News of the Day

• Verizon spins off some operations in FairPoint deal
  Verizon Communications inked a deal to spin off some local-exchange operations in Maine, New Hampshire and Vermont and then merge them with FairPoint Communications. Verizon plans to focus its efforts in other key markets. The Wall Street Journal (subscription required) (1/16) , The Washington Post/Reuters (1/16)

Business & Industry Watch

• BT taps Nortel, Siemens as Ethernet equipment suppliers
  Nortel signed on to deliver its Metro Ethernet switch and services unit for BT's 21CN network, while Siemens will provide switches, support services, system integration and element management. The network is designed to deliver high-bandwidth services. Converge! Network Digest (1/16)

• T-Mobile offers exclusive white Pearl
  T-Mobile USA is rolling out an exclusive white version of Research in Motion's BlackBerry Pearl. The carrier also trimmed the price of the consumer-oriented Pearl by $50, to $149. Chicago Tribune (free registration) (1/16) , The Wall Street Journal (free content) (1/15)

• Telstra aims to extend broadband reach
  Telstra hopes to secure $600 million from the Australian government, which the company says it will use to extend fixed broadband coverage to 95% of the country's population. Optus and Unwired Group also hope to access funds from the government's Broadband Connect Infrastructure Program. The Age (Melbourne, Australia) (1/15)

• Avaya buys Ubiquity Software
  Avaya is snapping up Ubiquity Software to gain access to the company's Session Initiation Protocol (SIP) software. The software, according to Avaya, will help facilitate moves by network operators to all-IP communications. The Register (U.K.) (1/15)

• Analysis: Cisco concentrates on video
  Video is seen as a key area of growth for Cisco Systems. "If you're looking to something to create the next wave of network upgrades, video is front and center. It drives bandwidth like we've never seen before," Yankee Group analyst Zeus Kerravala said. The New York Times/Associated Press (1/15)

• Dolans boost offer for Cablevision by $3 a share
  The Dolan family raised its offer for the shares of Cablevision it doesn't already own to $30. "We have no intention of selling the company or our control position in the company," Charles Dolan, the chairman, and James Dolan, the chief executive, said in a letter. MSN/Financial Times (1/16) , Multichannel News (1/12)

• Other News

• Report: Vodafone, Reliance consider Essar buy workaround
  The Wall Street Journal (1/16)

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USTelecom Spotlight

• Manage Customer Facing Business Processes for Service Providers Thursday, Jan. 18, 1 p.m. (ET)
  Register today for free. Learn how Business Process Insight is being used to monitor business processes to ensure positive customer results and increased revenues in Communications Service Providers. HP Software is sponsoring this session and will present case studies showing examples of monitoring wireless activations and prepaid top-up payment tracking. Keep your customers happy! Register now.

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Hot Topics

Top five news stories selected by USTelecom dailyLead readers in the past week.

• Cisco files iPhone trademark suit against Apple (Bloomberg)

• Apple hopes to sell 10 million iPhones in 2008 (The Wall Street Journal)

• AT&T sets Cingular rebranding in motion (The Wall Street Journal)

• Podcast: Alcatel-Lucent looks ahead (Telephony Online)

• Embarq eyes network expansion (Telecommunications)

• Results based on number of times each story was clicked by readers.

Redback Networks Inc. manages 50 million broadband connections for leading carriers and service providers, including AT&T, British Telecom, and Chunghwa Telecom. Redback's multi-service edge routing platform delivers next generation services in a unified manner to lower total cost of ownership.

Technology Trends

• Entrepreneurs behind KaZaA, Skype team for Web-based TV service
  The entrepreneurs who created the KaZaA file-sharing software and the Skype Internet phone service have unveiled their latest offering -- a Web video service that promises a TV-like interface with better-than-Web quality video. The company, called Joost, offers ad-supported programming on multiple channels. Joost also promises targeted ads based on users' video viewing habits, location and other data. The Wall Street Journal (free content) (1/15)

• Arris inks deal for Norway's Tandberg Television
  Arris Group is beefing up its ability to help telecoms and cable operators deliver video, voice and data over networks to televisions by buying Tandberg Television. The telecom-equipment maker also gains international exposure through the TandbergTV buy. Forbes/Associated Press (1/16)

• Handset sales to increase in 2007
  Wireless handsets are expected to reach 1 billion in unit sales this year, but declining prices are expected to weigh on handset manufacturers' profit margins. Emerging countries also are expected to generate the bulk of handset sales in the future, according to industry analysis. The Seattle Times/MarketWatch (1/15)

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LeadQuote

New technologies take time, but they are worth the wait. Did the PC catch on quickly? Come on. We were talking about them in 1975, and our first 13 customers went bankrupt before we signed up one that survived. That was Apple." --Bill Gates, Microsoft Corp. co-founder