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Ericsson Acquires Fiber Access Company To Bolster IPTV Effort
[February 12, 2007]

Ericsson Acquires Fiber Access Company To Bolster IPTV Effort

TMCnet Web Editor
Ericsson (News - Alert) has acquired fiber access technology company Entrisphere, in a move the Swedish communication giant expects to strengthen its broadband access portfolio and position in converged networks.

An Ericsson spokesperson declined to disclose financial details of the deal. She said the two companies have collaborated on gigabit passive optical network technology since 2005.
Entrisphere (Santa Clara, Calif.) provides broadband access solutions based on gigabit passive optical network (GPON) technology to North American telecom carriers. Founded in 2000, it employs 140.
The technology Ericsson gains will expedite the company’s efforts to capture the growing market for high-definition IPTV and other high-bandwidth data services. Ericsson announced a larger deal in the broadband market in December, acquiring data equipment vendor Redback Networks for $2.1 billion in cash.
“This acquisition provides us with a very strategic product suite within the fixed broadband access segment,” said Kurt Jofs, executive vice president and head of business unit networks for Ericsson, in a statement. “We can continue to build a strong position as operators start to deploy fiber access to deliver new IP based services.”
By one estimate, the market for addressable networks for IPTV (News - Alert) services will reach 600 million access lines within five years.

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Spencer Chin is a contributing editor for TMCnet. To see more of his articles, please visit his
columnist page.




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