TXP, CIG target ONT cost reduction

Following up on a news announcement from Friday's edition of FierceTelecom, two small gigabit passive optical networking companies--TXP and Cambridge Industries Group (CIG)--are merging into a new entity top be called TXP, apparently with an eye toward consolidating costs to produce GPON optical network terminals. Less expensive GPON for the home demarcation point could help speed up GPON adoption. It also would make it easier for carriers to buy third-party ONTs, either from the original suppliers or from their primary vendor partners who are working with those original suppliers.

TXP officials told Light Reading they will attempt to plead their case directly to carriers, in hopes of getting the carriers to demand that their large vendor partners work with TXP. It's a tactic influenced by DSL modem vendor Efficient Networks, which garnered telco support in the same way. Still, it is unlikely that ONTs, the center of a tightly competitive market, will become retail products like those modems.

For more:
- check out this coverage at Light Reading

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