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ADTRAN (ADTN) Spurs Connectivity in Rural Kentucky With CTS Tie-Up

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Bolstering its efforts to establish a streamlined network infrastructure in the rural areas of United States, ADTRAN, Inc. (ADTN - Free Report) recently announced that it has joined forces with a public utility — Community Telecom Services (“CTS”).

Per the collaboration, the Monticello, KY-based company will capitalize on ADTRAN’s much-acclaimed Total Access 5000 (TA5000) fiber access platform to provide seamless broadband connectivity to the underserved communities in rural Kentucky.

Markedly, the latest move will not only accelerate ADTRAN’s endeavors of supporting rural communities with best-in-class broadband networks to eliminate digital disparity but will also assist CTS to augment its network flexibility.

Catering to nearly 3,300 customers, CTS is a cable company that provides local phone and Internet services. It provides these services to subscribers based in Monticello and Wayne County, and intends to increase educational opportunities on the back of its enhanced bandwidth connectivity.

Considering the importance of crucial connectivity services to support businesses and healthcare facilities amid the COVID-19 pandemic, the need for an efficient network services provider seems to be the call of the hour, and ADTRAN’s TA5000 seems to be the ideal solution.

In fact, the service provider will replace legacy Huawei network equipment to enjoy the perks of reduced network downtime and operational overheads with ADTRAN’s innovative solution. Currently, CTS is leveraging ADTRAN’s Gigabit Passive Optical Network technology, which is commonly deployed for fiber-to-the-home (FTTH) rollouts, to address community needs.

Recognized as one of the world’s most deployed fiber access platform, ADTRAN’s TA5000 solution provides an end-to-end high-performance broadband connectivity. It enables service providers to rapidly expand network capacity and deliver superior multi-gigabit services with reduced time to market.

Impressively, it is the highest density 10G PON solution available in the U.S. market and forms an integral component of 10G fiber access portfolio. The TA5000 has been specifically designed to support growing network demand in an economical manner. The cutting-edge platform accelerates service velocity and simplifies network planning and capacity management to minimize operating expenditure.

It is worth mentioning that this cost-effective solution will enable CTS to address the burgeoning requirements of remote learning, especially in underserved areas that are deprived of a basic broadband connection. Apart from reinforcing a remote learning environment, it will aid residential customers with high-speed Internet connectivity. Next-gen manufacturing initiatives like Industrial IoT will also benefit from ADTRAN’s TA5000 solution. That said, the recent network modernization initiative will enable CTS to improve economic development while paving the path for a flexible broadband infrastructure.

ADTRAN’s 10G fiber access technology is well positioned to maximize its customer, geographic and product diversity momentum as service providers seek to boost network capabilities. Despite the COVID-19-induced macroeconomic challenges, the Huntsville, AL-based company expects solid traction in its domestic markets for ultra-broadband and FTTH solutions. Its global leadership in software-defined access is likely to ensure a steady stream of revenues while accelerating service delivery as well as deployment.

The stock has surged 65.3% compared with the industry’s growth of 72.5% in the past year.



ADTRAN currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the broader industry are Aviat Networks, Inc. (AVNW - Free Report) , Ubiquiti Inc. (UI - Free Report) and Calix, Inc. (CALX - Free Report) . While Aviat Networks and Ubiquiti sport a Zacks Rank #1 (Strong Buy), Calix carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Aviat Networks pulled off a trailing four-quarter positive earnings surprise of 11.8%, on average.

Ubiquiti pulled off a trailing four-quarter positive earnings surprise of 27.9%, on average.

Calix delivered a trailing four-quarter positive earnings surprise of 72.2%, on average.

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