Glenayre, CNET unite as wireless force

Glenayre Technologies and CNET announced last week that they would merge their operations in an attempt to provide wireless network operators with access to a full suite of operations platforms.

Dallas-based CNET, a developer of operations support systems, network management platforms and RF planning software, will become a division of Glenayre and will retain its name and management. Both CNET and Glenayre, which develops voice processing systems and other software platforms for wireless and wireline carriers, see the two companies' lines as a natural fit.

"On both sides of the fence there's a very complementary set of product offerings," said Greg Oslan, president of CNET.

For CNET, the merger will primarily expand the exposure of the company's systems to broader market segments.

"They bring us new distribution, a very strong financial base, technical knowledge and the opportunity to get into their international customer base," Oslan said. "We bring them our worldwide base of cellular customers, our OSS platform and our knowledge of technology and RF engineering."

The two companies already share several common customers in the two-way paging and PCS arenas, Oslan said.

CNET was attractive to Glenayre primarily for its Wireless Network Graphics System, a wireless network design tool, and its Basic Operations System for network management, said Ken Thompson, executive vice president at Glenayre.

"We view them as an adjunct in the cellular and broadband PCS areas," Thompson said.

CNET's goal has been to offer carriers integrated OSS platforms that incorporate all the functions required to develop networks and implement wireless service, including planning, engineering, marketing and customer service and planning, said Oslan.

Glenayre, which last year acquired microwave radio equipment manufacturer Western Multiplex, has sought opportunities to enhance what it already has while moving in new directions, Thompson said.

"We identify areas that are tangential to our business but also offer us an opportunity to expand into new areas," he said.

Mergers and acquisitions are the most logical way to achieve that goal because they eliminate the time-to-market lag that would accompany developing new capabilities from the ground up, he said.