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Viavi (VIAV) Partners With AWS, Spurs Test Solution for 5G Services

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Viavi Solutions Inc. (VIAV - Free Report) recently announced the deployment of the industry’s first O-RAN Central Unit (O-CU) test solution on Amazon Web Services (“AWS”) Outposts. AWS is the subsidiary of, Inc. (AMZN - Free Report) . Dubbed TeraVM O-CU Tester, the platform is one of the integral components of Viavi’s network test and certification portfolio. Markedly, the portfolio encompasses a complete range of end-to-end measurement instruments that are leveraged for virtual, physical and hybrid network visibility.

Ideal for workloads that necessitate low latency access to data residency and on-premises systems, AWS Outposts is a fully-managed offering that virtually supports co-location space or datacenter on the back of AWS services, AWS infrastructure and advanced tools. Notably, outpost is a repository of AWS storage and compute capacity. It is installed at the customer premises, enabling them to create and run applications on-site with the help of programming interfaces.

With 5G and edge computing gaining prominence, testing and monitoring of application performance is crucial before implementing these in the network to ensure exceptional customer experience. Moreover, majority of the network operators are striving to encourage product innovations and simultaneously slash redundant infrastructure costs by capitalizing on open radio access networks. Hence, in order to cater to this emerging tech realm, Viavi’s TeraVM O-CU Tester solution is eyed as a major driving force.

The unique offering, which is part of the TeraVM suite of virtualized and cloud-enabled network solutions, facilitates service providers and network equipment manufacturers to test Core Network and mobile RAN elements with utmost efficiency. Markedly, its O-CU test solution ensures that the system operates properly in accordance with 3GPP (3rd Generation Partnership Project) standards while complying with O-RAN network and 5G components to tackle complex mobile traffic profiles.

Markedly, companies are currently focusing on monetizing 5G investments to commercialize new-age technologies like autonomous cars and smart cities. Superior network speeds and ultra-low latencies are the cornerstones to deploy the same. Hence, the latest collaboration is expected to act as a major stimulant to validate network infrastructure performance for seamless deployment of these 5G-backed technologies. Aided by such a focused endeavor, Viavi is likely to emerge as a major player in 5G and cloud domains to enhance user experiences while reinforcing its partnership with AWS.

With the industry’s complete range of fiber test solutions, Viavi reduces the complexity around new network architectures and ensures the delivery of high-speed services and applications to enterprises, government and network equipment manufacturers. Further, the San Jose, CA-based communication equipment maker’s wireless and fiber test solutions are in the early stages of a multi-year investment cycle fueled by the transition of original equipment manufacturers and service providers to superfast 5G networks. Despite the near-term macroeconomic uncertainties, management expects growth in 2021 on the back of higher demand for 5G wireless, fiber and 3D sensing.

Shares of Viavi have gained 43.6% compared with the industry’s growth of 60.5% in the past year.

Viavi currently has a Zacks Rank #3 (Hold). The company topped earnings estimates in each of the trailing four quarters, with the beat being 19.8%, on average.

Some better-ranked stocks in the industry are Altice USA, Inc. (ATUS - Free Report) and Corning Incorporated (GLW - Free Report) . While Altice USA sports a Zacks Rank #1 (Strong Buy), Corning carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Altice USA delivered a trailing four-quarter earnings surprise of 61.5%, on average.

Corning delivered a trailing four-quarter earnings surprise of 39%, on average.

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