Optical components supplier NeoPhotonics acquires Santur

The movement toward deployment of 100G, the topic of a recent FierceTelecom eBook, continues to inspire new investment and positioning by the vendors that will benefit. The most recent case in point is news from late last week that optical components supplier NeoPhotonics has agreed to acquire fellow components maker Santur Corp.

NeoPhotonics reportedly will pay about $39.2 million in cash, plus up to $7.5 million based on Santur's financial performance through the end of next year. Santur has been around for several years, but was perceived to have been struggling financially as early as 2009.

The deal is interesting to some extent because Santur has developed a 10G x 10G offering, essentially an alternative to pure 100G for companies that don't believe the 100G market has fully ripened yet. Analysts have note that 100G costs still need to come down before wide-scale deployment can begin, but carriers meanwhile are seeing bandwidth demand leap.

For more:
- check out this San Jose Business Journal post

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