Light Reading
Cisco's WiMax acquisition plans are moving ahead fast, according to sources

Cisco May Snap Up Navini

Dan Jones
LR Mobile News Analysis
Dan Jones, Mobile Editor
10/15/2007
50%
50%

Cisco Systems Inc. (Nasdaq: CSCO) is now expected to make its move into WiMax before the end of the month, with Navini Networks Inc. the favorite target, according to Unstrung sources in the finance community.

Cisco is expected to buy Navini within the next few weeks, according to ThinkEquity LLC analyst Anton Wahlman and a private equity source, who asked not to be named. ThinkEquity has already issued a report saying that Navini is the most likely target for Cisco, in part because of the startup's use of "beamforming" technology for WiMax, which can help increase directional signal strengh from WiMax base-station radios. (See More on Cisco's WiMax Ambitions.)

Wahlman says Cisco will pay "between 200 million and 230 million" dollars for Navini. The Richardson, Tex.-based company has raised around $160 million in financing since its inception in 2000 and has been looking for additional equity financing this year, according to the Dallas Business Journal.

Unstrung recently reported on Cisco's interest in buying up a WiMax base-station vendor. Among the vendors that Cisco is said to have looked at are Navini, Airspan Networks Inc. (Nasdaq: AIRN), Alvarion Ltd. (Nasdaq: ALVR), and Redline Communications Inc. Other industry sources are also aware that Cisco has been sniffing around WiMax of late. (See Cisco Wooing WiMax Vendors?)

Buying a company like Navini would catapult Cisco right into the forefront of the world of WiMax infrastructure. Navini has very much kept pace with the rapid development of mobile WiMax. As well as the "smart beamforming" technology, which Navini holds several patents on, the company has added multiple-input/multiple-output (MIMO) capabilities to its Ripwave line, which helps to increase the data transfer speeds offered over WiMax.

Navini has a range of base stations that operate in the 2.3 GHz, 2.4 GHz, 2.5-2.6 GHz and 3.4-3.6 GHz bands. Such a portfolio would give Cisco the ability to operate in WiMax markets around the world. The firm's equipment is already used in networks in the U.S., Europe, and Africa. (See Navini Wins in Bulgaria and Xanadoo Boasts Subscribers.)

Navini also has customer premises equipment, WiMax modems, and PC cards. The firm has recently demonstrated its capability to run VOIP calls over mobile WiMax (See Navini, Net2Phone Target VOIP.)

Nonetheless, a Navini buyout for Cisco would likely be a first step in WiMax for the networking giant rather than enabling the vendor to dominate the market as it does with enterprise WiFi.

Cisco already dominated the enterprise networking market before WiFi arrived on the scene. As ThinkEquity's Wahlman says, the company currently "doesn't have much of a presence" in wide-area wireless. Cisco will face competitors like Motorola Inc. (NYSE: MOT), which have been working with WiMax and other broadband radio technologies for a while now.

Unstrung has contacted both Cisco and Navini for comment on the acquisition rumors. We will update with more news as soon as they get back to us with official comment.

— Dan Jones, Site Editor, Unstrung

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
IPobserver
50%
50%
IPobserver,
User Rank: Light Beer
12/5/2012 | 3:00:21 PM
re: Cisco May Snap Up Navini
For $330 million. Just announced:

http://newsroom.cisco.com/dlls...
Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Huawei Video Resource Center
Huawei Highlights at BBWF 2014

11|20|14   |   3:40   |   (0) comments


Broadband World Forum is one of the world's largest telecoms, media and technology events with over 7,800 senior executives from across the globe converging on Amsterdam every year to identify the Next Big Thing. BBWF is an exciting place to meet the entire industry under one roof and identify the latest in network innovation, service optimization and customer ...
LRTV Huawei Video Resource Center
How Will BCMS Stimulate Margin for Broadband Operators?

11|19|14   |   6:52   |   (0) comments


In BBWF 2014, Liu Shuqing emphasizes the value of FMC 2.0 based full service experience by throwing light on the BCMS solution. The underlying principle of this innovative technique is to create network robustness and driving network from connection oriented to ACE – BAND oriented infrastructure, in which applications, cloud, and user experiences will be an asset ...
LRTV Huawei Video Resource Center
SingleFAN3.0: Better Connected Experience

11|19|14   |   3:06   |   (0) comments


At the BBWF 2014, David Hu, the VP of Huawei Access Network Product Line, talked about the future of access networks – SingleFAN3.0: faster broadband, wider coverage, and smarter connection.
LRTV Interviews
Basil Alwan Interview: The Road to Cloud

11|19|14   |   09:09   |   (0) comments


Alcatel-Lucent's head of IP and Transport talks about the migration towards a web-like networking environment, the impact of the cloud, SDN and NFV, and the yet-to-be-announced FP4 chip.
LRTV Documentaries
FairPoint Makes a Fair Point About Analytics

11|19|14   |   1:56   |   (1) comment


The US-based communication service provider gets to grips with advanced analytics, tackling data and breaking down the silos within its own business.
LRTV Documentaries
Analytics Lets C Spire Get to Know Subs

11|19|14   |   3:01   |   (2) comments


It's all about the data for US operator C Spire as it uses analytics to personalize its customer service down to individual subscribers.
LRTV Interviews
Nuage Branches Out With SDN: CEO Interview

11|17|14   |   9:32   |   (0) comments


Sunil Khandekar, CEO of Alcatel-Lucent's SDN-focused unit Nuage Networks, talks about the opportunities and challenges of breaking out of the data center into wide-area networks.
Light Reedy
Telecom Analytics Grows Up

11|14|14   |   1:15   |   (4) comments


The big data analytics debate has moved on from a year ago, with some experts suggesting it's no longer a technology challenge.
LRTV Huawei Video Resource Center
Huawei Compass

11|14|14   |   3:17   |   (1) comment


At OpenStack Summit 2014, Shuo Yang, Huawei Principal Cloud Infrastructure Architect introduced Huawei Compass, the software tool for solving customers' problems on the journey of OpenStack Cloud.
LRTV Huawei Video Resource Center
Huawei's Cloud Strategy in European Region

11|14|14   |   2:56   |   (1) comment


At OpenStack Summit 2014, Dr. Gotz, CTO of Huawei IT in European Region introduced Huawei's cloud strategy in European region.
LRTV Huawei Video Resource Center
Huawei's Contribution on OpenStack

11|14|14   |   5:58   |   (0) comments


At OpenStack Summit 2014, Dennis Gu, Huawei Chief Architect of Cloud Computing introduced the relationship between OpenStack and cloud computing, and Huawei's contribution on OpenStack.
LRTV Huawei Video Resource Center
Caroline Chappell on Open Cloud Trends

11|14|14   |   2:00   |   (0) comments


At OpenStack Summit 2014, Caroline Chappell from Heavy Reading shared her perspective of open cloud trends. She believes it's really important to all work as a community and establish stable core to OpenStack.
Upcoming Live Events
December 2, 2014, New York City
December 3, 2014, New York City
December 9-10, 2014, Reykjavik, Iceland
February 10, 2015, Atlanta, GA
April 14, 2015, New York City, NY
May 6, 2015, McCormick Convention Center, Chicago, IL
May 30, 2015, The Westin Peachtree, Atlanta, GA
June 9-10, 2015, Chicago, IL
Infographics
WhoIsHostingThis.com presents six of the world's most extreme WiFi hotspots, enabling the most epic selfies you can imagine.
Hot Topics
Bell Labs Chief Slams 'Toy' Networks
Robert Clark, 11/19/2014
'Job Security' Biggest SDN Security Challenge
Mitch Wagner, West Coast Bureau Chief, Light Reading, 11/14/2014
$38.3M: Ain't That a Kik in the SMS
Sarah Reedy, Senior Editor, 11/20/2014
Subsea Market Lures New Cast of Characters
Dan O'Shea, Managing Editor, 11/14/2014
Like Us on Facebook
Twitter Feed