DZS, a leader of broadband networking solutions, is set to acquire NetComm Wireless.
NetComm, founded in 1982, is a broadband networking innovator in the 5G fixed wireless, home broadband, fiber-extension and IoT technology domains.
NetComm’s Fiber Extension, Fixed Wireless Access (FWA), Home Broadband and Industrial Internet of Things (IoT) products and DZS’ broadband networking and cloud software solutions will create one of the world’s most comprehensive and technologically advanced last mile broadband access portfolios.
DZS will pay $7 million for NetComm. The purchase price includes an additional earn-out of up to $3 million if 2024 revenue of $87.5 million is achieved with such earn-out structure beginning at $72.5 million of 2024 net revenue.
With the addition of NetComm employees, DZS is expected to have 550 team members serving the Americas, EMEA, Australia and New Zealand markets. DZS will on-board the majority of the NetComm employees, of which, approximately 60 percent are research & development and customer care team members.
DZS will connect to NetComm’s roughly 50 active CSP and enterprise customers in the US, Canada, Latin America, Europe, Australia and New Zealand — including:
UScellular (the fourth-largest full-service wireless carrier in the United States)
Bell Canada (Canada’s largest telecom company)
Vodafone (one of the world’s largest telecom operators)
Telstra (Australia’s largest telecom company)
Aussie Broadband (Australia’s fourth-largest ISP)
More Telecom (fast-growing Australian ISP)
The transaction is expected to close during the second quarter of 2024.
“The acquisition of NetComm underscores our commitment to innovation at the network edge and further aligns with our vision and strategy of becoming the premier technology leader in broadband networking and cloud software management solutions,” said Charlie Vogt, President and CEO, DZS.
With the addition of NetComm’s fiber extension, fixed wireless, WiFi 7 home broadband and industrial IOT products, the expanded DZS portfolio arguably will represent one of the most complete and technologically advanced open and standards-based broadband networking and cloud management software portfolios.
