Tellabs tabs Prabhu for CEO, president posts

Tellabs today named former Alcatel executive Krish Prabhu as its new CEO and president, ending a search that began last year when Chairman and founder Michael Birk, who holds both spots, said he wanted to step down.

Prabhu has spent the last two years as a partner with VC firm Morganthaler Ventures but is probably most widely known in the industry as the former COO of Alcatel Telecom and CEO of Alcatel USA. Prabhu began his telecom career in 1980 with AT&T Bell Labs and also spent seven years at Rockwell’s Network Transmission Divison, which was acquired by Alcatel in 1991.

In Tellabs, Prabhu comes into a company that is firmly entrenched in the largest carriers in the world but has not been known as the most cutting edge technology developer. All of which doesn’t bother Prahu.

"The situation that I encountered at Alcatel was not unlike a little bit of what Tellabs has now," he said during a conference call with analysts this morning. "Without being too specific, if it makes sense that the company needs to broaden, I think we’ll make the right call at the right time."

Prabhu said he was open to any and all options to expand the company’s technology base whether through acquisition or internal development. While at Alcatel, he headed up the acquisition of DSC Communications as well as Newbridge Networks, Birk said today during the call.

"I think he’s absolutely the right guy for the job," said Birk, who will remain as chairman for an indefinite period of time. "He brings energy and enthusiasm. He knows and is known by all the senior people in almost all of our customers."