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September 20, 2010

Finisar buys Broadway Networks

Expects to eventually extend Broadway's technology to the GPON market

By CBR Staff Writer

Finisar, a provider of subsystems and components for fiber optics communications, had acquired Broadway Networks, for an undisclosed sum in an all-cash transaction.

Broadway Networks develops transceiver products that incorporate additional "system level" functionality for FTTx networks.

It has developed a pluggable transceiver that incorporates an EPON ONU in an SFP and enables switches, routers and other customer premises equipment (CPE) to connect directly to PON networks.

Broadway’s operating locations include San Jose, CA, Beijing and Suzhou, China.

The acquisition will expand Finisar’s footprint in China beyond its current operations in Shenzhen and Shanghai.

Finisar expects to follow a product roadmap which will eventually extend Broadway’s technology to the GPON market.

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The company indicated that the acquisition is not expected to have a significant impact on revenue or earnings in the near term.

Finisar’s executive chairman of the board Jerry Rawls said that Broadway’s technology fits nicely with their strong position in digital diagnostics and their strategic goal of continuing to incorporate more functionality inside a transceiver.

"We’re also impressed by the long list of customers who have already qualified Broadway’s products. Although revenues are just getting started, we are excited about the possibilities," Rawls said.

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