data access and transmission, thus reducing cost for the operator.
Srinivasan said two other trends that will pre-occupy telecommunications services providers this year, will be an explosion in data consumption among consumers due to 4G network expansion and analytics.
"Because of the huge data consumption by mobile-phone users, there will also be a huge amount of data crunching taking place, which is analytics, as mobile operators try to understand user behaviours and predict trends.
"The sooner you are able to predict a trend, the better prepared you are at times when the network data flow is anticipated to be slow," he said.
"In the early days of mobile telecommunications, operators did predictions by trial and error. Today, they are able to predict more intelligently by analysing information and data that is flowing through their systems and networks," he added.
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