Terms of the deal were not disclosed. Overture, based in Morrisville, N.C., is privately held, while Munich-based ADVA is publicly traded in Germany. [UPDATE: ADVA says the price was $35 million plus $5 million in incentives.]
ADVA’s emphasis has been on Carrier Ethernet in the access network. Its flagship product, the FSP 150, is a network interface device (NID) that serves as the demarcation point between a carrier’s network and the customer’s own Ethernet network.
Overture is in a similar space, targeting carriers’ metro edge networks, but Overture also spent the last few years shifting its business to software, preparing for an NFV future. As part of a suite called the Ensemble Open Services Architecture, the company developed service orchestration for metro edge networks, an OpenDaylight-based software-defined networking (SDN) controller, and a virtual network function (VNF) for Carrier Ethernet.
ADVA is framing the acquisition as a play for the cloud access market — that is, for the Carrier Ethernet networks that serve as on-ramps to the cloud. The companies’ combined offerings can now span options from traditional, hardware-based access to a fully virtualized NFV environment, ADVA claims.