Last week Sonus Networks (NASDAQ:SONS) made a significant move in its ability to capture share with the opportunities created as communications shifts to IP by announcing its intent to acquire Performance Technologies (OTCQB:PTIX). Given the fact that the industry is still in the very early stages of both the session border controller (SBC) market and diameter signaling, I think the $30 million that Sonus paid for PT is a bargain.
To fully understand the opportunity at hand for Sonus, one needs to understand how legacy networks transition to IP. Legacy communications use a set of signaling protocols called Signaling System Number 7 (SS7) to enable calls to occur over the legacy public switched telephone network (PSTN)....
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|