ADTRAN Brings Cloud-Based CAF Performance Test Solution

 | Aug 20, 2019 07:55AM ET

ADTRAN, Inc. (NASDAQ:ADTN) recently announced its fully managed, cloud-based performance test solution with an aim to modernize data collection and reporting for network operators that use the Connect America Fund (CAF) program.

It should be noted that recipients of these Federal broadband subsidies have to submit testing results as part of their annual compliance in first-quarter 2020. Those who do not comply with the FCC speed and latency requirements will undergo a reduction in support. Also, providers will be subject to audit of all testing data.

Markedly, this new service is an expansion of the ADTRAN CAF performance testing solution announced earlier this year. Since February, more than 30 CAF recipients have chosen ADTRAN’s network performance testing solution to comply with FCC reporting requirements.

This end-to-end solution equips service providers with the tools required to easily collect and submit performance testing data. It facilitates providers to cover every FCC aspect, from the customer network to the test server to reporting requirements.

The standards-based software runs on any TR-069 compliant device, including xDSL, Ethernet, DOCSIS, PON, and LTE WAN gateways while allowing providers to remotely schedule and collect data on CAF performance and latency testing.

ADTRAN designed this solution not only to make it easier for operators to integrate the FCC requirements into their day-to-day operations, but also to work around the uncertainty of customer LAN environments that may introduce inaccurate information into the FCC reporting and jeopardize funding.

Core Focus

ADTRAN is optimizing its customer, geographic and product diversity momentum as communication service providers scale their network capabilities. The company is poised to benefit from growing customer engagements across its portfolio of software-defined access, 10G solutions and G.fast products. This apart, its global strategy of diversification across geographies and markets augur well for future growth.

The company’s revenues are diverse and well balanced, with contributions across North America, LATAM, Europe, Middle East and Africa, and Pacific Rim regions. Its broad portfolio of next-generation solutions continues to gain traction with growing number of customers in an expanding range of market segments.

ADTRAN has long-term earnings growth expectation of 5%. The stock has rallied 3% compared with the Zacks Investment Research

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