Huawei Snaps Up Israeli Vendors
Huawei has confirmed the acquisition of two Israeli vendors, HexaTier and Toga Networks, that add to its next-gen networking and enterprise security portfolios.
Following reports in the local media, Huawei Technologies Co. Ltd. has confirmed that during the past month it "acquired both Toga Networks and HexaTier. The commercial terms of the transactions are confidential between the parties." Further details were not provided.
Long-time Huawei R&D partner Toga describes itself as a "software-based system design and chip design" company that claims to have expertise in cloud computing, SDN (software-defined networking) and NFV (network functions virtualization). It is believed to have developed software-based switches, routers and cloud storage products that can be used by enterprises and network operators.
Bnei Brak-based HexaTier is a database security company that, according to Calcalist, was acquired by Huawei for $42 million. The company, also founded in 2009, had raised about $15 million from investors including Jerusalem Venture Partners (JVP) and Magma Venture Partners, according to Crunchbase.
News of the HexaTier deal, which looks to be a fit for Huawei's Enterprise division, has been circulating for a few weeks. (See Eurobites: Is Huawei About to Buy a Security Vendor?)
Huawei, which has just announced a 32% increase in its 2016 revenues to $74.8 billion, is not known for making many acquisitions, so snapping up two companies within a month is worth noting. The Chinese giant, so far, has restricted its M&A activity to small, strategic deals, which in the past have included next-gen OSS vendor Amartus and IoT specialist Neul. (See Another Bumper Year: Huawei Sales Soar 32% to $74.8B, Huawei Buys Rump of Irish SDN, NFV Specialist and Huawei Spends $25M on Neul's IoT Smarts.)
— Ray Le Maistre, , Editor-in-Chief, Light Reading