NXTcomm08

OpVista Unveils CX8 Platform, Talks Up Migration Path for 40G/100G

| Jun 10, 2008 | Optical Infrastructure | Show Update

| Analyst: Jason Marcheck

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

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Event Summary

June 9, 2008 – OpVista announced the availability of the OpVista CX8 Optical Networking System, a platform designed to support a range of capabilities including 40G/100G support over 10G infrastructure, packet aggregation and multi-degree ROADM. In its initial release the CX8 will support 10G wavelengths, with 40G transponders slated for release in Q4 2008. The vendor also indicated that the CX8 will be managed by OpVista’s existing WaveMaster EMS, which supports TL1 and XML protocols.

Analytical Summary

• Current Perspective: Slightly positive on the news that OpVista is formally launching its CX8 platform, something that the vendor hinted at last month when it outlined its 40G/100G plans. The CX8 platform, which promises to bring 40G/100G wavelengths together with ROADM, and packet aggregation capabilities, gives OpVista a solution to address key customer requirements that its previous generation product, the OpVista 2000 ROADM did not offer. Unveiling a platform that leverages its ROADM strength, while addressing important new trends like 40G/100G and packet networking is practically a must if OpVista is to remain a viable long-term player in the metro optical market.

• Vendor Importance: Very high to OpVista because after riding early wins with Time Warner Cable and Cox Communications to an early leadership position in the ROADM market – number three overall by the vendor’s own estimates – OpVista’s market momentum has slowed dramatically. As the vendor seeks to leverage its status as an early ROADM market leader toward a stronger long-term market position, it is essential that the vendor demonstrate the ability to adapt its product line to meet evolving market demands.

• Market Impact: Moderate on the optical infrastructure market because while OpVista is a small vendor with a relatively limited customer base, it is well positioned with two of North America’s leading cable operators, Cox Communications and Time Warner Cable. If OpVista can leverage its incumbency with those MSOs to push early sales of the CX8, and establish the platform’s credibility, then other operators looking to pair 40G/100G network migration with ROADM and packet aggregation in a single platform might give OpVista a shot in their own networks. At the same time, OpVista is a small player competing amidst a crowded field of larger players, most of whom tout product capabilities that are similar, and in some cases, more robust than the CX8. As such, despite some advantages in its favor, OpVista still faces an uphill battle to replicate the success that it scored with its first optical platform.

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