Ciena completes on Benu Networks and sets to acquire Tibit Communications
Ciena Corporation has entered into a definitive agreement to acquire Tibit Communications (Tibit) and that it has acquired Benu Networks (Benu).
Tibit and Benu focus on simplifying broadband access networks through passive optical network (PON) technologies and advanced subscriber management.
Tibit and Benu will complement Ciena’s existing portfolio of solutions for broadband access use cases, including residential broadband, enterprise business services and fixed-wireless access. In addition, the acquisitions will strengthen Ciena’s human resources in these areas, with the addition of a combined 60+ engineers.
“The acquisitions of Tibit Communications and Benu Networks will extend our ability to support customers’ next-generation metro and edge strategies as service providers globally accelerate investments to modernise their networks and improve connectivity at the network edge,” said Scott McFeely, senior vice president of global products and services, Ciena.
“Tibit’s high-speed PON technologies and Benu’s subscriber management products, combined with Ciena’s current access and edge portfolio, will enable us to offer broader, more complete, and fully integrated broadband access solutions that combine routing, subscriber management, and PON features and functionality.”
Tibit combines PON-specific hardware and OS into a micro pluggable transceiver that can be integrated into a carrier-grade Ethernet switch, enabling rapid PON deployment in any environment agnostic way.
Ciena has been an investor in Tibit since its initial funding round in 2016 and is currently Tibit’s largest shareholder and its largest customer.
Under the terms of the agreement, Ciena will acquire the remaining shares of Tibit in a deal valued at approximately $210 million in cash. The transaction is due to close during Q1 of 2023, subject to standard closing conditions.
“The global PON market is growing at a rapid pace and this acquisition will provide the opportunity to take Tibit’s differentiated products to market at scale through Ciena’s extensive service provider customer base," said Edward Boyd, vice president of engineering and chief technology officer of Tibit Communications.
"And, as a combined team, we will continue to support and leverage Tibit’s existing network of relationships with system integrators and other equipment vendors.”
Benu offers a portfolio of cloud-native software solutions, including a virtual Broadband Network Gateway, which complement Ciena’s existing portfolio of broadband access solutions.
Benu will enable Ciena to deliver a single solution that integrates routing, optical line terminal, subscriber management and network services, minimising both capital and operating expenses for customers.
“Ciena and Benu have already successfully partnered in the market, including as part of an award-winning joint proof of concept with other residential broadband ecosystem vendors, as well as on active work on customer trials and POCs globally," added Ajay Manuja, CEO of Benu Networks.
"As part of Ciena, we will be in a stronger position to further extend the market reach and continued development of our software solutions.”