The world could certainly use all the fiber we can get, and it looks like Broadcom
is lining up to be yet another company that sets the stage for the next major push in broadband expansion. It just announced intentions to acquire BroadLight, a Delaware-based company that provides highly integrated networking and fiber access PON (Passive Optical Network) processors. With the addition of BroadLight, Broadcom expands its broadband access portfolio to support customer requirements for rolling out next-generation fiber networks worldwide.
"The need for increased bandwidth for IPTV services, HDTV
broadcasting and high speed Internet access are driving momentum for deploying fiber networks," said Dan Marotta, Executive Vice President and General Manager of Broadcom's Broadband Communications Group. "Combining BroadLight's PON solutions with the strength of Broadcom's broadband access portfolio will enable us to offer a complete, end-to-end solution for customers — from OLT at the central office to CPE at the home. BroadLight's strong engineering team and broad IP will complement and extend our ability to deliver next-generation access technologies to customers."
In connection with the acquisition, Broadcom currently expects to pay approximately $195 million, net of cash assumed, to acquire all of the outstanding shares of capital stock and other equity rights of BroadLight. Looks like Broadcom isn't satisfied with just building chipsets for mobile devices; it wants to build the infrastructure to keep them all online.