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Infineon Dramatically Extends Reach of Legacy Multimode Fiber; Demonstrates XPAK Modules Supporting 10 Gigabit Ethernet Over 300 Meters

MUNICH, Germany—(BUSINESS WIRE)—Nov. 4, 2003— Infineon Technologies (FSE/NYSE:IFX) today announced that it has demonstrated the industry's first 10 Gigabit Ethernet (GbE) XPAK-compliant transceiver module operating over 300 meters of low-bandwidth multimode fiber. The XPAK optical transceiver used a 1310 nm laser with EDC (electronic dispersion compensation) technology to extend the distance over which 10 GbE data can be transmitted error-free. The demonstration proves the feasibility of using single-laser transceivers for high-speed transmission over the installed low-bandwidth fiber infrastructure, which preserves capital investment while increasing capabilities. The use of EDC-enabled transceivers to upgrade networks without replacing fiber will also help accelerate adoption of 10 GbE technology, with its greater bandwidth.

The EDC-equipped Infineon XPAK optical module has shown the ability to transmit 10 Gbps data over up to 300 meters of virtually any grade of legacy multimode fiber. According to the IEEE 802.3 High Speed Study Group, more than 80 percent of the world's current enterprise fiber infrastructure is based on this type of low-bandwidth multimode.

The EDC technology compensates for dispersion and other impairments that cause inter-symbol interference and performance degradation. Without EDC, end-users need to either deploy high-cost, high-bandwidth multimode fiber to reach 300 meters at 10 Gbps, or use a solution that requires multiplexing four separate lasers of different wavelengths, which results in greater complexity, higher power dissipation, increased costs and reduced reliability. The small-form-factor XPAK module with EDC gives users a compelling alternative to those approaches.

First samples of Infineon's XPAK modules with integrated EDC will be available in the first half of 2004.

About Infineon

Infineon Technologies AG, Munich, Germany, offers semiconductor and system solutions for the automotive and industrial sectors, for applications in the wired communications markets, secure mobile solutions as well as memory products. With a global presence, Infineon operates in the US from San Jose, CA, in the Asia-Pacific region from Singapore and in Japan from Tokyo. In fiscal year 2002 (ending September), the company achieved sales of Euro 5.21 billion with about 30,400 employees worldwide. Infineon is listed on the DAX index of the Frankfurt Stock Exchange and on the New York Stock Exchange (ticker symbol: IFX). Further information is available at www.infineon.com.

This news release is available online at http://www.infineon.com/news/



Contact:
Infineon Technologies
Karin Braeckle, +49 89 234 28011 (Worldwide Headquarters)
karin.braeckle@infineon.com
Matt Schmidt, 408-501-6390 (U.S.A.)
matt.schmidt@infineon.com
Kaye Lim, +65 6840 0689 (Asia)                    
kaye.lim@infineon.com
Hirotaka Shiroguchi, +81 3 5449 6795 (Japan) 
hirotaka.shiroguchi@infineon.com
Investor Relations:
+49 89 234 26655 (EU/APAC)
408-501-6800 (USA/CAN)
investor.relations@infineon.com

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