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Keysight (KEYS) Partners DOCOMO & NTT to Boost 6G Capabilities

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Keysight Technologies, Inc. (KEYS - Free Report) recently announced that it has collaborated with NTT DOCOMO, Inc., and NTT to develop key technologies for 6G capabilities. The collaboration is likely to promulgate affordable solutions to drive 6G wireless innovation to help bring this future communications technology to market.

Per the agreement, Keysight, NTT DOCOMO and NTT will pool their technological expertise and solutions to enable the industry to tide over the potential technical challenges associated with the introduction of 6G applications. The companies will focus on new spectrum technologies for sub-terahertz (sub-THz) frequencies to enable research initiatives on various domains within 6G technology. The multi-year project will also focus on radio frequency channel measurement and modeling for frequencies ranging from 92 GHz to 300 GHz.

In March 2022, Keysight received the first Federal Communications Commission (“FCC”) Spectrum Horizons Experimental license for developing 6G technology in sub-THz frequency bands, between 95 GHz and 3 THz. The license enabled it to develop state-of-the-art technology used by researchers and the industry to accelerate innovations that support data-intensive high-bandwidth applications and sensing.

Keysight was the first company to secure FCC licenses above 246 GHz and 275.5 GHz. The access to spectrum in sub-THz frequencies allows 6G innovators to realize high data throughput speed and ultra-low latency. The license enabled Keysight to reinforce its commitment to 6G technology, which will allow innovators to pioneer the future of communications systems.

Keysight’s efforts in emerging growth markets like IoT and high-speed data centers bode well for the top line. Particularly, management’s focus on Automotive and Energy, and Aerospace and Defense domains augurs well in the long haul. The company is expected to benefit from the growing proliferation of electronic content in vehicles, momentum in space and satellite applications and rising adoption of driver-assistance systems globally.

It has gained 1.1% over the past year compared with the industry’s growth of 1.4%.
 

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Keysight currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Arista Networks, Inc. (ANET - Free Report) , sporting a Zacks Rank #1, is likely to benefit from the strong momentum and diversification across its top verticals and product lines. The company has a software-driven, data-centric approach to help customers build their cloud architecture and enhance their cloud experience. Arista has a long-term earnings growth expectation of 14.2% and delivered an earnings surprise of 14.2%, on average, in the trailing four quarters.

It holds a leadership position in 100-gigabit Ethernet switching share in port for the high-speed datacenter segment. Arista is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in data-driven cloud networking business with proactive platforms and predictive operations.

United States Cellular Corporation (USM - Free Report) carries a Zacks Rank #2 (Buy). Headquartered in Chicago, IL, U.S. Cellular is the fourth largest full-service wireless carrier in the United States. The company provides a range of wireless products and services, and a high-quality network to increase the competitiveness of local businesses and improve efficiency of government operations.

U.S. Cellular has taken concrete steps to accelerate subscriber additions and improve churn management. The company aims to offer the best wireless experience to customers by providing superior quality network and national coverage. It is well-positioned to support the investment required for network enhancements, including the deployment of 5G technology. The company is well-positioned for continued demand for broadband services.

Viavi Solutions Inc. (VIAV - Free Report) , carrying a Zacks Rank #2, is another key pick. Headquartered in Scottsdale, AZ, Viavi is a leading provider of network test, monitoring and service enablement solutions to diverse sectors across the globe. The product portfolio of the company offers end-to-end network visibility and analytics that help build, test, certify, maintain, and optimize complex physical and virtual networks.    

Viavi also offers high-performance thin film optical coatings for light-management solutions used in anti-counterfeiting, 3D sensing, electronics, automotive, defense and instrumentation markets. It delivered an earnings surprise of 9.1%, on average, in the trailing four quarters.

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