Aeroflex, best known for its mobile infrastructure test tools, has propelled itself into the software-defined networking (SDN) and network functions virtualization (NFV) test and measurement world with the acquisition of Dublin-based Shenick Network Systems Ltd. for $28.5 million. (See Aeroflex Buys Shenick.)
The two companies have been working together for about two years, with Aeroflex Inc. (Nasdaq: ARXX) having integrated Shenick software test tools into its TM500 LTE testing product. What really has Aeroflex excited, though, is the potential of Shenick's TeraVM product, which is a cloud-based software platform that can test both physical and virtual network elements and which can be housed on industry-standard hardware and be used with all major hypervisors, such as VMware ESXI, Hyper-V, and KVM.
It's the capabilities of that cloud-based platform, one that Aeroflex believes expands its addressable market by more than $1 billion, which gained Shenick partner status at the multivendor CloudNFV industry group. (See NFV Group Kickstarts Proof-of-Concept Work.)
On Aeroflex's recent fiscal second-quarter earnings conference call, CEO and president Len Borow said that he expects "TeraVM to grow very, very rapidly over the next several years," generating sales to carriers, cloud-based enterprises and "getting us into new markets like security, verification, which is a hot topic these days. So we're looking for some very, very hot growth," especially in Asia/Pacific, where Aeroflex is experiencing increasing demand for its LTE test tools, according to Borow.
Shenick generated revenues of $9.4 million in 2013, of which $2.7 million was to Aeroflex, whch reported revenues of $151.1 million and operating income of $9.5 million in the three months to December 31 2013.
For more on this topic, see:
- Money, Time Won't Replace Need for SDN Testing
- Veryx Launches SDN Controller Tester
- Ericsson Launches OpenDaylight Lab
- ONF Chooses Indian Firm as Fourth Test Lab
- ONF Names OpenFlow Test Partner in China
- Putting OpenFlow to the Test
- A View of SDN From the DukeNet Sandbox
- Spirent Supports OpenFlow 1.3
- EANTC Tests Multivendor SDN
— Ray Le Maistre, Editor-in-Chief, Light Reading