DZS snags coherent optics vendor Optelian

networking
DZS strikes a deal to buy optical vendor Optelion to complement its packet-based solutions. (Pixabay)

DZS announced on Wednesday that it has inked a definitive agreement to buy optical network company Optelian. Financial terms of the deal weren't disclosed.

DZS said the acquired assets would enhance its DZS xHaul and broadband access solutions portfolios with optical systems that complement the DZS portfolio of packet-based products. Ottawa, Ontario-based Optelian's optical transport solutions will also complement DZS's 4G and 5G mobile transport solutions that are currently deployed access five Tier 1 networks.

The Optelian solutions have completed the Telcordia OSMINE certification process required for deployment by Tier 1 service providers in North America and will form a new DZS “O-series” product line that will beef up the DZS Mobile Transport portfolio with optical transport products that are optimized for mobile backhaul.

In addition to intellectual property and products, the deal also bolsters DZS' R&D, operations, sales and corporate functions.

"Since DZS plays in the access market and Optelion plays in the optical transport and backhaul market, this acquisition is very complimentary to DZS," said Jimmy Yu, vice president at Dell'Oro Group, in an email to FierceTelecom. "This will allow DZS to sell a solution that fits a customer’s last mile and middle mile needs. This is a great benefit when selling to operators that want a single manufacturer to provide the solution, equipment, and services.

 "Since the two companies are in different markets with little technology overlap, it will not really change the industry."

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Last year DZS hired industry veteran Charlie Vogt as its new CEO. Prior to DZS, Vogt was CEO and president for ATX Networks.

“The acquisition of Optelian will uniquely distinguish us from the traditional edge access mobile and broadband suppliers and accelerate our path forward with Tier 1 service providers in North America," Vogt said in a statement. "I am pleased at the prospect of welcoming the Optelian employees to DZS, a team that will bring unique North America development and integration experience in the areas of ultra-high speed coherent optics and environmentally hardened transport solutions.”

DZS was formerly Zhone Technologies and DASAN Zhone Solutions. Since its founding in 1999, Zhone had over a dozen acquisitions.