More Capacity Needed

Nortel CTO John Roese, who seems to have been in the news a lot recently, said the growth of video on the Web will inevitably cause carriers to increase network capacity as the glut of bandwidth built during the last telecom boom starts to evaporate. In an interview with Reuters, Roese said the metro ethernet market will be particularly strong as carriers look to expand the last mile to handle online video, music, games and TV.  “That’s our underlying fear,” he said. “If the industry cannot keep up with the demand because we kind of take it for granted after the buildout in the 2000 timeframe, if we ever hit a wall, the impact on global economies, the impact on innovation is just profound.” The metro ethernet “boom” should also be good news for Ottawa-based Meriton Networks, which has raised more than C$100-million of venture capital so far.

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