Global News

February 11, 2003
Siemens ICN commits to voice and data network convergence


MUNICH -- Siemens Information and Communication Networks (ICN) is gearing up its product strategy toward next-generation networks (NGN) technology for companies and carriers. ICN is focusing on solution offerings for next-generation access and next-generation switching that will enable carriers and service providers to improve their profitability.

Thomas Ganswindt, head of ICN and member of the Siemens AG Corporate Executive Committee, said at an international press event in Munich, "We offer our customers solutions for generating extra sales revenues and gaining new customers, so carriers will be able to operate more cost effectively on a sustained basis."

Aligning the organisation to the focal topic NGN is a significant element in the restructuring efforts of the Group. ICN reorganised its carrier business at the start of FY 2003 to achieve this goal. Siemens can now meet its carrier customers' expectations with two mutually harmonised 'Carrier Networks' and 'Carrier Service' Divisions. The Carrier Service Division offers all services relating to network planning, installation, financing, and operation from a single source. The Carrier Networks Division offers technologies and tailored solutions from its Surpass portfolio to help carrier customers' achieve sustained cost-effectiveness in their operations. The sales department will also be responsible for profit and loss.

Siemens ICN has also succeeded in reducing product development cycle times, leading to a decline in product development costs. For example, the Surpass hiT multi-service provisioning platform for the next-generation optics portfolio was developed in five months. This means an overall time from development to product launch of just over a year. With this process, customers' requirements also flow both into the strategy and into product development with no delays.

Its longer-term goal is to lead the market in next-generation switching and next-generation access sectors, where it sees exceptional opportunities for future growth. The full-coverage availability of broadband access technology in particular is considered essential for the successful introduction of new service offerings that will stimulate demand and lead to new growth. Additional sales can be achieved through a broad-based introduction of revenue-generating services such as online games, videoconferencing, file downloading, security (e.g., virus protection and firewalls), and homepage-related and hosting services.

The next-generation metro optics sector is a mainstay of ICN's portfolio. It covers optical transmission technology products and solutions for metropolitan areas. The new services being implemented by carriers to boost their business is increasing demand for bandwidth in the access domain, making it essential to employ optical network technology specifically in the metro domain. Siemens ICN has expanded the next-generation optics portfolio to include the Surpass hiT multi-service provisioning platform for IP and SDH networks.

Siemens ICN's NGN strategy is fully in line with the need to meet changing market demands. It is the leader in next-generation switching technology not only in terms of customer volume (over 60 carriers are using Siemens Surpass solutions) but also in terms of acceptance and base spread.

Contact:
Siemens Information and Communication Networks

Tel: +49-89 722-27558
Fax: +49-89 722-28365
Email: harald.hassenmueller@siemens.com
Web: www.siemens.com



Thomas Ganswindt, head of ICN and member of the Siemens AG Corporate Executive Committee.

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