Did Lucent’s deal with Juniper lead to the layoff of more than 100 people in Massachusetts last week? Sources say the unfortunate Lucent lot were working on a next-generation multiservice edge product, under the code name Telesto or Telestro, that combined frame/ATM technology from Lucent’s Cascade switches with IP/MPLS/VPN smarts from the canceled SpringTide switch. But when Lucent entered into its partnership with Juniper last May – which includes some IP VPN edge offerings and a new multiservice core – the writing was on the wall for Lucent’s “WaveSmith-killer.” (Read the story)

Metro and regional optical gear maker Sorrento Networks is buying optical access vendor LuxN in a deal that Sorrento says will broaden its addressable markets. Sorrento's customer base and market focus include communications carriers and service providers in the telecommunications, cable TV and utilities markets. LuxN adds 25 customers to Sorrento’s base, including Time Warner Telecom, Hawaii I-Net, Yipes Enterprise Services and numerous universities. Sorrento hopes it can better compete with the larger optical players after this deal concludes on Aug. 8. (Read the story)

Right on schedule, Qwest has been approved to re-enter the long-distance market in Minnesota. Qwest was expecting word from the FCC on June 26 and got it. Qwest said it provides local service to nearly 2.2 million customer lines in the state. With last week's action, Qwest has FCC approval to offer long-distance service everywhere in its local service territory except Arizona. Qwest says it has spent more than $3 billion to open its local markets to competitors and comply with the Telecommunications Act of 1996. (Read the story)