Light Reading

NetHawk Plucks VOIP Tester

Light Reading
News Analysis
Light Reading
2/16/2005
50%
50%

Finnish test vendor NetHawk Oyj is set to buy Richardson, Texas-based ipNetFusion in a bid to boost its VOIP testing capabilities (see Test Firms Plan Merger).

Although the current agreement is non-binding, NetHawk CEO Hannu Huttunen expects to close a stock-and-cash deal by the end of April. He values ipNetFusion, which recorded 2004 revenues of around $10 million, at about $26 million.

The deal adds fuel to the already hot VOIP testing market, which has seen its share of growth and deals over the last 18 months (see Report Touts VOIP Test Market , Tektronix Acquires Inet for $325M, Spirent Ups VOIP Test Ante, Empirix Has Growth Spurt, Testing Minnow Crosses Atlantic, and Test Vendors Target VOIP, IPV6). the wide deployment of VOIP services is fueling the demand for new test gear.

NetHawk is a growing provider of test equipment to mobile network equipment vendors and service providers. With the acquisition, it adds depth to its mobile technology test portfolio, where ipNetFusion has developed test tools for push-to-talk and HSDPA (High-Speed Downlink Packet Access), an emerging high-speed data technology for mobile networks.

"We haven't been doing too many VOIP products and solutions, and that's where ipNetFusion is strongest," says Huttunen.

A quick entry into the increasingly hot VOIP test sector via an acquisition makes sense, as developing products from scratch would leave NetHawk trailing its competitors.

That growth will be spurred by the ongoing deployment of VOIP by both fixed and mobile operators, and boosted further by the emergence of new SIP-capable technologies developed for future, converged networks –- a key topic at this week's 3GSM World Congress in Cannes, France (see IMS Tops 3GSM Agenda).

Huttunen says the company will remain focused on the mobile market, where NetHawk has been launching new test products and services regularly during the past year, though he adds, "ipNetFusion's VOIP test capabilities will provide us some opportunities on the fixed-IP network side too," (see NetHawk Intros Multi-Analyser, NetHawk Probes 3G, NetHawk Analyses Networks, and NetHawk Troubleshoots 3G).

There is little geographic overlap in the deal. NetHawk says it has a customer base of 100 mobile operators and "all the major GSM equipment providers" in Europe and Asia, while ipNetFusion's sales come almost exclusively from North America, though it does boast Austrian access equipment vendor Keymile AG as a customer.

Other companies making moves in the VOIP testing market include Tektronix Inc. (NYSE: TEK), one of NetHawk's main competitors, which paid $325 million for Inet (see Tektronix Acquires Inet for $325M).

Other than Tektronix, Huttunen says his firm's other main competitor is industry giant Agilent Technologies Inc. (NYSE: A), which has a broad range of hardware and software-based test and monitoring platforms (see Agilent Offers MultiUser 3G, Agilent Offers OSS for UMTS, Agilent Launches VOIP QOS Tool, and Agilent Watches VOIP). Catapult Communications Corp. (Nasdaq: CATT) provides the most direct competition for ipNetFusion, he adds (see Catapult Tests 3G).

News of the impending acquisition comes as NetHawk unveils an improved financial performance in 2004. It posted a €3.3 million ($4.3 million) profit from sales of €22.6 million ($29.4 million), compared with net income of €0.9 million ($1.2 million) from revenues of €19.3 million ($25.1 million) in 2003.

— Ray Le Maistre, International News Editor, Light Reading


For further education, visit the archives of related Light Reading Webinars:

Newest First  |  Oldest First  |  Threaded View
Flash Poll
From The Founder
The New IP is actually bigger even than business. Like another hugely important tech that Light Reading is digging into right now, the New IP has the potential to change the world by fundamentally advancing what it is possible for people to achieve with communications.
LRTV Huawei Video Resource Center
Huawei Shares Its Vision of the Future of Mobile Networks Innovations

2|26|15   |   2:30   |   (0) comments


Mobile broadband is changing our lives. It's reshaping the Internet, industry, and society. It allows us to freely connect with one another anytime, anywhere. At this year's Mobile World Congress, Huawei will share its latest insights and newest ideas and technologies that will shape the future of MBB. They will showcase their end-to-end MBB solutions that will ...
LRTV Huawei Video Resource Center
Accelerate Digitizing, Boost Digital Business

2|26|15   |   6:14   |   (0) comments


A new digital revolution is leading us to a better connected world. Together with millions of digital partners, Huawei will help CSPs to build their digital service ecosystem and aggregate a wide variety of digital services. In this video, we find out how Huawei is going to help CSPs implement digital operations.
LRTV Huawei Video Resource Center
The Secret Recipe to Enabling Hyper-Growth Industries

2|26|15   |   3:38   |   (0) comments


With a number of successful cases on network capability exposure, Huawei is going to share the secret recipe to enabling hyper-growth markets with a step-by-step approach.
LRTV Documentaries
BTE 2015 Is Bigger & Even Better

2|25|15   |   03:13   |   (4) comments


This year's Big Telecom Event (BTE) in Chicago is going to provide more opportunities than ever for networking, getting to grips with key industry challenges and opportunities and, equally as important, having some fun.
LRTV Interviews
Light Reading ICT Leaders Roundtable at MWC 2015

2|12|15   |   1:07   |   (2) comments


On Sunday March 1, 2015, Light Reading will host an ICT Leaders Roundtable in partnership with Huawei. At this half-day event, CIOs, analysts and researchers will discuss key industry trends like virtualization in the cloud with a specific focus on new business models. Located at the luxurious Renaissance Hotel near the Fira Barcelona, space is limited so please ...
LRTV Documentaries
Going Green in 2015

2|12|15   |   02:04   |   (0) comments


Energy efficiency is set to be an incredibly hot topic in the telecom industry this year.
LRTV Custom TV
SDN & NFV: Where Are We Going From Here?

2|11|15   |   11:27   |   (0) comments


Vitesse Semiconductor CTO Martin Nuss gives his perspective on why SDN and NFV should be tightly interconnected and how he sees the industry moving forward.
LRTV Documentaries
Time for Gigabit Europe?

2|9|15   |   01:27   |   (4) comments


Gigabit broadband networks are springing up all around the US and they'll soon become more commonplace in Europe.
LRTV Interviews
Brocade Brings New IP Vision to 2020 Vision Executive Summit

2|3|15   |   4:23   |   (0) comments


In December 2014, Light Reading gathered telecom executives in Reykjavik, Iceland to discuss their vision for high-capacity networks through the end of the decade. The intimate, interactive meeting was set against the backdrop of Iceland's spectacular natural beauty. As one of the event's founding sponsors, Brocade's Kelly Herrell shared his company's strategy at ...
LRTV Interviews
Brocade's Kelly Herrell on the New IP

2|2|15   |   12:36   |   (0) comments


In December 2014, Steve Saunders sat down with Brocade VP of Software Networking Kelly Herrell at Light Reading's 2020 Vision executive summit in Reykjavik, Iceland. They spoke about Brocade's approach to the New IP, the future of the telecom industry, and more.
LRTV Huawei Video Resource Center
Dr. Dong Sun Talks About Carriers' Digital Transformation & Huawei’s Telco OS

1|29|15   |   6:28   |   (0) comments


Dr. Dong Sun, Chief Architect of Digital Transformation Solutions at Huawei, discusses how telecom operators can become digital ecosystem enablers and deliver optimal user experiences that are in real-time, on-demand, all-online, DIY and social (ROADS).
LRTV Huawei Video Resource Center
Huawei's Chief Network Architect Talks about Network Experience & Operators’ Strategies

1|29|15   |   3:39   |   (0) comments


In the digital age, network experience has become the primary productivity especially for telecom operators. In this video, Wenshuan Dang, Huawei’s Chief Network Architect, discusses how carriers can tackle the challenge of infrastructure complexity in order to enhance business agility and improve user experience.
Upcoming Live Events
March 17, 2015, The Cable Center, Denver, CO
April 14, 2015, The Westin Times Square, New York City, NY
May 12, 2015, Grand Hyatt, Denver, CO
All Upcoming Live Events
Infographics
Net neutrality, broadband services and the current outlook on data consumption, as presented by the New Jersey Institute of Technology.
Hot Topics
Cyber Security Expert Warns: You're Doing It Wrong
Sarah Thomas, Editorial Operations Director, 2/23/2015
10 Weirdly Useful IoT Devices
Eryn Leavens, Copy Desk Editor, 2/24/2015
Small Cells Enabling Location Services
Sarah Thomas, Editorial Operations Director, 2/25/2015
Is FCC Weighing Net Neutrality Changes?
Mari Silbey, Independent Technology Editor, 2/25/2015
MWC: Let the Madness Begin
Ray Le Maistre, Editor-in-chief, 2/23/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Check out Light Reading's interview with Jay Samit, the newly appointed CEO of publicly traded SeaChange International Inc. With a resume that includes Sony, EMI, and Universal, Samit brings a reputation as an entrepreneur and a disruptor to his new role at the video solutions company. Hear what he had to say about the opportunities in video, as well as the outlook for cable, telco, OTT and mobile service providers.
G'day! And welcome to an entirely new feature on Light Reading -- our weekly "CEO-to-CEO" interview.