2:30 PM -- JP.MorganChase analyst Ehud Gelblum, in a recent note to clients, sized up the possible impact of the Recovery Act funding on a handful of vendors.
For Adtran, Gelblum wrote:
... we estimate ADTRAN could capture over
$40M/year or $120M+ over the three years of the plans given that we calculate total North American wireline capex grows roughly 7% while ADTRAN should be more exposed than other companies with its TA 5000 multi-service access platform, the TA 1100 outside plant DSLAM and an additional broadband backhaul opportunity with the OPTI 6100 optical access MUX.
A consensus of analysts surveyed by Thomson Reuters has Adtran hitting $477 million in revenues this year. Gelblum estimates Adtran will come closer to $500 million, which would put it nearly flat compared to its year-ago number.
As the editors recap Light Reading's event series on network functions virtualization (NFV) and software-defined networking (SDN), technologies like 5G and edge computing arrive just in time to hurry the industry along its path to more modern networks and add plenty of drama.