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Viavi (VIAV) Beefs Up Network Performance With Ericsson Tie-Up

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Viavi Solutions Inc. (VIAV - Free Report) has joined forces with telecom equipment vendor giant — Ericsson (ERIC - Free Report) — to incorporate its geolocation capabilities into the latter’s Intelligent Automation Platform. The geolocation feature is an integral part of Viavi’s NITRO Mobility solution.

At a time when service providers are establishing automated networks to tackle the increasing traffic challenges stemming from the accretive adoption of IoT and 5G, Viavi’s NITRO Mobility solution comes as a savior. It is touted as the industry’s first real-time intelligence platform based on geolocated, app-aware insight.

It captures, locates and analyzes all mobile events across the RF, RAN, xHaul and core. With new revenue streams and improved service velocity, it makes networks future-ready for 5G, supported by greater operational efficiency. Driven by its robust attributes, it has been installed by various Tier 1 operators across the globe to ensure sustainable connectivity.

The latest addition to Sweden-based Ericsson’s avant-garde platform will accelerate service innovation and automation across Open RAN and purpose-built networks. Viavi’s NITRO Mobility geolocation feature will be available as an rApp (radio network application) in the Ericsson Intelligent Automation Platform.

The Scottsdale, AZ-based company is focused on organic improvement plans and expects higher demand for 5G wireless, fiber and 3D sensing to expand its growth opportunities further. The stock has gained 19.4% compared with the industry’s growth of 15.1% in the past year.

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An rApp is a modular radio network application that functions by capitalizing on the service management and orchestration (SMO) platform’s non-real-time RAN Intelligent Controller feature. As a result of this partnership, the rApp will enable Ericsson’s operator customers to leverage advanced analytics and artificial intelligence algorithms to optimize network performance for a better customer experience.

Unveiled last month, the Intelligent Automation Platform is an open SMO product that supports diverse vendors and multiple RAN technologies and can operate across new and existing 4G and 5G radio access networks. The solution empowers communications service providers and third parties to develop rApps with new services while boosting ecosystem innovation through an open software-development toolkit.

Both Viavi and Ericsson believe that this collaboration will create lucrative opportunities for new and diverse players in the market as they seek to co-create rApps to bolster network automation. In fact, Viavi emerged as one of the first independent software providers to add its rApp — NITRO Mobility geolocation capability — and operate the same on the SMO/ Ericsson Intelligent Automation Platform.  That said, the entities intend to add similar key capabilities to the platform to ensure robust mobile networks with optimized RAN performance and management.

Viavi has been providing avant-garde radio test equipment for more than four decades. It is considered a leader in O-RAN specifications development, remote fiber monitoring, field workforce solutions and wireless lab validation platforms. It boasts an integrated portfolio of testing solutions that access the network to perform installation and maintenance tasks.

Viavi is well-positioned to meet the rapidly changing industry trends, given its technology prowess, product depth, and broad customer base. Boasting a comprehensive product portfolio that offers end-to-end network visibility and analytics, the company anticipates leveraging major secular growth trends in 5G wireless and 3D sensing to achieve higher revenues and profitability with a flexible capital structure.

Viavi currently has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Harmonic, Inc. (HLIT - Free Report) is a better-ranked stock in the industry, sporting a Zacks Rank #1. The consensus estimate for current-year earnings has been revised 23.1% upward over the past 60 days.

Harmonic delivered a trailing four-quarter earnings surprise of 61.1%, on average. The stock has appreciated 53.4% in the past year. HLIT has a long-term earnings growth expectation of 15%.

Qualcomm Incorporated (QCOM - Free Report) has a Zacks Rank #2 (Buy). The consensus estimate for current-year earnings has been revised 14.1% upward over the past 60 days.

Qualcomm delivered a trailing four-quarter earnings surprise of 11.2%, on average. It has gained 17.2% in the past year. QCOM has a long-term earnings growth expectation of 15.3%.

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