lt cap,

I was wondering what the problem is, as the only news I saw was Moody's upgrading CIEN debt to B1 from B2. Along with the lightreading article you provided earlier, it *seems* like the concern is that growth is slowing, telcos are delaying deployments (again/and again/and), and probably some folks are thinking what kind of slowdow we'd see if there was a worldwide recession. All of which, I'd imagine, revolves around the elephant in the room, mentioned, I think, in the lightreading article, or at least skillfully implied: With all the net op companies worried about growth and business, a price war probably isn't out of the question. I remember how pissed we were when ALU, apparently on its deathbed, stole an ATT I think deal from INFN - essentially giving the equipment away in trade for future business gains. 

And I don't understand well the technical side of it, but IIRC, that was the big 'hump' INFN had to get over - that they're here to stay, as once you choose an equipment company as your supplier, you're locked into their products. I don't know how InPhi's 'disruptor' tech fits into that, but I'm sure it's not good.

INFN is attractive below 15 I think. But besides everyone awaiting comment on how InPhi will affect their DCI box business, I can't recall the last time (aside from analyst's comments) I read an article that said demand is bullish right now, as opposed to in the long run, the secular trend trumps all. Perhaps the long-honored principle of the street having a short attention span, as opposed to the patience a good number of us are sticking by.

Yeah, that article from Lightreading.com left me wondering if a price war is ensuing, I would guess it would be in the "Wireless equipment sector" as 4G deployments get scarce. 

As to InPhi, I believe as ther analysts have pointed out that its product is of a shorter range.  However, it also makes sense that whereever it is deployed, it will displace the bigger vendors, including INFN.  MSFT is certainly going to be using InPhi where it is applicable (i.e. over short distances), they surely will not even talk to anyone else as they have the cheaper solution with InPhi.

That said, INFN just announced that they sold the Cloud Express solution to Windstream communications for their inter Data Center communications, so for what is worth, Windstream must be connecting certain Data Centers at distances where INFN's equipment is more suitable than Inphi?