Mobile World Congress 2009

Tekelec Expands EAGLE Platform and Unifies Portfolio

| Feb 12, 2009 | IP Services Infrastructure | Show Update

| Analyst: Joe McGarvey

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

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Event Summary

February 12, 2009 -- Tekelec introduced the EAGLE XG, a new signaling and session control platform that is designed to enable operators to deploy hybrid, next-generation networks, while leveraging existing technology investments. The platform is designed to enable mobile operators to meet the future demand for control of millions of new IP endpoints by providing a larger databases and interoperability between SIP and SS7 protocols on their hybrid networks. The platform is commercially available, and it has been deployed commercially with at least one Tier 1 operator.

Analytical Summary

• Current Perspective: Slightly positive on Telekec’s introduction of the EAGLE XG, as the new signaling and session control platform effectively provides an extension to the company’s EAGLE 5 platform that will aide mobile and fixed operators in gracefully extending their services from the SS7 signaling world to the next-generation SIP signaling world. The EAGLE XG, which essentially functions as an expansion chassis to the EAGLE 5, will house numerous applications that apply to both SS7 and SIP environments, as well as applications that are designed to reduce the complexity of NGN environments. Though the EAGLE XG is billed as a new platform, most of the applications that run in the EAGLE XG are existing applications (such as the SIP signaling router) that have been renamed under the EAGLE brand.

• Vendor Importance: Moderate to high to Tekelec, which needed to bring its product portfolio in line with the company’s marketing and sales positioning to both mobile and fixed operators. By rebranding several products under the EAGLE name, Tekelec better positions its products as a natural expansion of the EAGLE 5. Prior to the rebranding exercise, the various product names, such as TekCore and TekMedia, created the perception of separation from the flagship EAGLE 5 platform. Tekelec, with the name change, has significantly reduced the potential occurrences of that misperception.

• Market Impact: Low to moderate on the SIP routing and NGN markets, as Tekelec has few direct competitors since selling off its switching division. The introduction of the EAGLE XG, however, does improve the EAGLE platform’s ability to scale, as the common database associated with the new platform has the potential to hold up to a billion entries that can be leveraged to support HLR routing, number portability, E.164 number mapping, and other applications. Makers of competitive equipment will need to follow Tekelec’s lead in increasing scale in order to accommodate the influx of millions of new IP-enabled endpoints in the near future.

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