Top stories (2) N53

Alcatel and Microsoft are developing a joint IPTV management and service delivery platform (cross adaptation of hardware from Alcatel and software from Microsoft). After months of fierce competition, the two powerhouses decided to join efforts. What does it means? It is probably good news for operators who want to go IPTV with fewer headaches and lower costs than multivendor solutions typically involve. It gives Microsoft an access to most large telecom operators (the main target) through Alcatel. What Alcatel can draw from the deal is less obvious: a more attractive proposal, shorter time to market, additional integration services …perhaps. There is in the deal an implicit bet on Microsoft’ software capacity (not yet proven) to support large-scale and carrier-grade carrier deployments. But the deal of the two giants will also be seen as a threat by operators and of course competitors. No doubt that we will assist in coming weeks to wide alliances in the market to counteract that deal. It is difficult today to understand how far this deal will go, as we do not know the resources involved by both parties in the deal. If the deal is strong enough, they have good chance to succeed and take advantage of their current front running position in the market. If not, it will be a deal as many others, ended after few months in general lack of interest.