Welcome!

Wireless Authors: Ram Sonagara, Srinivasan Sundara Rajan, Elizabeth White, Chirag Bakshi, Liz McMillan

News Feed Item

Alcatel and Ericsson Set to Lead Communication Equipment Industry Comeback

The ShinesRooms.com Provides Stock Research on Alcatel-Lucent and Ericsson

NEW YORK, NY -- (Marketwire) -- 01/04/13 -- The communication equipment industry looks poised for a bounceback year as several factors begin to align in its favor. Increased mobile data volumes, better capital spending outlooks, an improved macroeconomic environment and ongoing restructuring efforts are a few of the reasons why investors are taking a closer look at the industry now. Macroeconomic uncertainty, challenging pricing conditions, fluctuating demand and strong competition will still act as headwinds but do not appear sufficient to stall the industry's momentum.

Access our free reports on Alcatel-Lucent and Ericsson. Traders can also connect to our Wall Street Trading Floor where our research desk and market pros are standing between 8:50 am to 4:15 pm ET at
http://www.ShinesRooms.com/ALU010413.pdf
http://www.ShinesRooms.com/ERIC010413.pdf

Surging mobile data demand will likely be a key driver for growth for communication equipment providers in 2013. The increase in data usage appears primarily as a result of better tablet device sales as well as smartphone penetration crossing over the 60% threshold in major global markets. As data volumes expand, telecommunication providers respond by ramping up their capital expenditures on equipment upgrades, overhauls and capability increases. It will be most interesting to see how much demand will stem from the tablet space. Unlike smartphone owners, tablet users are far less compelled to purchase set data plans but are often more likely to latch onto nearby wireless hotspots. Still, companies like Alcatel-Lucent S.A (NASDAQ: ALU) and Ericsson (NASDAQ: ERIC), that operate at all levels of the wireless market, should still be able to capitalize on increased data demand from tablets as well as phones.

The growing cloud market is a further reflection of greater data demand. The cloud market is getting increasingly crowded and competitive though. As competition mounts, a greater premium has been placed on value and innovation. Alcatel-Lucent will be showcasing a dozen new cloud-based service concepts at the 2013 Consumer Electronics Show (CES), raising optimism that it may become a stronger player in the space. Much of Alcatel-Lucent's competition will come from Ericsson which operates in similar markets. Like Alcatel, Ericsson is at the forefront of innovation and also has a strong presence at this year's CES. Ericsson's hetnet solution is a particularly imposing threat to other industry players and its success will be worth tracking this year for investors in the communications equipment industry.

Companies are also efficiently adjusting after a challenging environment throughout much of 2012. The latest moves from Alcatel-Lucent illustrate the positive effect restructuring, paying down debt and divesting non-essential assets can have on the investing public. Optimism for the telecom outfit began to sway in the middle of December when it reached a refinancing agreement with Goldman Sachs and Credit Suisse to the tune of $2.1 billion. The company said that it planned to put the money towards debts maturing soon and towards its restructuring efforts. The company has also done an admirable job of shedding non-core assets to improve margins and efficiency. If it can successfully sell off its underwater cable-laying vessels, margins may improve even more. It will certainly still face challenges in the near-term but the company has certainly laid the groundwork to perform well this year considering current economic conditions.

Uneven demand in the U.S., weak economic growth in Europe and a slowdown in China will be some of the biggest of these challenges. Weak economic growth in Europe will especially affect France-based Alcatel and Sweden-headquartered Ericsson. Fortunately, both companies have considerable global operations that appear capable of offsetting domestic economic weakness.

Moving forward, communication equipment providers' prospects have definitely brightened in recent weeks but significant gains may still be challenging. Investors will want to look closely at companies improving operating efficiency while still focusing on innovation and staving off competitive threats. No indications of a slowing of mobile data demand will likely be the biggest growth proponent for the industry. If macroeconomic conditions improve in China and Europe while stabilizing in the U.S., even further gains may be within reach.

About Shinesrooms.com
ShinesRooms.com is the brainchild of David Shine, a 13 year Wall Street veteran with a stellar track record. For 13 years Shine has trained thousands of traders to navigate and profit from the markets. Using cutting edge technology, Shine provides you with a community in which you can trade alongside Shine and his Team as they guide you through the market's ever-changing landscape. ShinesRooms.com is the Ultimate Trading Environment for investors. Over the last 5 years our returns outpaced any of the major indexes. Sign up today to find out what you are missing. www.ShinesRooms.com

To view our disclaimer, visit this link http://www.shinesrooms.com/disclaimer.html.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
IoT is still a vague buzzword for many people. In his session at @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, discussed the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. He also discussed how IoT is perceived by investors and how venture capitalist access this space. Other topics discussed were barriers to success, what is new, what is old, and what the future may hold. Mike Kavis is Vice President & Principal Cloud Architect at Cloud Technology Pa...
The Internet of Things (IoT) is rapidly in the process of breaking from its heretofore relatively obscure enterprise applications (such as plant floor control and supply chain management) and going mainstream into the consumer space. More and more creative folks are interconnecting everyday products such as household items, mobile devices, appliances and cars, and unleashing new and imaginative scenarios. We are seeing a lot of excitement around applications in home automation, personal fitness, and in-car entertainment and this excitement will bleed into other areas. On the commercial side, m...
Dale Kim is the Director of Industry Solutions at MapR. His background includes a variety of technical and management roles at information technology companies. While his experience includes work with relational databases, much of his career pertains to non-relational data in the areas of search, content management, and NoSQL, and includes senior roles in technical marketing, sales engineering, and support engineering. Dale holds an MBA from Santa Clara University, and a BA in Computer Science from the University of California, Berkeley.
The Industrial Internet revolution is now underway, enabled by connected machines and billions of devices that communicate and collaborate. The massive amounts of Big Data requiring real-time analysis is flooding legacy IT systems and giving way to cloud environments that can handle the unpredictable workloads. Yet many barriers remain until we can fully realize the opportunities and benefits from the convergence of machines and devices with Big Data and the cloud, including interoperability, data security and privacy.
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Performance is the intersection of power, agility, control, and choice. If you value performance, and more specifically consistent performance, you need to look beyond simple virtualized compute. Many factors need to be considered to create a truly performant environment. In his General Session at 15th Cloud Expo, Harold Hannon, Sr. Software Architect at SoftLayer, discussed how to take advantage of a multitude of compute options and platform features to make cloud the cornerstone of your online presence.
SYS-CON Media announced that Splunk, a provider of the leading software platform for real-time Operational Intelligence, has launched an ad campaign on Big Data Journal. Splunk software and cloud services enable organizations to search, monitor, analyze and visualize machine-generated big data coming from websites, applications, servers, networks, sensors and mobile devices. The ads focus on delivering ROI - how improved uptime delivered $6M in annual ROI, improving customer operations by mining large volumes of unstructured data, and how data tracking delivers uptime when it matters most.
In this Women in Technology Power Panel at 15th Cloud Expo, moderated by Anne Plese, Senior Consultant, Cloud Product Marketing at Verizon Enterprise, Esmeralda Swartz, CMO at MetraTech; Evelyn de Souza, Data Privacy and Compliance Strategy Leader at Cisco Systems; Seema Jethani, Director of Product Management at Basho Technologies; Victoria Livschitz, CEO of Qubell Inc.; Anne Hungate, Senior Director of Software Quality at DIRECTV, discussed what path they took to find their spot within the technology industry and how do they see opportunities for other women in their area of expertise.
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete at launch. DevOps may be disruptive, but it is essential.
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, discussed how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money!
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Connected devices and the Internet of Things are getting significant momentum in 2014. In his session at Internet of @ThingsExpo, Jim Hunter, Chief Scientist & Technology Evangelist at Greenwave Systems, examined three key elements that together will drive mass adoption of the IoT before the end of 2015. The first element is the recent advent of robust open source protocols (like AllJoyn and WebRTC) that facilitate M2M communication. The second is broad availability of flexible, cost-effective storage designed to handle the massive surge in back-end data in a world where timely analytics is e...
"There is a natural synchronization between the business models, the IoT is there to support ,” explained Brendan O'Brien, Co-founder and Chief Architect of Aria Systems, in this SYS-CON.tv interview at the 15th International Cloud Expo®, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges. In his session at @ThingsExpo, Jeff Kaplan, Managing Director of THINKstrategies, will examine why IT must finally fulfill its role in support of its SBUs or face a new round of...
The BPM world is going through some evolution or changes where traditional business process management solutions really have nowhere to go in terms of development of the road map. In this demo at 15th Cloud Expo, Kyle Hansen, Director of Professional Services at AgilePoint, shows AgilePoint’s unique approach to dealing with this market circumstance by developing a rapid application composition or development framework.

ARMONK, N.Y., Nov. 20, 2014 /PRNewswire/ --  IBM (NYSE: IBM) today announced that it is bringing a greater level of control, security and flexibility to cloud-based application development and delivery with a single-tenant version of Bluemix, IBM's platform-as-a-service. The new platform enables developers to build ap...

Advanced Persistent Threats (APTs) are increasing at an unprecedented rate. The threat landscape of today is drastically different than just a few years ago. Attacks are much more organized and sophisticated. They are harder to detect and even harder to anticipate. In the foreseeable future it's going to get a whole lot harder. Everything you know today will change. Keeping up with this changing landscape is already a daunting task. Your organization needs to use the latest tools, methods and expertise to guard against those threats. But will that be enough? In the foreseeable future attacks w...
Building low-cost wearable devices can enhance the quality of our lives. In his session at Internet of @ThingsExpo, Sai Yamanoor, Embedded Software Engineer at Altschool, provided an example of putting together a small keychain within a $50 budget that educates the user about the air quality in their surroundings. He also provided examples such as building a wearable device that provides transit or recreational information. He then reviewed the resources available to build wearable devices at home including open source hardware, the raw materials required and the options available to power s...