Transaction expands the strategic partnership between both companies and enables DZS to focus on its category-defining Broadband Networking, Connectivity and Cloud Edge portfolio

DALLAS and IRVINE, Calif., Oct. 17, 2024 /PRNewswire/ -- DZS (OTC: DZSI), a global leader of Networking, Connectivity and Cloud Edge software solutions and AXON Networks (AXON), a global leader of advanced Service  Management and Orchestration solutions, today announced the acquisition of DZS' Service Assurance and WiFi Management software portfolio by AXON Networks. The all-cash, $34 million transaction transfers all CloudCheck, Expresse and TruSpeed assets and IP patents to AXON, along with a highly skilled development team and long-time marquee customers. These products will be integrated into AXON's Network-as-a-Service (NaaS) portfolio, while DZS will focus its development and go-to-market strategy on its Networking, Connectivity and Cloud Edge portfolio. Today's transaction also represents an expansion of the strategic partnership between the two companies, enabling cross-selling opportunities.

The Service Assurance and WiFi Management solutions included in the transaction adds to AXON's growing Software Defined Networking portfolio, enabling the company to deliver a comprehensive NaaS platform to the service providers and optimize the overall quality of experience for its customers.

"We have been working with AXON for the past two years on a variety of technology advancements spanning SDN and network edge-to-home broadband solutions," said Charlie Vogt, President and CEO, DZS. "We acquired Expresse and CloudCheck from ASSIA in 2022 to accelerate the market adoption for our networking and connectivity products through cross-selling and sales synergies, which we have achieved. The enhanced partnership and sale of our Service Assurance and WiFi Management software business will enable us to continue investing and differentiating our Networking, Connectivity and Cloud Edge solutions. AXON Networks is well-positioned to accelerate the next phase of innovation of Expresse, CloudCheck, and TruSpeed within their strong portfolio of software solutions."

"AXON Networks is at the forefront of the telecommunications industry, driving a level of innovation that delivers unmatched network management and orchestration solutions for service providers across the globe," said Martin Manniche, Founder and CEO of AXON Networks. "The transfer of DZS' Service Assurance and WiFi Management software to the AXON portfolio and the addition of new engineers from the acquisition creates a combined development team that will be one of the largest and strongest of its kind. Expresse and CloudCheck engineers and customers joining AXON can rest assured that we will continue to invest in this solution portfolio, and we look forward to creating tremendous value for all our customers, employees and investors as we go forward, enabling us to continue to offer new solutions and expand both our capabilities and our global footprint."