Metro Ethernet Vendor – Riverstone Networks – In Demand
Lucent Technologies has its eye on Riverstone Networks for its sophisticated Ethernet-over-Fiber and Ethernet-over-MPLS core backbone network solutions and technology. Riverstone would complement Lucent’s optical solutions for the metro which are based on SONET/SDH and DWDM. Flat networks which Ethernet-over-Fiber and Ethernet-over-MPLS represent have made good traction and will remain another way of constructing data service networks. As my previous blog has mentioned, Japan Telecom competes in a market where Carrier Ethernet services are mainly offered over flat Ethernet networks (in additional to those over SONET using next-gen solutions). In this case, the need to be nimble and very price competitive –which flat Ethernet networks offer - is very important.
As Riverstone makes sense to Lucent and, it now seems, it also makes sense to Ericsson. The reasons are likely similar to both vendors. Not being privy to either in their deliberations, I am judging my conclusions based on available data. Here is what what I see: (1) Carrier Ethernet is growing at a very fast rate according to analysts, (2) a wide price range will continue as customers want different services from highly resilient ring-based solutions to point-to-point high SLA and/or best efforts services at attractive $price/megabit and (3) a vendor to large carriers needs to offer a very high quality portfolio that covers DWDM, SONET and Ethernet-over-Fiber/MPLS solutions to cover all Carrier Ethernet service types. Whether Lucent or Ericsson win over Riverstone, we will not know until Riverstone decides which bid is superior.