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FCC Rule Changes Will Benefit Makers of MSAP Telecom Gear, New Report Finds

NEW YORK, Oct. 26 /PRNewswire/ -- U.S.-based CLECs are expected to
increase their deployment of multiservice access platforms (MSAPs) to build
out their broadband access networks in coming months, as FCC rule changes
regarding unbundled network elements (UNEs) go into effect, according to a
major new report issued today by Heavy Reading (,
Light Reading Inc.'s market research division.

FCC Rule Changes Will Benefit Makers of MSAP Telecom Gear, New Report Finds
FCC Rule Changes Will Benefit Makers of MSAP Telecom Gear, New Report Finds

Local competitors are likely to deploy multiservice access platforms in response to new FCC rules governing unbundled network elements, says Heavy Reading

'MSAPs: A Heavy Reading Competitive Analysis' presents the most detailed,
comprehensive competitive analysis undertaken to date of MSAPs, which are fast
emerging as an important class of access equipment enabling the delivery of
broadband services to business and residential customers. In key product
categories, it provides granular information on every important aspect of
functionality and performance of each vendor's offering, in matrix format. It
then uses a weighted system to provide a high-level view of which MSAPs
represent the best overall choice for different applications.

The 87-page report delivers a concise analysis of the emerging worldwide
market for MSAPs and analyzes 44 different MSAP products from 21 major
manufacturers, including market leaders Alcatel (NYSE: ALA; Paris: CGEP.PA),
Ericsson (Nasdaq: ERICY), Lucent Technologies (NYSE: LU), Nokia (NYSE: NOK),
Siemens (NYSE: SI; Frankfurt: SIE), and UTStarcom (Nasdaq: UTSI).

Products are compared on dozens of criteria, including equipment size and
specifications, support for Ethernet connectivity, quality of service (QOS)
features, and support for legacy services, among others. The report also
profiles access strategies for nine other equipment vendors, including
suppliers of IP DSLAM products.

'As a result of the December 2004 FCC decision to end the UNE-P [unbundled
network element - platform] rules, CLECs using UNE-P will have to renegotiate
rates with incumbents after March 2006, or find an alternative solution to
delivering broadband service,' notes Graham Beniston, Analyst at Large for
Heavy Reading and author of the report. 'The most likely outcome is that CLECs
will become facilities-based service providers. This will favor the deployment
of MSAPs by CLECs, as they will need to offer a bundle of services, including
voice and video, to compete with the incumbents.'

Other key findings from 'MSAPs: A Heavy Reading Competitive Analysis'
include the following:

Most RFPs issued by network operators now specify MSAPs rather than IP
DSLAMs. While DSL improvements and Ethernet aggregation features are being
completed, the big thrusts in IP DSLAM product development are to turn those
products into multiservice platforms. This includes adding VOIP, POTS, legacy
voice and data service handling, and FTTx OLTs to the basic DSLAM functions.

UTStarcom's iAN-8000 was the top scorer among central-office MSAPs,
arguably the most important of the MSAP product categories. Alcatel's 7302
ISAM finished a close second to UTStarcom, followed by ZTE's ZXDSL 9800,
Alcatel's 1640 Litespan, and Iskratel's SI 2000 MSAN.

'MSAPs: A Heavy Reading Competitive Analysis,' an 87-page report, costs
$3,495 and is published in PDF, with accompanying product analysis tables
provided in Excel format. The price includes an enterprise license covering
all of the employees at the purchaser's company.

    For more information, or to request a free executive summary, contact:

     Dave Williams
     Sales Director, Heavy Reading

     Press/analyst contact:
     Dennis Mendyk
     Managing Director, Heavy Reading

    About Heavy Reading

Heavy Reading is an independent market research organization offering
quantitative analysis of telecom technology to service providers, vendors, and
investors. Its mandate is to provide the comprehensive competitive analysis
needed today for the deployment of profitable networks based on next-
generation hardware and software.

SOURCE Heavy Reading