Next Level and Motorola Marry their Technologies

Cable World, Feb 7, 2000 by Karen Brown

Next Level Communications Inc. will tap into Motorola Inc.'s software, wireless and chip assets in a partnership to advance its Very High Speed Digital Subscriber Line set-top box design.

The two companies last week announced a partnership to combine Motorola's interactive client/server software technology into Next Level's VDSL set-top box. The box has been deployed by 27 Competitive Local Exchange Carriers (CLECs) and by U S West in Phoenix for its VDSL video and Internet service.

Next Level's VDSL box is capable of supporting three MPEG2 video channels, a 1.5 Megabit per second (Mbps) Internet line and voice channels. It costs about $600, but most service providers such as U S West subsidize that expense to customers, according to Pat Pachynsky, SVP-marketing for Next Level.

Pachynsky said Motorola's contribution will include software and systems to enable Video on Demand, interactive TV and gaming applications among other things. On the hardware side, Motorola will supply chip improvements and wireless technology to create a home networks.

The partnership is also weighted by the fact Motorola has a 65% stake in fully diluted shares in Next Level.

"We look at this as a long-term evolving relationship to basically marry complementary products of both Motorola and Next Level to have a very attractive product for consumers," Pachynsky said.