CES 2009

Broadcom Debuts 30a Profile VDSL2 Chipsets for 100 Mbps Symmetric Service

| Jan 9, 2009 | Broadband Infrastructure | Show Update

| Analyst: Erik Keith

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

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Event Summary

January 7, 2009 – Broadcom announced that it will demonstrate xDSL customer premises equipment (CPE) system-on-a-chip (SoC) solutions supporting all G.993.2 VDSL2 bands at this week's 2009 International Consumer Electronics Show. The featured chipset includes the Broadcom(R) BCM6368 VDSL2/ADSL2+ gateway SoC (announced in September 2008) and the new BCM6306 analog front-end (AFE) companion chip that delivers up to 30 MHz bandwidth to support telecommunications applications ranging from ADSL to 6-band VDSL2.

Analytical Summary

• Current Perspective: Slightly positive on Broadcom’s introduction of the BCM6368 and BCM6306 chipset, because the availability of VDSL2 chipsets that support the 30a profile (which can support up to 100 Mbps of symmetric bandwidth), as well as an array of configurations including bonded ADSL2+/VDSL2 services, will enable operators to offer “fiber-speed” services over their existing copper plant, and thereby compete more effectively with rival service providers such as cable operators leveraging DOCSIS 3.0 technologies (also powered by Broadcom chips).

• Vendor Importance: High to Broadcom, which needed to introduce its BCM63xx series in order to remain on the technological cutting edge of the DSL chipset sector, and thereby protect and grow its customer/market presence in the overall DSL infrastructure market. With operators in virtually every geographic market looking to leverage their copper plant to the hilt, advances in silicon/chipset components have enabled DSL systems vendors to support an ever expanding array of service delivery capabilities, i.e., very high bandwidth, longer loop reach, or compelling “compromises” such as double-digit Mbps bandwidth over longer loops via bonding of copper pairs.

• Market Impact: Moderate to high on the overall DSL chipset market, as Broadcom is an established, leading supplier of DSL chipsets for fixed access systems vendors, in multiple markets worldwide. Current Broadcom customers (for example, Ericsson) can now assert an additional element of competitive differentiation against rivals that lack an equivalent solution. While such differentiation may be fleeting in the rapidly evolving DSL chipset market, the availability of the new Broadcom chipset will still enable systems vendors and their operator customers to utilize higher, “fiber speed” bandwidth to deliver a greater array of advanced services.

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Current Perspective

Competitive Positives and Concerns

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