This morning, Rob will talk to our strategy, Andrew will make a few marks, and Tom will cover the first quarter results. After that, we'll open the call to your questions.Before we do that, I want to say that if you have not seen the news release we issued this morning, you can access it at our tellabs.com website. I'd also like to remind you that this presentation contains forward-looking statements about future results, performance or achievements, financial and otherwise. These statements reflect management's current expectations, estimates and assumptions. These forward-looking statements are not guarantees of future performance, and involve risks, uncertainties and other factors that may cause Tellabs' actual results, performance or achievements to be materially different. A discussion of the factors that may affect Tellabs' future results are contained in Tellabs' most recent SEC filings. The forward-looking statements made in this presentation are being made as of the time and date of its live presentation. If the presentation is reviewed after the time and date of its live presentation, it may not contain current or accurate information. Tellabs disclaims any obligation to update or revise any forward-looking statement based on new information, future events or otherwise. This presentation may also include some non-GAAP financial measures. Reconciliation between non-GAAP financial measures and GAAP financial measures can be found at our tellabs.com website and in our SEC filings. That said, I'll turn the call over to Rob. Robert W. Pullen Good morning, everyone. Tellabs continues to focus on achieving profitable growth by helping our customers succeed. In January, we unveiled an updated strategy for Tellabs. We're focused on 3 market segments that are growing faster than customers' overall capital expenditures. Today, I want to update you on our progress in each one of those 3 markets. First, we're focused on the Mobile Backhaul market, where we offer multi service, ethernet and optical applications for mobile operators and for companies that provide backhaul networks to mobile operators. The mobile backhaul market is growing at a compound annual growth rate of around 9% per year, greater than the CapEx of the general market.
To sharpen our focus in the mobile market, we unified our mobile routing product development under Markku Ellilä, Markku is Tellabs Vice President and General Manager based in Finland. He oversees product development, planning and marketing.To update our mobile backhaul solution, we're launching new enhancements to our aggregation and cell site nodes. Our enhanced aggregation nodes will be in controlled release in May. Our new card and software will provide 5x more capacity, so our existing customers can upgrade easily. In 3G and 4G mobile backhaul deployments, these nodes can lower capital expenditures in ethernet-based high-speed networks by up to 80%. We've also released these nodes to customers under controlled introduction and we expect to recognize revenue for them in the second quarter. Our new cell site router, the Tellabs 8611, shipped as planned in the first quarter. It's now in trials with multiple customers and is deployed in several live networks. We released these nodes to customers under controlled introduction and we recognized revenue at our first customers during the first quarter. In all, we serve about 160 mobile backhaul customers and we continue to add new customers during the first quarter. Half of Tellabs' customers plan to migrate their networks to Long Term Evolution or LTE. We've already won several LTE backhaul contracts and have installed equipment in a number of LTE networks. During the first quarter, we also marked $1 billion in cumulative revenue from the Tellabs 8800 series, which is part of our mobile backhaul solution. The Tellabs 8800 series is part of the large install base of Tellabs' equipment, which is found in 40 of the world's top 50 telecom service providers. Second, we're also focused on the packet optical market, where we offer applications for metro optical networks, mobile backhaul networks, as well as enterprise services. While most people are aware of our metro optical networks, including the largest one in the world, Tellabs also sells optical solutions through service providers and systems integrators to enterprises, so it's a deliver of business service from the service provider to the enterprise.
In fact, 11 of the Fortune 50 companies rely on services provided through Tellabs' equipment. For example, to address the needs of financial institutions, we've added new features such as low latency to our packet optical solution. Lower latency is crucial to help our financial customers speed their transactions, lowering their trading risk, and of course, making more money.Read the rest of this transcript for free on seekingalpha.com