Nitel acquired privately held WAN Dynamics in its ongoing quest to increase the reach of its network-as-a-service (NaaS) and SD-WAN business.

The deal will combine WAN Dynamics' SD-WAN and network security systems into Nitel’s managed network offerings. Terms were not announced, but WAN Dynamics’ management noted in a statement that their operations will be integrated into Nitel.

“We are thrilled to bring significant strengths in network engineering and our unwavering focus on the customer to Nitel,” WAN Dynamics CTO Jason Gintert noted in a statement. “As enterprises continue their digital transformation journeys, mastering the ensuing connectivity transformation is where our expertise truly shines. The opportunities for our talented staff, valued customers, and essential partners are very exciting, and we are eager to be a key part of Nitel’s success moving forward.”

Ohio-based WAN Dynamics was founded in 2016, and has offered managed SD-WAN and network consulting services. It has also partnered with established players like Netskope to bolster its service offerings.

“They also map well to the products we offer and support our vision to leverage digital capabilities to transform enterprise networking,” Nitel CEO Margi Shaw added in a statement. “WAN Dynamics brings significant technical talent and capabilities that will enhance our ability to deliver value as our customers scale and their networks increase in complexity.”

The acquisition is the latest from Nitel following an investment from private equity firm Cinven in late 2021. That investment valued Nitel at $700 million and resulted in a new management structure at the Nitel, which included Shaw being promoted from COO to CEO.

Nitel has since continued to acquire new assets, like its acquisition of Hypercore Networks in mid-2022. It’s also been adding new connection features to its NaaS and SD-WAN service, including a new satellite connectivity option earlier this year that allows customers to add more performance to their SD-WAN and secure access service edge (SASE) deployments in remote locations or even rely more exclusively on just that satellite connection.

“It really fits well into our foundation,” Nitel Chief Product Officer Mike Frane told SDxCentral in an interview on the satellite integration. “The core of Nitel is the access and the aggregation and they use it a lot in their SD-WAN and their SASE deployments as they get high resiliency and high reliability out of the network.”

Nitel remains a smaller player in the robust SD-WAN space.

Dell’Oro Group recently reported that SD-WAN segment revenues surpassed $3 billion last year, which was a 28% increase compared with 2022. However, that seemingly robust growth was down from the previous six years when the market was growing at more than 30% per year.

IDC predicts the SD-WAN market will increase at a 10% CAGR through 2027, hitting $7.5 billion in revenues. The research firm ranked Cisco, Hewlett Packard Enterprise (HPE)-Aruba, Fortinet, VMware and Palo Alto Networks among segment leaders last year.