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Alcatel-Lucent (ALU - Analyst Report) and SaskTel, a Saskatchewan, Canada-based communications service provider, have successfully completed a fiber-optic data transmission trial that can enable data delivery at a speed of up to 400G. The network used for this trial was originally meant for 10G data traffic.

The trial was taken on a live network over a distance of 250km between Saskatoon and Regina, the latter being provincial capital of Saskatchewan. The trial was based on Alcatel-Lucent’s 1830 photonic services switch platform, which is capable of being deployed along with the various existing networks ranging from 10G to 100G.

The electro-optic chip, 400G Photonic service engine that was used in the trial can carry traffic up to 400 Gigabytes per second, accelerating the network speed by four times while delivering optimum performance.

SaskTel was one of the first service providers to offer Fiber-to-the-Home (FTTH) services with high speed broadband access. In 2011, SaskTel had declared a 7-year project to provide its subscribers with FTTH services. This trial is expected to address the increasing demand for high speed broadband.

The trial can give a competitive edge to SaskTel in the broadband business. By using Alcatel-Lucent’s technology, Sasktel can offer a 100G data transmission to its clients on an immediate basis while increasing the speed to 400G going forward. The technology can use SaskTel’s existing network efficiently, thereby reducing the company’s investment expenditure. SaskTel’s wide customer base, including government and private industries, will be the key beneficiaries of this technology.

Alcatel-Lucent currently carries a Zacks Rank #3 (Hold). Relatively better players within the similar sector worth mentioning include Audiocodes Ltd (AUDC - Snapshot Report) and Harmonic Inc. (HLIT - Snapshot Report). Both carry a Zacks Rank #1 (Strong Buy). Also worth mentioning is Envivio Inc (ENVI), which carries a Zacks Rank #2 (Buy).

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