SOURCE: Ikanos Communications

Ikanos Communications

May 20, 2015 09:00 ET

Ikanos First to Demonstrate Gigabit Broadband Performance Over Existing Copper Networks in Japan and Korea

The Only End-to-End Solution to Date Showing Over 1 Gbps Throughput on Copper With VDSL Fallback, Ensuring Co-Existence Without Degrading Legacy VDSL Service in These Regions; Over Six Million Subscribers Could Benefit From This Gigabit Technology Over Copper

FREMONT, CA--(Marketwired - May 20, 2015) - Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and software products for the connected home, today announced that it has successfully demonstrated in OEM lab trials data rates in excess of 1 Gbps at a distance of 100m over existing hybrid fiber-copper networks in Japan and Korea. As the first company to achieve true gigabit performance over a short-loop copper network, Ikanos becomes the sole access-network technology provider to date that can enable carriers in both regions to provide millions of VDSL subscribers a 10 times or greater increase in data rates, over the same VDSL lines that can only deliver up to 100 Mbps service today.

In addition, these demonstrations were conducted in the presence of currently deployed VDSL services, without any impact on the existing VDSL data rates. The VDSL fallback feature will also ensure backwards compatibility with the deployed CPEs, enabling a seamless upgrade for the entire subscriber base. Achieving gigabit performance over copper networks without adversely impacting the deployed VDSL service is an important carrier requirement in Japan and Korea. Other competing technologies cannot co-exist with deployed VDSL service in the same binder without suffering heavy performance loss, expected to degrade to a few hundred Mbps data rates in a real deployment. Ikanos' solution, on the other hand, is optimally designed to co-exist with the VDSL 30a profile that is widely deployed in Japan and Korea today, and, as such, is the most suitable and deployable gigabit technology for both regions. 

Ikanos' latest advancement in gigabit broadband marks a significant milestone for the company in Japan and Korea. Ikanos pioneered 100 Mbps service over copper using its state-of-the-art VDSL 30a profile, which allowed the company to capture effectively 100% market share in both regions, with a combined VDSL subscriber base of over 6 million. Today's announcement once again confirms the company's gigabit technology leadership and continued commitment to the region's broadband initiatives, positioning Ikanos to continue its dominance in both countries. Ikanos' gigabit technology is a variant of the recently ratified G.fast standard, optimized for the unique requirements of the carrier networks in the two regions. Due to its incumbency, Ikanos is very familiar with these carrier requirements, which uniquely positions the company to meet the carrier performance targets without impacting existing VDSL broadband services.

Over the past 12 months, Ikanos has worked closely with its OEM partners in the region to define the requirements and the desired performance targets that would create a compelling offering for the local carriers. This collaboration resulted in a series of jointly defined OEM lab trials, consisting of rigorous tests designed to mimic actual carrier network deployments, including Japanese and Korean cables, and currently deployed VDSL CPE devices to test co-existence as well as backward compatibility. At the conclusion of these trials, Ikanos was able to achieve best-in-class overall performance, including reaching data rates of over 1 Gbps at a distance of up to 100m, uniquely establishing Ikanos' gigabit technology significantly ahead of any potential competitors.

"Growth in demand for technology to deliver ever-faster, more responsive applications and services is at an all-time high, with one of the key driving factors being the upcoming 2020 Olympics in Japan," said Hiroaki Nishimoto, General Manager, Broad Networks Division, Sumitomo Electric Industries, Ltd. "We have worked hand-in-hand with Ikanos since the early days of xDSL, and together we have remained remarkably agile in responding to each new wave in demand for broadband. We are very excited to see Ikanos' latest demonstration of true gigabit performance, particularly given the strong carrier interest in upgrading all their subscribers to gigabit service."

"The rapid emergence of high-bandwidth applications such as ultra-HD broadcast with 4K and 8K content, high-resolution gaming, and multi-screen streaming are increasingly driving demand for gigabit consumer connectivity," said Kazunori Sakai, General Manager, Network Solution Division, NEC Magnus Communications, Ltd. "NEC Magnus and Ikanos have enjoyed a strong partnership that has enabled operator deployments of 100Mbps service ahead of the broadband adoption curve. Now, with Ikanos' demonstration of gigabit technology, we can see a viable path for Japanese operators to offer gigabit broadband services to their entire subscriber base."

"Carriers in Japan and Korea were the first to deploy high-speed broadband services capable of reaching 100Mbps data rates, leveraging Ikanos' industry-leading VDSL technology," said Omid Tahernia, CEO and president of Ikanos Communications. "Now, as these carriers prepare for upgrading millions of their VDSL subscribers to gigabit services, our latest gigabit broadband demonstrations reiterate our technology leadership to our partners, and show our commitment to the carriers in the region and to meeting their specific requirements."

About Sumitomo Electric Industries, Ltd.
Sumitomo Electric Industries, Ltd. designs, manufactures and sells optical fibers, cables, components, advanced electronic devices, and automotive parts. Through successful strategies of research and diversification, Sumitomo Electric has become one of the world's leading companies at the forefront of the revolution in information and communications. Sumitomo Electric's world-class research and manufacturing capabilities in optical technology continue to expand and strengthen the product portfolio while maintaining industry leading levels of reliability. The company has global operations in more than 40 countries with over 240,000 employees. Sumitomo Electric reported group net sales of $23.5 billion for the fiscal year ended March 2015.

About Ikanos Communications, Inc.
Ikanos Communications, Inc. (NASDAQ: IKAN) is a leading provider of advanced broadband semiconductor and software products for the connected home. The company's broadband DSL, communications processors and other offerings power access infrastructure and customer premises equipment for many of the world's leading network equipment manufacturers and telecommunications service providers. For more information, visit www.ikanos.com.

© 2015 Ikanos Communications, Inc. All Rights Reserved. Ikanos Communications, Ikanos and the Ikanos logo, the Bandwidth without Boundaries tagline, Fusiv, Ikanos Velocity and Ikanos NodeScale are among the trademarks or registered trademarks of Ikanos Communications. All other trademarks mentioned herein are properties of their respective holders.

Safe Harbor Statement
Some of the statements included in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You should not place undue reliance on these statements. These forward-looking statements include statements that reflect the current views of our senior management with respect to our financial performance and future events with respect to our business and our industry in general. Statements that include the words "expect," "intend," "plan," "believe," "anticipate," "estimate," and similar statements of a future or forward-looking nature identify forward-looking statements.

Forward-looking statements address matters that involve risks and uncertainties. Accordingly, there are or will be important factors that could cause our actual results to differ materially from those indicated in these statements. We believe that these factors include, but are not limited to, the following: not all design wins nor successful lab or field trials will result in revenue for us; the introduction of end products containing our semiconductors may be delayed or not introduced at all; technical requirements or preferences may change rendering some or all of our technology effectively obsolete; competitors may develop technology that is more competitive to the solutions we offer; macroeconomic conditions may cause our customers to defer purchasing plans or cancel any purchasing plans altogether despite design wins; our ability to translate customer demand into revenue; our ability to deliver full production releases of our newer products and the acceptance of those products by our customers and telecommunications service providers; that production ramps by our customers will continue at the same rate or at all; the continued demand by telecommunications service providers for our specific xDSL semiconductor products; the failure of telecommunications service providers to implement deployment plans on schedule, or at all, despite design wins or successful lab or field trials; our continued ability to obtain and deliver production volumes of new and current products and technologies; our ability to generate demand and close transactions for the sale of our products; our ability to develop commercially successful products as a result of our current research and development programs; our reliance on third parties to manufacture the products we sell; competition in the markets in which we operate; risks associated with doing business abroad, including foreign currency risks; the fact that the products we sell may not satisfy shifting customer demand or compete successfully with our competitors' products; that our offering of standalone software, selling directly to telecommunications service providers, will generate any revenue for us or result in significant or any operational costs savings for the telecommunications service providers; and unexpected future costs, expenses, and financing requirements. For a more detailed discussion of how these and other risks and uncertainties could cause our actual results to differ materially from those indicated in our forward-looking statements, see our reports filed with SEC (available at www.sec.gov), including our Quarterly Report on Form 10-Q for the first quarter ended March 29, 2015. Ikanos undertakes no obligation to update or revise these forward-looking statements to reflect events or circumstances subsequent to date of this press release.