California-based technology company JDSU (TSX:JDU; NASDAQ: JDSU) has acquired Vancouver-based Dyaptive Systems, JDSU announced this morning.
Dyaptive provides capacity tests for 2G, 3G and 4G wireless networks. The company’s technology emulates high-bandwidth applications, such as streaming video across multiple wireless devices, to ensure quality performance for service providers and their customers.
Terms of the agreement have not been disclosed, however JDSU said it plans to retain Dyaptive’s approximately 40 employees and its Vancouver offices.
Reached this morning, Dyaptive president and CEO Joe Sutherland told Business in Vancouver that the deal has key benefits for the Vancouver company.
“Dyaptive had a very innovative set of products, but we really didn’t have market reach, and our customers are spread all over the world,” he said.
“There’s probably only 1% or 2% of our market in Canada. So JDSU has worldwide reach and they’re interested in moving into the wireless test business, which is a business that we kind of pioneered and they have the market reach that we don’t, so it’s kind of a 2+2=6 equation.”
He added that he expects the acquisition will spur further growth in Dyaptive’s Vancouver operations.
“[JDSU is] very interested in investing heavily in the development group here,” he said. “Our company is composed of 95% engineering talent, so that’s going to grow significantly.”
“Dyaptive’s portfolio complements JDSU’s expansive set of wireless test tools, software and services, extending from the lab to the field and all the way to the end user experience,” said David Heard, president of JDSU’s communications test and measurement business segment.
“JDSU’s focus on mobile service assurance is a key element of our growth strategy as dependence on wireless devices at home, work and play continues to explode worldwide.”
Jenny Wagler
@JennyWagler_BIV