(Alliance News) - Ethernity Networks Ltd on Wednesday reported continued momentum in the second half of its financial year with its eyes set on further marketing of its 5G products.
The Israel-based networking and security solutions provider said revenue for 2020, based on both signed contracts and customer forecasts received from existing licensing contracts is expected to be in line with market expectations. Market expectations are set at USD2.0 million, up from last year's reported USD1.3 million.
With regards to the 5G business, Ethernity Networks has continued to test and develop its product both with original equipment manufacturers and end-users including national telecoms operators.
The initial testing phases have "progressed well", the company said.
Ethernity Networks now anticipates larger scale field trials before "eventual commercial deployments".
Ethernity Network announced the start of a marketing campaign with the aim of positioning its 5G product as the "optimum component" which will allow for an instant upgrade from 4G to 5G performance. This upgrade will not need "substantial investment in cloud entities, such as servers and switches", the company said.
Ethernity Network added that it will also be directing some marketing activities towards Chinese markets, having received a grant from the Israeli government for up to USD185,000 in contribution of up to 50% of the company's marketing activities in the region.
Chief Executive David Levi said: "We are seeing great strides toward mass deployment of 5G over the next two years, and we continue to see demand for field-programmable gate array-based virtualised routing and other telecom applications in 4G LTE, broadband, avionics, and other markets, positioning the company for a successful business transition from 2021 and onwards."
Ethernity Networks shares were up 26% at 26.70 pence each in London on Wednesday morning.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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Ethernity Net (ENET)