Ethernity Net Share News (ENET)

(Sharecast News) - Data processing semiconductor specialist Ethernity Networks announced on Wednesday today that its existing American fixed wireless original equipment manufacturer (OEM) customer had chosen its data processing system-on-chip (SoC) for its second-generation fixed wireless access (FWA) base station node product.

The AIM-traded firm had been providing the customer with an 'ENET' field programmable gate array (FPGA) SoC device for use in its first-generation product base station FWA nodes.

Following the successful deployment of the first-generation FWA base station nodes, it had submitted a follow-on order for the development of a new ENET FPGA SoC supporting network functions and critical traffic management features for a double-capacity FWA second-generation base station node product.

The company said the order was valued at $0.34m, and would combine customisation development costs and an initial order of ENET FPGA SoC devices, with complete delivery planned for the end of the first half of 2023.

After that, subject to the deployment of the second-generation product by the customer, the company said it expected orders for the new ENET FPGA SoC device could follow.

The latest order from the customer was over and above the $2m deployment order for the existing ENET FPGA SoC order, as announced on 27 May last year, for the first-generation FWA base station node product that the company delivered during 2021 and 2022, and the $0.8m ENET FPGA SoC order, announced on 8 April this year, which was expected to be delivered in 2023.

"I am pleased to see the extensive growth in our customer's business and their successful deployment based on our data processing SoC," said chief executive officer David Levi.

"We are also extremely satisfied with the successful support we have provided to this customer over the past five years, which not only led to the initial successful deployment, but has now also led to the initiation of development toward a second-generation FWA base station node."

Levi said the opportunity to continue working with the customer demonstrated the "value and importance" of the company's collaboration with clients.

"This is the second follow-on contract for Ethernity in a matter of weeks, cementing the industry's opinion that we are a trusted partner providing efficient, cost-effective, and reliable solutions for 5G and broadband."

At 1203 GMT, shares in Ethernity Networks were up 10.32% at 10.37p.

Reporting by Josh White for Sharecast.com.