Ethernity Net Share News (ENET)

(Sharecast News) - Data programming offload technology company Ethernity Networks announced on Friday that, following testing of its 'UEP-20' product equipped with wireless bonding technology, it had signed a contract with a "well-established, international" wireless connectivity vendor.
The AIM-traded firm said it would supply its "next-generation" 'UEP-60' product as a system-on-module integrated within the microwave vendor's enclosure, including customisation of the UEP-60 for usage as a microwave or mmWave indoor unit router module with integrated wireless bonding.

It said the product would connect multiple wireless links to provide 20Gbps data transport over wireless connections, with the expectation being that the majority of the product's deployments would be for 5G distributed unit connectivity with 25G interfaces.

The contract included an initial committed order for $0.93m, with the majority of the revenue accruing in 2022, and with additional orders expected thereafter.

Based on the customer's forecast estimates of deployment, the contract could lead to additional annual revenues of up to $1m in 2022, and further growth after that.

Additionally, Ethernity said it was also expecting to expand its business with the same vendor with other product offerings, adding that it was already in discussion regarding other business for its routing and bonding system.

The company said the modules would integrate its newly-patented wireless bonding technology, which presents a new method of fragmenting and bonding wireless data transmissions to enable the transmission of a single data flow along multiple wireless streams.

That would maximise the transmission's efficacy using network functions such as load balancing, and enables wireless transmission over the standard network without the need for point-to-point connection.

The board said the contract built on its successful India original equipment manufacturer (OEM) contract in September, as the company progressed its transition to a system solutions provider.

"This is yet another step in Ethernity's progression from intellectual property licensing deals to delivery of complete system solutions," said chief executive officer David Levi.

"It confirms that our UEP router platform is an attractive offering to the industry and lays a solid foundation for additional opportunities within the backhaul and midhaul 5G connectivity market.

"We are very pleased with the direction we are headed and the positive response we have received from the marketplace for our routing platform with integrated bonding."

At 1600 BST, shares in Ethernity Networks were up 5.1% at 42.04p.