MANSFIELD, MA – In a transaction with many anticipated synergies, Carrier Ethernet solution provider Telco Systems has acquired the major assets and intellectual property of ANDA Networks in an all-cash purchase. The price was not disclosed.
ANDA is also a provider of Carrier Ethernet platforms, but the two companies have relatively little overlap in terms of product portfolios or customers. While Telco Systems, a subsidiary of BATM Advanced Communications, specializes in fiber-based platforms, privately held ANDA focuses mainly on Ethernet over copper. And while Telco has a worldwide installed base of service providers, mobile operators and cable MSOs, ANDA's customers are primarily North American Tier 1 carriers.
Telco Systems says that Ethernet over TDM products supporting IP/MPLS technology from ANDA and Telco Systems fiber-based edge switching and mobile backhaul aggregation solutions can be combined to offer an integrated range of carrier-class, MEF-certified Ethernet solutions.
“Telco Systems continually looks for strategic opportunities in order to grow both our business and product offerings. ANDA’s strong suite of Ethernet access products in conjunction with our multiservice Ethernet edge solutions will provide customers a complete range of choices for Carrier Ethernet regardless of the installed infrastructure,” explains Avi Cohen, executive vice president of business development marketing for Telco Systems. “We expect that this acquisition will yield immediate benefits to Telco Systems, ANDA, and our combined service provider customer base.”
Although fiber is the "endgame" for business services and mobile backhaul, most providers today are purchasing both copper-based and fiber-based solutions, depending on specific bandwidth requirements and the condition of the legacy infrastructure. Many of Telco Systems' customers are still looking for copper-based solutions to support some legacy TDM applications (in fact, Cohen expects copper to continue to be used in these applications for the next decade), and Telco can now offer them the ANDA portfolio. On the other hand, ANDA Networks' customers are upgrading portions of their networks to fiber, and Telco Systems will now be able to offer its solutions to them.
Although ANDA disappears as a company, the ANDA brand will continue to exist. ANDA employees have been transferred to Telco Systems, which will continue to maintain and support the entire product portfolio.
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