SOURCE: The Bedford Report

The Bedford Report

December 01, 2010 08:46 ET

Communication Equipment Makers Face Significant Competitive Headwinds

The Bedford Report Provides Analyst Research on Alcatel-Lucent & Corning

NEW YORK, NY--(Marketwire - December 1, 2010) -  The communications equipment industry has shown significant growth this year. As corporations become more mobile, connection solutions allowing employees to connect directly with the corporate server are growing in appeal. Businesses are looking for faster options and equipment makers that offer these options have the opportunity to bolster their top lines. With such growth potential throughout the industry, companies are fighting harder than ever to secure their respective niches. Competition is getting heated and this has lead to multiple patent infringement cases in the last year. The Bedford Report examines the outlook for companies in the Communications Equipment industry and provides research reports on Alcatel-Lucent (NYSE: ALU) and Corning, Inc. (NYSE: GLW). Access to the full company reports can be found at:

www.bedfordreport.com/2010-12-ALU

www.bedfordreport.com/2010-12-GLW

Alcatel-Lucent competes with industry heavyweight, Cisco, in the routing and switching businesses. When Cisco reported very disappointing quarterly earnings last month, it subsequently hurt Alcatel-Lucent's share price. Cisco's forward guidance missed consensus analyst estimates by a large margin as Cisco claims the industry faces a "challenging economic environment." For the most recent quarter ALU, itself, missed consensus analyst estimates. Alcatel-Lucent posted adjusted quarterly operating profit of 61 million $86 million.

Alcatel Lucent is also marred in litigation. Last month Wi-LAN Chief Executive Jim Skippen said the company won't hesitate to assert its intellectual property rights, and sued Alcatel-Lucent, alleging infringement of a different set of wireless patents.

The Bedford Report releases regular market updates on the Communications Equipment Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us for free at www.bedfordreport.com and get exclusive access to our numerous analyst reports and industry newsletters.

Corning's telecommunications segment accounts for around 29% of the company's revenue as of the most recent quarter. The company says this segment -- particularly the hardware and equipment portion -- showed double-digit sequential growth. Corning's net income rose 22 percent year on year to $785 million, or 50 cents per share, in the third quarter as revenue climbed 8 percent to $1.6 billion.

The Bedford Report provides Analyst Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. The Bedford Report has not been compensated by any of the above mentioned publicly traded companies. The Bedford Report is compensated by other third party organizations for advertising services. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at http://www.bedfordreport.com/disclaimer

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