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ADTRAN (ADTN) Solution to Streamline Small-Scale FTTH Deployment

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ADTRAN, Inc. (ADTN - Free Report) recently unveiled the SDX 6234, a compact optical line terminal (OLT), offering service providers enhanced flexibility with ease of deployment. The new addition to the SDX OLD product portfolio includes four combo PON (Passive Optical Network) ports and is specifically engineered for seamless small-scale FTTH (Fiber to the Home) deployment without compromising performance. Simple installation, flexible deployments, enhanced versatility and efficient operations are key selling points for ADTRAN’s new OLT product.

Installing high-performance fiber broadband networks in low-density areas brings multiple challenges. A sparse population in underserved areas, lack of necessary infrastructure and limited return on investment because of a smaller subscriber base often make the process economically unfeasible.

Given these uncertainties, service providers are often hesitant to commit a substantial investment in scarcely populated remote regions. For small-scale deployments, service providers need a solution that can easily adapt, is highly scalable and is simple to manage.

The SDX 6234 OLT effectively addresses these needs. It allows operators to rapidly expand their fiber network to meet future demands with a low initial investment while eliminating the risk of unused capacity. It can deliver reliable connectivity for up to 500 subscribers, ensuring a high level of service quality.

The distributed access architecture of the new solution reduces the impact of large-scale outages on end users. Its four combo PON ports offer a small and compact design, optimizing cost and power consumption. Additionally, ADTRAN’s advanced PON technology is capable of delivering GPON and XGS PON connections through a single port simultaneously.

Leveraging an automated intelligent network, it simplifies operations and mitigates complexity in service delivery. All these features make it ideal for a wide range of deployment scenarios, such as multi-dwelling units, remote area coverage, rail/road system signaling and more. The SDX 6234 has the potential to be a game-changer, establishing symmetrical, multigigabit broadband services for rural, underserved communities and accelerating digital inclusion.

ADTRAN continues to benefit from solid demand trends of its network solutions, driven by the accelerated expansion of fiber-to-the-home networks, upgrades to in-home Wi-Fi connectivity and the adoption of cloud-based automation tools. The company’s end-to-end solutions simplify the deployment of fiber-based broadband services and provide a better customer experience.

It is focused on being a top global supplier of access infrastructure and related value-added solutions from the Cloud Edge to the Subscriber Edge through a broad portfolio of flexible hardware and software network solutions. These products enable a seamless transition to the fully converged, scalable, highly automated, cloud-controlled voice, data, Internet and video networks of the future.

ADTRAN expects solid traction in its domestic markets for ultra-broadband and fiber-to-the-home solutions, along with Software-Defined access and Ethernet passive optical network solutions. The company also anticipates a pickup in capital spending in Tier-1, Tier-2 and regional service provider market segments. ADTRAN’s global leadership in software-defined access is likely to ensure a steady stream of revenues as it helps clients reduce costs and accelerate service delivery and deployment.

The stock has declined 56.1% in the past year compared with the industry’s decline of 3.8%

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ADTRAN carries a Zacks Rank #3 (Hold).

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