Networking technology firm Cyan (NYSE: CYNI) today announced a deal with Little Rock, Ark.-based communications provider Windstream for a new 100 Gigabit (G) metro networking infrastructure focused on carrying Ethernet and advanced IP services.
Cyan says the 100G infrastructure will support data center and cloud connectivity, network services, wireless backhaul, and other applications. Windstream will deploy Cyan’s Z-Series packet-optical hardware. The terms and the monetary value of the contract were not announced.
The deal comes at an important time for Cyan, whose stock sunk to an all-time low of $2 in 2014. In mid-day trading today shares were at $2.52, up .04 (2%) on the news. Cyan went public in 2013 but is not yet profitable and posted an $11.7 million in its third quarter, announced in early November. The company recently raised money in a $50M convertible debt and warrants offering to shore up its balance sheet and reassure investors.
Windstream said in a statement that it needed to upgrade the network from 10G to 100G to roll out new enterprise data, cloud, and residential Ethernet services. Cyan has been in Windstream’s network for a while, but it’s been mostly as a niche product used for wireless backhaul. This deal increases Cyan’s presence and pushes it deeper into the core.