The Jailhouse

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NVEI SHEEP. CENTILLIUM SOLVED LAST-MILE.
Chip Firm Centillium Extends DSL's Reach
Monday July 7, 10:56 am ET
By James Detar


Chipmaker Centillium Communications Inc. (NasdaqNM:CTLM - News) is out to do something about the slower-than-expected adoption of DSL Internet services.
Companies provide digital subscriber line service over normal phone lines, with souped-up modems. It lets people hook up to the Net at speeds up to 20 times faster than the 54K-modem dial-up standard today.

But there's one big catch. To get DSL, users must be within 2.25 miles of a phone company's central office switch.

"One of the big problems to solve is how to make the service area larger," said Centillium Chief Executive Faraj Aalaei.

Centillium's answer is its Palladia 220 chip, rolled out late last month. It goes into devices such as DSL modems for personal computers. In May, Centillium came out with another chip, the Maximus. It goes into phone carriers' transmission gear.

Together the two chips double DSL's reach. They let people located as far as four miles from a DSL phone switch get DSL service.