DZS Inc. provides access, optical networking infrastructure and cloud software solutions that enable the emerging hyper-connected, hyper-broadband world and broadband experiences.
The company provides a wide array of reliable, cost-effective networking technologies and software to a diverse customer base.
The company researches, develops, tests, sells, manufactures and supports platforms in the areas of mobile transport and fixed broadband access. It has regional development and support center...
DZS Inc. provides access, optical networking infrastructure and cloud software solutions that enable the emerging hyper-connected, hyper-broadband world and broadband experiences.
The company provides a wide array of reliable, cost-effective networking technologies and software to a diverse customer base.
The company researches, develops, tests, sells, manufactures and supports platforms in the areas of mobile transport and fixed broadband access. It has regional development and support centers around the world to support its customer needs.
The company offers customers an extensive choice of indoor and outdoor fiber demarcation and fully integrated smart gateways with telephone data, Power over Ethernet (POE), WiFi and over-the-top set-top box (OTT STB) capabilities and other service interfaces. In the FTTx optical line terminal (OLT) category, the company offers a large portfolio of modular chassis, single platforms, and software for deployment in datacenter, central office, extended temperature environments and multi-dwelling unit (MDU) scenarios.
Solutions and Platforms
The company’s solutions and platforms portfolio include products in Access Edge, Subscriber Edge, Optical Edge, and Cloud Software.
Access Edge: The company’s DZS Velocity portfolio offers a variety of solutions for carriers and service providers to connect residential and business customers, either using high-speed fiber or leveraging their existing deployed copper networks to offer broadband services to customer premises. Once the company’s broadband access products are deployed, the service provider can offer voice, high-definition and ultra-high-definition video, highspeed internet access and business class services to their customers. In addition, the switching and routing products the company provides in this space offer a high-performance and manageable solution that bridges the gap from carrier access technologies to the core network. XCelerate by DZS increases the velocity with which service providers can leap to multi-gigabit services at scale by enabling rapid transition from Gigabit Ethernet Passive Optical Network (GPON) to 10 Gigabit Symmetrical Passive Optical Network (XGS-PON) and Gigabit Ethernet to 10 Gigabit Ethernet via any service port across a range of existing DZS Velocity chassis and 10 gigabit optimized stackable fixed form factor units.
Subscriber Edge: The company’s DZS Helix connected premises product portfolio offers a large collection of optical network terminals (ONTs) and smart gateway solutions for any fiber to the ‘x’ (FTTx) deployment. DZS ONTs and Smart Gateway platforms are designed for high bandwidth services being deployed to the home or business. The company’s connected premises portfolio consists of indoor/outdoor ONTs and gateways delivering best-in-class data and WiFi throughout the premises to support FTTx applications. The product feature set gives service providers an elegant migration path from legacy to soft switch architectures without replacing ONTs.
Optical Edge: The company’s DZS Chronos and DZS Saber portfolios provide robust, manageable and scalable solution for mobile operators and service providers that enable them to upgrade their mobile fronthaul/midhaul/backhaul (xHaul) systems and migrate to fifth generation wireless technologies (5G) and beyond, as well as deliver robust edge transport. DZS Chronos provides a full range of 5G-ready xHaul and coherent optical capable solutions that are open, software-defined, and field proven. The company’s mobile xHaul and edge transport products may be collocated at the radio access node base station and can aggregate multiple radio access node base stations into a single backhaul for delivery of mobile traffic to the radio access node network controller or be leveraged as transport vehicles for FTTx deployments. The company’s products support pure Ethernet switching, as well as layer 3 IP and Multiprotocol Label Switching (MPLS), and it interoperates with other vendors in these networks. The company’s DZS Saber portfolio provides high bandwidth optical transport and services, enabling service providers to push high bandwidth transport closer to their subscribers near the edge of their networks. Complementary to the growth of high bandwidth technologies like XGS-PON and 5G mobile at the access edge, DZS Saber products leverage environmentally hardened dense wavelength-division multiplexing (DWDM) coherent optics to deliver transport bandwidth speeds from 100 gigabits per second (Gbps) to 400 Gbps over long distances that can be necessary to support advanced access and mobile technologies. Some DZS Saber platforms also provide additional feature, such as multi-degree colorless directionless contentionless (CDC) FlexGrid reconfigurable optical add-drop multiplexer (ROADM) functionality, which allows service providers to easily adjust to changing network traffic demands.
Cloud Software: The company’s DZS Cloud platform provides software capabilities specifically in the areas of network orchestration, application slicing, automation, analytics, service assurance, and consumer broadband experience. Via the company’s DZS Xtreme solutions it offers a commercial, carrier-grade network-slicing enabled orchestration platform complementing its position with physical network devices supporting Open RAN (O-RAN) and 4G/5G networks. Communications service providers are implementing software defined networking (SDN) and network functions virtualization (NFV) architectures to reduce reliance on proprietary systems and hardware, which increase service agility, flexibility, and deployment of new network services while lowering costs. The company’s Expresse software solution provides a clear view of multi-vendor, multi-technology access networks for both network and service assurance while monitoring, identifying, diagnosing, and fixing network problems via an artificial intelligence (AI) based recommendation engine. CloudCheck software is an advanced WiFi experience management and analytics solution that enables communications service providers to monitor, manage and optimize home WiFi networks. DZS customers are implementing experience and service assurance solutions to reduce support costs, including specifically the costs of WiFi troubleshooting and truck rolls, improve service performance and customer satisfaction, and ultimately reduce subscriber churn and increase average revenue per user (ARPU).
Strategy
The principal elements of the company’s strategy are to provide its network access solutions to Tier 1, national, and regional carriers in the Asia-Pacific region, the Middle East region and Europe, as well as in North America and Latin America; hold a strong leadership position in the FTTx network access space; focus on research and development to maintain its leadership position in broadband network access solutions and communications equipment; seek to expand its operations and capabilities through strategic acquisitions; and grow sales through its channel partners, particularly with distributors, value-added resellers, system integrators, as well as with municipalities and government organizations.
Customers
The company sells its products and services directly to carriers and service providers that offer voice, data and video services to businesses, governments, utilities and residential subscribers. The company’s global customer base includes regional, national and international carriers and service providers. As of December 31, 2022, the company’s products have been deployed by hundreds of carriers and service providers worldwide.
The company also sells solutions indirectly to end customers through system integrators and distributors to the service providers, hospitality, education, stadiums, manufacturing and business enterprises, as well as to the government and military.
Research and Development
The company’s research and product development expenses were $56.1 million in 2022.
Sales and Marketing
The company has a global sales presence with customers from over 70 countries, and it sells its products and services both directly and indirectly through channel partners with support from its sales force. Channel partners include distributors, value added resellers, system integrators and service providers. These partners sell directly to and service end customers and often provide additional value-added services, such as system installation, technical support, and professional support services in addition to equipment sales. The company’s sales efforts are generally organized and sized according to geographical regions for target carriers, service providers, municipalities and enterprise customers.
Americas Sales: The company’s Americas Sales organization includes coverage of North America and Latin America regions. The organization establishes and maintains direct and indirect relationships with customers in the Americas, which includes carriers and service providers, cable operators, utilities and enterprises. In addition, this organization is responsible for managing its distribution channel and also manages its inside sales and sales engineering activities.
EMEA Sales: This organization establishes and maintains direct and indirect relationships with customers in the EMEA region, which includes carriers and service providers, cable operators, utilities and enterprises.
The Asia Pacific Sales: This sales organization establishes and maintains direct and indirect relationships with customers in the Asia Pacific region, which includes carriers and service providers, cable operators, utilities and enterprises, in particular, with the company’s South Korean customers, consisting primarily of Tier 1 carriers. These carriers have historically been early innovators across various telecommunications industry upgrade cycles, including broadband access technology and mobile fronthaul/backhaul technology. The company partners with such carriers from the early phases of technology development to ensure its products are carrier-grade and purpose-built for the most rigorous of environments.
Enterprise Sales: The company’s Enterprise Sales organization includes global geographic coverage and is primarily focused on coverage of its FiberLAN solutions. The organization establishes and maintains direct and indirect relationships with enterprise customers for both greenfield (i.e., projects that do not follow a prior work) and brownfield (i.e., projects that modify or upgrade existing infrastructure or products) projects targeting enterprise customers in several industry verticals, including education (i.e., K-12, universities and colleges, etc.), hospitality, healthcare, stadiums, corporate campuses, and others.
The company’s marketing team works closely with its sales, research and product development organizations, and its customers by providing communications that keep the market current on its products and features.
Regulation
In international markets, the company’s products must comply with standards issued, implemented and enforced by the regulatory authorities of foreign jurisdictions, as applicable, such as the European Telecommunications Standards Institute (ETSI), among others.
The company’s operations in the European Union are subject to the Restriction on the Use of Certain Hazardous Substances in Electrical and Electronic Equipment Directive and the Waste Electrical and Electronic Equipment Directive. It is aware of and is taking suitable action to comply with the new European Union Restriction of Hazardous Substances standards.
Competition
The company competes with numerous vendors in its core broadband connectivity and connected home and business markets, including ADTRAN, Calix, Huawei, Nokia, Ubiquoss, and ZTE, among others.
In the company’s FiberLAN business, which is a subset of its broadband connectivity and connected home and business market, its competitors include Cisco, Nokia, and Tellabs, among others.
In the company’s mobile and optical edge transport business, its competitors include Ciena, Cisco and Juniper Networks, among others.
In the company’s cloud software business, its competitors include solutions from ADTRAN, Calix, Ciena, Nokia, and Solarwinds.
History
The company was founded in 1996. It was incorporated under the laws of the state of Delaware in 1997.
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