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NXTcomm08

MRV Enters Packet Optical Fray, Announces Slew of "New" Capabilities

| Jun 20, 2008 | Optical Infrastructure | Show Update

| Analyst: Jason Marcheck


Current Perspective: Positive/Neutral
Vendor Importance: Very High
Market Impact: Low

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Event Summary

June 18, 2008 – MRV Communications announced the availability of capabilities designed to enable packet switching on the company’s existing OPN 1600 optical transport platform. In addition, MRV highlighted support for a mix of OEO and OOO-based ROADM capabilities. MRV also announced Ethernet cross-connect capabilities for the OPN 1600 platform, and a separate optical aggregation platform aimed at metro access and edge networks.


Analytical Summary

• Current Perspective: Slightly positive on MRV Communications’ announcement that it is enhancing its WDM transport portfolio to support packet optical capabilities. The new features, which include ROADM and Ethernet switching capabilities on the OPN 1600 platform, and a new aggregation platform aimed at metro access/edge networks represents comprehensive improvements to the vendor’s optical networking value proposition. At the same time, some of the features MRV touts as unique are claimed by larger, better established competitors, thus arguing that MRV could find it difficult to differentiate its new offer amidst an already overcrowded playing field.

• Vendor Importance: Very high to MRV, because if the vendor wants to continue to grow its optical systems business, more comprehensive IP/Ethernet over Optical capabilities are a must. The newly announced features give MRV’s portfolio the capabilities required to offer network operators a decidedly more robust TDM-to-packet migration solution.

• Market Impact: Low on the optical infrastructure market because MRV is a small optical systems vendor competing against a crowded field of larger competitors, most of whom tout similar equipment and a larger installed base. Nevertheless, if MRV can leverage other segments of its company, namely optical components development and network integration services, to provide network operators with a cohesive, home-grown product offering matched with seasoned network deployment services, it could become an attractive one-stop shop, especially for smaller operators looking to cope with TDM-to-packet migration requirements.


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