Motorola has entered into a definitive agreement to acquire Winphoria Networks, a core infrastructure provider of next generation packet based mobile switching centres for wireless networks, which Motorola plans to integrate into its Global Telecom Solutions Sector (GTSS).
The completion of the acquisition is subject to customary closing and regulatory conditions and is expected to occur in the second quarter of 2003. Motorola intends to purchase the privately held concern in an all cash transaction. Additional terms of the agreement were not disclosed.
According to a statement, the acquisition will provide Motorola with additional capability to deliver on its strategy to provide complete networks to support operators’ 2.5 Generation (2.5G) – 3rd Generation (3G) systems worldwide. GTSS will increase its technology capability, enabling it to develop better choices for cost-effective, enhanced-featured mobile switching centre solutions.
‘In acquiring Winphoria, we will augment our strategic position by adding an innovative core telecom switching capability to our portfolio and by providing a competitive media gateway solution,’ said Christopher B. Galvin, chairman and chief executive officer, Motorola. ‘These translate into direct benefits for our carrier customers and prospects by helping them reduce operating costs, and by offering them a software-driven switch that can be easily upgraded and enhanced at lower cost.’
Adding the soft-switch will reportedly address a long-standing need in Motorola’s network infrastructure solution as it will add core functionality in a way that complements Motorola’s existing outsourced circuit-switching portfolio.
Soft-switches are said to have several significant advantages over traditional legacy circuit switches as they require less room, less power to operate and can be deployed much more quickly than traditional legacy circuit switches. In addition, soft-switch architectures allow rapid feature development and high core networking flexibility.