Efficient, Texas Instruments working to boost DSL modems

Despite what seems like tons of information to the contrary, Siemens subsidiary Efficient Networks is convinced there’s a huge market for DSL modems. As such, Efficient has entered into a relationship with Texas Instrument to develop next-generation silicon for its SpeedStream DSL modems.

“The cornerstone of this announcement is making sure that people understand even in a tough industry there are big companies that are coming together to make sure that our customers are taken care of,” said Tom Willie, Efficient’s vice president of SpeedStream Products.

Reassurance is nice, especially if anyone still cares. Willie disputes reports that DSL is taking off more slowly than Howard Hughes’ Spruce Goose, and moving forward with about the same grace.

“When I look throughout the industry at what is being said about the DSL space, I question how much is posturing from a regulatory environment vs. what’s actual reality,” said Willie. “The reality is our major Tier 1 ILEC customers are deploying in the hundreds of thousands of units volume, almost approaching a million units combined this quarter for us.”

Efficient, he said, had a record quarter and expects big things to continue.

“There are a lot of unused DSLAM ports out there that are just waiting for consumers to sign up,” Willie added. “Even though they’re not buying big iron, they sure are buying CPE to attach to that big iron that they’ve already paid for. That’s where the growth is coming from.”

The relationship between the two big vendors is part of a shakeout in the DSL market, said Nancy Fares, CPE products business manager for Texas Instruments DSL business unit.

“People are falling off this bandwagon,” she said, noting that demand continues to grow even as vendors consolidate.

Perception that cable is ahead of DSL is accurate in the U.S., she said, “but we’re talking about a worldwide market. “DSL is very strong in other locations like Asia Pacific as well as Europe. DSL and cable are here to stay, it’s a race of who’s ahead of who.”