ADC and Redback Networks Form Strategic Partnership for Integrated Internet and Video Solutions

Strategic Insights -

ADC Telecommunications Inc. (ADC), a leading global supplier of network equipment, software, and integration services, has signed a strategic agreement with Redback Networks to form a powerful team to provide integrated Internet, data, video, and voice solutions to the broadband multimedia market. The partnership leverages each company's unique strengths, combining ADC's video transport technology with Redback's leading SONET and IP expertise.

The ADC-Redback Networks agreement combines the strengths of both companies, yielding a universal transport and access platform that allows cable providers to cost-effectively deliver high-quality video, digital TV (DTV), high-definition TV (HDTV), voice, and data over SONET/IP networks. This partnership enables Redback's platforms to incorporate the video features required to meet tomorrow's evolving multimedia network requirements.

Key Takeaways:

  • The partnership between ADC and Redback Networks aims to provide integrated Internet, data, video, and voice solutions to the broadband multimedia market.
  • The combined strengths of both companies will yield a universal transport and access platform for delivering high-quality video, DTV, HDTV, voice, and data over SONET/IP networks.
  • ADC will develop video interface modules for Redback Networks' multi-service platforms, and have the right to market and sell those products to the cable television market.
  • Redback gains the right to sell ADC's video modules into non-cable markets.
  • Arun Sobti, president of ADC's Broadband Access and Transport Group, stated that the partnership allows each company to reach larger markets.
  • Vivek Ragavan, president and chief operating officer of Redback Networks, expects demand for IP-based delivery of integrated video, voice, and data to grow exponentially over the next few years.

Statistics:

  • ADC has approximately 14,400 employees around the world.
  • Annual sales for ADC are $2.1 billion.
  • ADC's stock is included in the Standard & Poor's 500 Index and the Nasdaq-100 Index.

Sources:

  • Business Editors & High-Tech Writers, "ADC and Redback Networks Form Strategic Partnership for Integrated Internet and Video Solutions", Business Wire, March 20, 2000.
  • ADC Telecommunications, Inc., "About ADC" (www.adc.com), 2000.