Wednesday, 05 September 2018 12:43

Ericsson seals deal to take over Cenx

Ericsson seals deal to take over Cenx Image courtesy of Stuart Miles at

Swedish multinational telecommunications giant Ericsson has sealed an agreement to acquire 100% of the shares in US-based service assurance technology company Cenx.

Ericsson (NASDAQ:ERIC), which has held a minority stake in Cenx since 2012, says Cenx’s cloud-native service assurance and automation capability strengthens its position as a “leading player in the OSS and Managed Services markets”.

CENX was founded in 2009 and is headquartered in Jersey City, New Jersey.

“Ericsson has a market leading position in NFV and orchestration. This capability will be further enhanced with Cenx’s closed-loop automation and service assurance capabilities,” Ericsson said in a statement announcing the acquisition.

“To unleash the potential of 5G, telecom operators need to leverage network virtualisation and orchestrate and automate network slices to serve the needs of enterprise customers towards their digital transformation – all while reducing operational costs.

Mats Karlsson, head of Solution Area OSS, Ericsson, says: "Dynamic orchestration is crucial in 5G-ready virtualised networks. By bringing Cenx into Ericsson, we can continue to build upon the strong competitive advantage we have started as partners. I look forward to meeting and welcoming our new colleagues into Ericsson.”

Karlsson  said closed-loop automation ensured Ericsson could offer its service provider customers an orchestration solution that is optimised for 5G use cases like network slicing, taking full advantage of Ericsson’s distributed cloud offering.

Ericsson says global sales and delivery presence — along with its strong R&D — will also create economies of scale in the Cenx portfolio and help the company to offer in-house solutions for OSS automation and assurance.

Cenx chief executive Ed Kennedy says: “Ericsson has been a great partner, and for us to take the step to fully join Ericsson gives us the best possible worldwide platform to realise Cenx’s ultimate goal – autonomous networking for all. Our closed-loop service assurance automation capability complements Ericsson’s existing portfolio very well. We look forward to seeing our joint capability add great value to the transformation of both Ericsson and its customers.”

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Peter Dinham

Peter Dinham - retired in 2020. He is a veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).

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