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Microsoft targets telecoms market with Metaswitch Networks acquisition

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Microsoft has signed a definitive agreement to acquire virtualized network software provider, Metaswitch Networks.

This announcement builds on the computing giant’s recent acquisition of Affirmed Networks, with Metaswitch’s portfolio of high-performance, cloud-native communications software further expanding its range of offerings available for the telecommunications industry. 

Microsoft intends to keep and utilise the talent and technology of both organizations, extending the Azure platform to both deploy and grow these capabilities at scale in a way that is secure, efficient and creates a sustainable ecosystem.

A statement issued on the Microsoft blog said: ‘We will continue to support hybrid and multi-cloud models to create a more diverse telecom ecosystem and spur faster innovation, an expanded set of unique offerings and greater opportunities for differentiation. We will continue to partner with existing suppliers, emerging innovators and network equipment partners to share roadmaps and explore expanded opportunities to work together, including in the areas of radio access networks (RAN), next-generation core, virtualised services, orchestration and operations support system/business support system (OSS/BSS) modernization. A future that is interoperable has never been more important to ensure the success of customers and partners.

‘By enabling advancements in enhanced mobile broadband, ultra-reliable low latency communications and massive machine-type communication to enable IoT at scale, 5G offers significant potential for enterprises and governments and in turn creates new opportunities for operators. 5G will ultimately give operators a path to accelerate service innovation and deliver new transformative experiences that are faster, more resilient and more secure, spurred on by software advances to drive transformation at scale.

‘We have a long history of working with operators as they increasingly embrace software-based solutions and continue to support the advancement of cloud-based networking while helping create new partnership opportunities for existing network equipment providers. Our intention over time is to create modern alternatives to network infrastructure, enabling operators to deliver existing and value-added services – with greater cost efficiency and lower capital investment than they’ve faced in the past.’

In his own company blog, Martin Lund, CEO at Metaswitch Networks said: ‘I am proud and excited to announce that Microsoft has signed a definitive agreement to acquire Metaswitch Networks. Throughout its history, Metaswitch has been recognised as a trusted, independent developer of critical networking software, delivering products and solutions worldwide to more than 1,000 communications service providers and network equipment providers.

‘I have been honored by the customers who have put their trust in us, aware that we are only as successful as those we serve and committed to delivering products and solutions that meet their needs and add real business value. We have innovated, disrupted, and delivered together. And now, I am more excited than ever to continue our journey with the added momentum, technology, services, and people that Microsoft can bring. We will continue to meet customers where they are, working together as communication service providers evolve their own operations.  And we’ll be ideally placed to aid those operators keen to transition to cloud native deployments, to 5G networks and to the era of compelling applications that are served from the core and edge of new network architectures.  I look forward to working with all our existing customers and new prospects alike, as we embark on the next leg of our mutual growth and evolution.’ 

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