Aircom has become the latest mobile network OSS specialist to be acquired, continuing a hot M&A trend that has run throughout 2013.
The buyer is Teoco Corp. , the revenue assurance specialist that catapulted itself into the telecom OSS space in 2010 with the acquisition of TTI and which has since been developing additional Service Provider Information Technology (SPIT) capabilities, such as analytics tools. (See SPIT Vendors Indulge in M&A Action and Teoco to Buy TTI Telecom.)
Now it has agreed to acquire Aircom International Ltd. , a well known supplier of network planning, design, optimization, and performance management for mobile operators. (See Brazil's ON Taps Aircom for LTE Planning, Aircom Optimizes Italian LTE Network, and Aircom Analyzes Zain Kuwait Network.)
Teoco notes that the addition of Aircom will provide "a valuable data source" for Teoco's analytics solutions "to understand and predict any subscriber's behavior, location, and service experience." In addition, the combined companies believe they can better "address current and emerging challenges such as SON, small cells, geolocation, and the monetization of subscriber data."
Heavy Reading senior analyst Ari Banerjee believes the move is "very much in line" with Teoco's strategy around "cost optimization, analytics" and a good addition to the existing focus on assurance and margin management.
He also notes that the acquisition of Aircom is the latest deal in this year's hot OSS M&A trend -- location-based intelligence and analytics. "There have been multiple acquisitions in this space this year… it's amazing!" notes Banerjee, who analyzed this trend in October. (See Location Intelligence Is the New Black.)
Other examples in this M&A trend, which is driven by the migration to 4G LTE and the planned introduction of small cells, are Amdocs Ltd. (NYSE: DOX) acquiring Actix, JDSU (Nasdaq: JDSU; Toronto: JDU) acquiring Arieso, and InfoVista SA acquiring Aexio. (See InfoVista Acquires Aexio for Network Optimization, Amdocs Dives Into Mobile SPIT Pool, and JDSU Buys Mobile OSS Vendor for $85M.)
— Ray Le Maistre, Editor-in-Chief, Light Reading