Cable Show 2009

Aurora Networks Looks to Light the Way for Cable Operator Service Expansion with New RF+PON Elements

| Apr 1, 2009 | Broadband Infrastructure | Show Update

| Analyst: Erik Keith

Current Perspective: Slightly Positive Vendor Importance: High Market Impact: Moderate

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Event Summary

April 1, 2009 -– Aurora Networks Inc. launched a single fiber, end-to-end radio frequency passive optical network (RFPON) solution at the 2009 Cable Show. Aurora Networks’ new OR4168 Virtual Hub (VHub) module and CP8013U customer premises equipment (CPE), together with the company’s existing VHub, Node PON module and Gigabit Ethernet PON (GEPON) CPE, complete the RFPON solution. This solution enables cable operators to leverage existing and future fiber investments and offer more competitive services.

Analytical Summary

• Current Perspective: Slightly positive on Aurora Networks’ new RF+PON elements, which in conjunction with the company’s existing RFoG and PON solutions, collectively enable cable operators to deliver expanded traditional services (CATV) as well as leverage bandwidth enhancements to target new customer and application opportunities, such as ultra-high-bandwidth business-class services (e.g., up to 1 Gbps Ethernet connections), all while maintaining interoperability with deployed customer premise gear (i.e., cable modems, set-top boxes and eMTAs) and back office provisioning and billing systems.

• Vendor Importance: High to Aurora, which needed to introduce the new VHub and RFoG CPE products to enhance its overall RFoG/RFPON portfolio and cable FTTP service delivery/value proposition. With several of its fellow cable PON competitors (as well as some traditionally more telco-centric FTTP systems vendors now making very concerted efforts in the cable operator market) with new RFoG and/or DOCSIS PON products, Aurora needed to keep moving on the product/technology front in order to remain in contention for cable operator CapEx as these operators take their next technological steps forward in terms of fixed access network evolution.

• Market Impact: Moderate on the overall cable infrastructure market, as Aurora is already well-established in the cable market as an optical transport supplier (i.e., Aurora gear serves more than 40 million cable households worldwide), and has already introduced a number of RFoG and cable PON solutions, so the new VHub and RFoG CPE solutions will not surprise anyone. However, rival vendors will need to match Aurora’s enhanced service delivery and operational efficiency assertions enabled by the new products and the company’s expanded RF+PON proposition.

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