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US-Based Optical Networking Tech Firm Elenion To Be Acquired By Nokia


02/20/2020


US-Based Optical Networking Tech Firm Elenion To Be Acquired By Nokia
The Finnish telecom networks maker Nokia Oyj is aiming to boost its optical networking business and increase the portfolio of offering to telecoms operators by the acquisition of the United States based company Elenion Technologies, Nokia announced on Wednesday.
 
The company however did not disclose the value of the deal.
 
Product based on silicon photonic technologies for short-reach and high-performance optical interfaces is manufactured by Elenion, which was founded in 2014.
 
“Ownership of these key assets brings time-to-market and cost advantages to Nokia’s broad portfolio of networking solutions by applying the massive scale and economies of silicon design and manufacturing to the optical supply chain,” Nokia said in a statement.
 
Nokia said that it would be able to better serve customers in the critical and rapidly evolving optical connectivity requirements of 5G, cloud and enterprise networking using the technology and expertise of Elenion and its unique design platform and services. The Finnish company will be able to reap benefits of time-to-market and cost advantages with respect to its broad portfolio in the networking solutions offerings through the application of the massive scale and economies of silicon design and manufacturing for its optical supply chain.
 
“As a world-class provider of silicon photonics solutions, advanced packaging and custom design services, Elenion provides a strong strategic fit for Nokia. Its solutions can be readily integrated into Nokia’s product offerings and address multiple high growth segments including 5G, cloud and data center networking. When combined with Nokia, Elenion technologies will accelerate the growth and scale of Nokia’s optical networking business, while enabling us to cost-effectively address new marketsm” said Sam Bucci, Head of Optical Networking at Nokia.
 
In the market of networking systems, including advanced coherent optical interfaces and hyperscale datacenter solutions, Nokia is a market leader, said Larry Schwerin, CEO of Elenion Technologies. “Elenion benefits by having its technology incorporated into an industry-leading portfolio and with a company offering solutions across a wide array of networking applications. Nokia’s strong optical industry leadership, size, scale, global reach, and ongoing commitment to investment in key technologies vastly accelerates the adoption of Elenion silicon photonics technology,” he said.
 
The silicon photonics technologies developed by Elenion are not only highly integrated for short-reach and high-performance optical interfaces but are also very cost effective. It has also been able to develop a manufacturing design toolkit that allows the company to greatly simplify the production process as well as reduce costs – while also making it scalable.
 
Founded in 2014, Elenion is privately held with its headquarters in New York. The companies expect to close the deal by the first quarter of the current year excluding regulatory approvals and customary closing conditions.
 
(Source:www.globenewswire.com &www.reuters.com)