Verizon awards $300M optical cable supply deal to Prysmian

Share this on social media:

US operator Verizon has taken further steps to secure supplies of fibre-optic cable for its next-generation network roll-out, by awarding a supply agreement to European cable manufacturer Prysmian Group.

The new three-year contract with Prysmian is worth approximately $300 million and will include the supply of more than 17 million fibre-kilometres of ribbon and loose tube cables.

Last month the US operator entered into a three-year purchase agreement with Corning for cables and associated hardware worth more than $1 billion (see Verizon agrees $1.05 billion fibre deal with Corning).

Verizon is making these investments in to support its NG-PON2 deployment, which will create a unified fibre access infrastructure for delivering 5G mobile services and additional broadband capacity.

Both Prysmian and Verizon feel strongly that demand and supply for the next-generation passive optical network (NG-PON2) will last well beyond 2020 as new technologies like 5G and the IoT become reality.

Viju Menon, Verizon's chief supply chain officer, said: “Prysmian Group’s telecom division is an established optical cable and connectivity solutions provider to Verizon. This strategic supply agreement helps ensure we can ramp supply in order to expand our network capacity and speed 5G deployment.”

Prysmian plans to make a significant investment through 2018 in its US-based optical cable business to support this project and the growth of major telecoms carriers in North America. The Group has a strong heritage in manufacturing optical fibre and cable for a broad range of applications, and has three telecom production sites in the United States, two for the production of optical cable and one for optical fibre.

“As a recognised global leading producer of optical cables, supporting the most advanced infrastructure of many of the world’s telecom operators, Prysmian Group is proud to have been chosen by Verizon as partner for the development of such a strategic project,” said Hakan Ozmen, CEO of Prysmian Group North America.

The deal also includes diversity partnerships, which means a percentage of business will flow through material management services offered by third party handlers that are owned and operated by certified woman business-owned enterprises.   

Recent News

26 September 2022

The acquisition also consolidates and expands Superloop’s wifi position into adjacent on-net broadband markets.

26 September 2022

The alternative-network (altnet) provider is offering more than 30 jobs across the east of England.

23 September 2022

TXO, the major provider of critical telecom network hardware and asset management services, has announced a wide range of Fibre-to-the-X (FTTx) street cabinets to help service providers avoid supply chain challenges.

The cabinets offer 10- to 12-year lifecycles and can be delivered within eight weeks, which is significantly less than the current supply-chain delivery time of up to a year.

20 September 2022

Sivers Photonics, a subsidiary of Sivers Semiconductors, successfully demonstrated its CW-WDM MSA compliant distributed feedback (DFB) laser arrays with Ayar Labs’ SuperNova remote optical source.