Alcatel agreed to acquire Native Networks for approximately US$55 million in cash. The companies have been jointly developing Ethernet Packet Ring technology since 2003.
Native Networks provides data-aware, Metro Ethernet plus SDH/SONET transport solutions designed for deployment in "first-mile" metro access infrastructure. Its switches transport and aggregate Metro Ethernet packets alongside legacy circuits/TDM services in their "Native" form over dark fiber, existing SDH/SONET infrastructure or DWDM.
Native Networks supports advanced layer-2 Metro Ethernet services such as Virtual Private LAN Service (VPLS). The equipment leverages an advanced, patent-pending multiplexing scheme and unique traffic management technology to provide optimal use of optical or SDH/SONET infrastructure with guaranteed QoS per customer and the ability to engineer to strict SLAs.
Alcatel said the Ethernet Packet Ring Technology developed with Native Networks allows operators to introduce enhanced Ethernet features through a simple add-on engine to existing Alcatel optical multi-service networks or equip as needed in new installations. As a result, it optimizes the network's performance by aggregating multiple services such as triple play, DSL, 3G mobile and Ethernet Virtual Private Networks services, over an integrated optical data infrastructure.
Native was founded in 1999 and is based in Maidenhead, U.K. and retains extensive research and development facilities in Petah Tikva, Israel.
Recent Acquisitions by Alcatel
| Native Networks | Optical Ethernet | US$55 million in cash | Mar 05 |
| Right Vision | Software-based appliances that provide Internet access, email and Web applications | not disclosed | Nov 04 |
| Spatial Wireless | a multi-standard mobile softswitch | US$250 million in stock | Sep 04 |
| eDial | SIP-based platform and applications for conferencing of voice, data and video | US$27 million in stock and cash | Sep 04 |
| WaterCove Networks | GPRS Gateway Support Node | not disclosed | Jan 04 |
http://www.nativenetworks.com/
- In February 2003, Alcatel announced a partnership with Native Networks under which it is leveraging Native Networks' Metro Ethernet technology to introduce enhanced transport and aggregation of Ethernet, Fast Ethernet, and Gigabit Ethernet services, along with Packet Ring functionality, for its Optical Multi-Service Nodes (OMSN) equipment. The companies said these new, managed Ethernet features could be introduced incrementally through an add-on card to existing OMSN networks, or equipped as needed in new installations.
- In July 2003, Native Networks raised $11.5 million in third round funding for its metro Ethernet over SONET/SDH solutions. The company's platforms can transport and aggregate Metro Ethernet packets alongside legacy circuits/TDM services in their “native�? form over existing optical networks. The equipment can support Layer-2 Metro Ethernet services such as Virtual Private LAN Service (VPLS). The funding round was led by Infinity and JVP. Other existing investors taking part in the round were Alta Berkeley Venture Partners, Anschutz Investment Company, Apax Partners, Delta Capital Investments, Israel Seed Partners, SkyPoint Capital Corporation, and Soros Private Equity Partners. At the time, Native Networks' total funding stood at $39.5 million.
