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The Cable Show 2008

Nortel Introduces Next-gen SIP Application Server and Consumer VoIP Packages


| May 21, 2008 | IP Services Infrastructure | Show Update

| Analyst: Joe McGarvey


Current Perspective: Positive
Vendor Importance: Moderate/High
Market Impact: Moderate

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Event Summary

May 19, 2008 -- Nortel unveiled the Adaptive Application Engine (A2E) software at The Cable Show. The A2E is the latest product to emerge from Nortel’s SIP application portfolio. It is designed to bring together services across multiple types of access networks, reducing the complexity of operator networks and creating new service experiences for subscribers. The A2E is the successor to Nortel’s AS5200 hosted multimedia application platform. In a separate announcement, Nortel unveiled a suite of consumer-oriented VoIP services that can be delivered using the A2E platform.


Analytical Summary

• Current Perspective: Positive on Nortel’s introduction of the Adaptive Application Engine (A2E) software and a package of SIP-based services focused on consumers, as the next-generation of Nortel’s SIP application server significantly expands the programmability and deployment flexibility of the Application Server 5200 (A5200), Nortel’s existing hosted multimedia application server. Compatible with hardware servers capable of running Red Hat Enterprise Linux, the A2E platform can be configured to address subscriber universes that range from the hundreds to potentially millions. The new platform is also equipped with a service creation environment, as well as a set of Web Services APIs that enable service providers and Web developers to tap into the A2E’s telephony functionality.

• Vendor Importance: Moderate to high to Nortel, which is making a run at the hosted VoIP application server market with a product that is better able to compete with products from BroadSoft, Comverse, GENBAND, and Sylantro, as well as internally developed products from chief rivals Alcatel-Lucent and Nokia Siemens Networks (NSN), than the AS5200. Nortel has historically trailed its rivals in the VoIP application server market, largely due to the fact that the AS5200 is primarily a multimedia-heavy product that requires deployment alongside another Class 5 feature mechanism, such as the CS 2000 softswitch. The A2E empowers Nortel to be more aggressive in pursuing opportunities in the hosted application server sector of the market.

• Market Impact: Moderate on the hosted multimedia application server market, as Nortel is not a new entrant in the category but one that is offering an upgrade to an existing product. While the A2E will be a more formidable rival to BroadSoft, GENBAND, and Sylantro than the AS5200, Nortel was not a serious partner/distributor for these standalone equipment makers and the introduction of the A2E will not negatively impact these competitors’ existing targeted customer bases. Had Ericsson introduced an application server, for example, the impact to standalone vendors, especially BroadSoft, would have been significant.



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