Ceragon Goes for the Long Haul

Wireless backhaul player Ceragon Networks Ltd. (Nasdaq: CRNT) is getting into microwave, having acquired Nera Networks AS for $48.5 million. Specifically, Ceragon bought Nera from Norweigen firm Eltek ASA.

Nera's long-distance microwave gear will be added to Ceragon's wireless backhaul portfolio, which already includes Ethernet, TDM and microwave products.

The companies announced the deal early this afternoon. On a conference call with analysts, Ceragon CEO Ira Palti said they'd wanted to announce at the beginning of the day, but as the deal was officially signed, a fire alarm cleared out the building. Whether that's a good or bad omen is an exercise left to the reader.

Why this matters
Ceragon aims to become a backhaul powerhouse here. The company more than doubles in size (to 1,400 from 600) and gains business relationships in some key new areas including Latin America and Africa.

The company also adds a whole product category to its portfolio, as Nera specializes in long-haul microwave links. As Palti noted on Wednesday's conference call with investors, Ceragon had always focused its R&D on short-haul products.

For more
Here's a bit more on what Ceragon and other microwave backhaul players have been up to.

— Craig Matsumoto, West Coast Editor, Light Reading

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