Nyquist Capital » ADTN

Fairpoint & Occam Networks

Andrew Schmitt — Tue, 06 May 2008 01:27:10 +0000

Fairpoint Communications (FRP) plans to spend $781M over the next 5 years maintaining and upgrading the network they purchased from Verizon. Drilling into the details of the network spending suggests Occam Networks (OCNW) is well positioned to materially benefit from this proposed deployment. Details provided by Fairpoint and fundamental metrics of the Broadband Loop Carrier business lead us to believe Occam will recognize up to $125M in revenue, of which $80M will come in the next 18-24 months, provided Fairpoint executes it’s current capex plan.

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Adtran Q108

Andrew Schmitt — Wed, 16 Apr 2008 12:30:53 +0000

Adtran reported surprisingly good numbers and made specific comments that indicate the Great North American capex freeze of 2007 is thawing in a few areas. The company also had interesting things to say relative to access market growth and trends in the Enterprise portion of their business.

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Any Hope for Ethernet over PDH?

Andrew Schmitt — Fri, 04 May 2007 21:47:15 +0000

One area that I strongly believe will see greater capex in 2008-2009 is Enterprise Access. (see “Enterprise Access Capex - A Ray of Hope?“)

Cable modems forced the Telcos to dig DSL technology from the closet they were hiding it in order to remain competitive. The same forces are aligning today in enterprise access - but this time it’s dark fiber, PON, and even short range wireless that are the threats. What technology represents Telcos only hope of retaining business customers?

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Enterprise Access Capex - A Ray of Hope?

Andrew Schmitt — Thu, 12 Apr 2007 20:13:55 +0000

Only one half of Verizon’s wireline (VZ) revenue comes from consumers; the rest comes from business connectivity and services. Verizon, as well as other carriers, have been spending money to deliver better broadband services to consumers. What will happen when they spray this capex hose in the direction of their long neglected business customers? Which equipment companies will benefit?

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What’s Going On in Optical

Andrew Schmitt — Fri, 01 Sep 2006 14:43:29 +0000

OK, since I’ve been called out by Om Malik, I’m going to let rip with a stream-of-conciousness monologue on optical. No backspace key, no delete key, spelling corrections ex-post-facto. Here goes.

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