Telco Systems is moving to fill out its Ethernet demarcation and access product set by acquiring ANDA Networks assets and intellectual property.
The Telco Systems announcement of the deal--in an undisclosed cash amount--confirms rumors that have emerged in recent months that ANDA was shopping itself around to the highest bidder.
By acquiring ANDA's technology, Telco Systems will be able to augment its fiber-based edge switching and mobile backhaul aggregation systems with ANDA's Ethernet over TDM product set. In addition, Telco Systems will gain access to ANDA's established customer base, including various Tier 1 telcos, wireless operators and cable MSOs.
"ANDA is dealing with Ethernet over TDM and Ethernet over Fiber technology so their main focus and customer base was in TDM and a tier one customer base," said Avi Cohen, executive vice president of business development marketing for Telco Systems in an interview with FierceTelecom. "From our perspective, ANDA complements our offerings that were mainly Ethernet over Fiber for Ethernet demarcation and aggregation."
With ANDA's products in its portfolio, Telco Systems will be able to sell both the ANDA customer base its products and offer ANDA's products to its own customer base.
In addition to having a number of customers that they don't have, Cohen said that ANDA could help it target potential Ethernet over Copper (EoC) opportunities-something it said it could not properly address in the past.
"There's still a lot of copper infrastructure mainly in the U.S. and we had opportunities in the past to offer our customers EoTDM but we did not have a solution," he said. "This acquisition will give us a bigger portfolio to access mainly business Ethernet services and mobile backhaul."
From a larger Ethernet vendor trend perspective, Telco Systems' acquisition of ANDA's assets much like Overture's acquisition of Hatteras is representative of a consolidation trend in the Ethernet demarcation and services space.
- see the release
Infonetics: IP/Ethernet dominated wireless backhaul spending in 2010
Overture-Hatteras marriage is all about closing the Ethernet fiber gap