Westchester County Business Journal


C-cation links China and U.S. with new broadband technology


A partnership based in White Plains began tests this month in China on a patented technology platform designed to deliver telephone, video, data and Internet signals through a single bundled system.

C-cation Inc. will test it, broadband technology through a joint venture it has formed with Datang Telecom Technology and Industry Group, one of China's four largest telecom companies with more than 7,000 employees and sales of more than $483 million.

The joint venture, Renaissance Technology Beijing Company Ltd. (RenTech), in turn will team up with stateowned China Telecom to field-test its technology. The tests will take place in Beijing, on the campus of the China Academy of Telecommunication Technology, an offshoot of the state Ministry of Information Industry.

"The tests will run at least four weeks, maybe longer if necessary. We expect our technology will be commercially deployed not long after that," said Aldo V. Vitagliano, C-cation's vice president for legal affairs and a lawyer whose practice is based in Rye.

RenTech ( www.rentech.com.cn) will test the effectiveness of its "broadband multimedia community information services platform," or BCP-2000. The technology is a network of clusters of electronic "cells," each allowing two-way interactive communication on traditional one-way cable television lines. At the center of each cell is a "community multiple services unit," or server that can store and process signals from various service providers, for transmission to customers.

Dr. Alexander L. Cheng, chief executive officer for both RenTech and C-cation, holds two U.S. patent, for the technology. Cheng will oversee the tests from Beijing.

The more successful the test, C-cation reasons, the easier it will be to ask investors for the $10 million that the partnership is seeking to roll out its technology in the U.S., Vitagliano said.

China's interest in RenTech's technology comes as the nation continues a decadelong quest to add bandwidth capacity and upgrade its existing fiber optics. China's telecom network has grown from 8.3 percent of the world's total to 12 percent in 1998, and is expected to reach 14 percent in 2004, according to the fiber-optics research firm KMI Corp. of Newport, R.I. ( www.kmicorp.com).

China also wants to expand its population of cable TV households into rural areas and well beyond the current 80 million, a small fraction of the nation's more than 1 billion people. To that end, China last October abolished barriers that had previously prevented telecom and cable companies from doing business in other markets.

Copyright Westfair Communications Jan 08, 2001

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