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December 04, 2007

NexTone and Reef Point Merge to Form NextPoint Networks

By Susan J. Campbell, TMCnet Contributing Editor

NexTone (News - Alert) Communications, Inc. a software-centric session border controller and session management provider, and Reef Point Systems, Inc., a mobile access universal convergence gateway provider, have announced they will merge to form NextPoint Networks, Inc.




This merger is being touted as creating the world’s first fully integrated fixed-mobile connectivity platform. The combined company is expected to bring mobile and fixed-network operators around the world the ability to quickly, securely and profitably deliver voice, data and video services over all-IP networks.

One Equity Partners will lead a $20 million round of funding for the new company. This private arm of JP Morgan (News - Alert) Chase will be joined by American Capital, Core Capital Partners, Jerusalem Venture Partners, Safeguard Scientifics and Summerhill Venture Partners.

"As the first company in the world to offer a complete range of intelligent, secure and high-scale fixed and mobile IP connectivity solutions, NextPoint unlocks enormous value for operators, service providers and large enterprises around the world," said David Walsh, Chairman of NextPoint, in a Tuesday statement.

Walsh continued: "With the proven leadership of our CEO, Woody Ritchey (News - Alert), the talented and experienced teams from both companies, and technology that is unmatched in the marketplace, we look forward to an exciting period of accelerated growth."

The combined company plans to build on the strength of NexTone’s established global footprint as a provider of software-centric session border controller and session management technologies, while also incorporating Reef Point’s unparalleled mobile access capabilities.

NextPoint will work with its established and growing partner base, while also continuing to serve fixed, mobile and FMC operators around the world. NexTone and Reef Point currently support a growing footprint of more than 550 wholesale carriers and service providers, in addition to a number of large, global enterprises. 

Woody Ritchey of Reef Point has been names Chief Executive Officer of NextPoint. For the past eighteen months, Ritchey has led Reef Point into successful trials and deployments with tier-one mobile operators around the world.

"This is a very exciting day for the customers, partners and employees of this new organization, which combines the strengths and accomplishments of NexTone and Reef Point," said Ritchey, in a Tuesday statement.

Ritchey added: "With the introduction of our Integrated Border Gateway (News - Alert) (IBG) earlier this year, which brings NexTone's intelligent session border control product together with Reef Point's high-scale, multi-protocol Security Gateway, we are proud to bring significant efficiencies to the architects and operators of fixed, mobile and converged networks as one, global company."

"Through this combination, NextPoint brings together fixed and mobile networks securely and intelligently, with interoperability and integration considerations built in," said Tom Jasny, Vice President of Wireless Systems and Broadband for Samsung (News - Alert) Telecommunications America, in Tuesday’s statement.

"Working with the team at NextPoint, we will be able to bring an even broader set of partnered capabilities to operators and service providers who look to Samsung for leading edge FMC network solutions," Jasny concluded.

According to Malcolm Wardlaw, Director, Converged Services, Intelligence and Applications, BT, the integration of session border controllers for fixed and mobile networks with a security gateway enabled by this merger will create a powerful product family for next generation networks.

"The increasing demand for secured IP-based mobility services in a multi-access environment is creating a need for a new category of equipment called the multi-access convergence gateways that provides intelligent interaction with subscribers, services, and transport mechanisms," said Stephane Teral, Principal Analyst, Service Provider
VoIP, IMS & FMC, Infonetics Research, in Tuesday’s statement.

Teral went on: "This new network element collapses session border controller and security gateways along with other existing packet-based products for mobile networks into one single platform that optimizes any type of FMC architecture. The combination of NexTone and Reef Point into a single company is good news for the industry and an example of this fundamental shift toward multi-access convergence gateways."

NexTone and Reef Point are most certainly coming together at an optimal point in time to maximize on the strengths of each company as opportunities are increasing in the IP-based mobility market. By merging the portfolios, partners and customers of each company, the new NextPoint will emerge as a stronger, more formidable player in the industry.

In doing so, all parties are expected to benefit. Not only will the new company be able to offer solutions not previously available, it will also have access to new clients and partners, thus strengthening its market options and delivering more value. Such a combination is sure to produce profitable results.
   

Want to learn more about the topic covered in this article? Check out TMCnet’s White Paper Library, a collection of in-depth information on relevant topics affecting the IP communications industry. This information is free to registered users.

 
Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com.

(source: http://internetcommunications.tmcnet.com/topics/broadband-mobile/articles/15774-nextone-reef-point-merge-form-nextpoint-networks.htm)

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