|Traded as|| NYSE: CIEN |
S&P 400 Component
(President and CEO)
|Products||Networking systems and products|
|Revenue||$3.10 billion USD (2018)|
|$1.26 billion USD|
Number of employees
Ciena Corporation is a United States-based global supplier of telecommunications networking equipment, software, and services. The company was founded in 1992and is headquartered in Hanover, Maryland.
A telecommunications network is a collection of terminal nodes in which links are connected so as to enable telecommunication between the terminals. The transmission links connect the nodes together. The nodes use circuit switching, message switching or packet switching to pass the signal through the correct links and nodes to reach the correct destination terminal. Each terminal in the network usually has a unique address so messages or connections can be routed to the correct recipients. The collection of addresses in the network is called the address space. Examples of telecommunications networks include:
Hanover is an unincorporated community in the Baltimore/Annapolis area in northwestern Anne Arundel County and eastern Howard County in the U.S. state of Maryland, located south of Baltimore.
Ciena was founded in 1992 by David Huber and Kevin Kimberlin.In 1994, Dallas, Texas-based venture capital firm Sevin Rosen invested $3.3 million in Ciena's Series A Venture financing.
Sevin Rosen Funds (SRF) is a venture capital firm that was established in 1980 by L. J. Sevin and Ben Rosen. SRF was involved in the financing of Citrix, Cypress Semiconductor, Electronic Arts, Lotus Development Corporation, Silicon Graphics, and Vitesse Semiconductor. SRF's first major success was its 1982 investment in Compaq which went public shortly thereafter.
In late 1994, during the transition of the first high-speed optical backbone from public sector control of the National Science Foundation to private companies, Ciena began working with Sprint – an earlier carrier of Internet traffic – to develop "high-capacity fiber optic transmission systems called dense wave division multiplexing (DWDM)".The outcome of their effort was the first commercial dense wave division multiplexing system. With it, the capacity increased "Sprint's nationwide, all-digital fiber-optic network by a stunning 1,600 percent." Sprint therefore became the world's largest carrier of Internet traffic. With success from Sprint and others, Ciena's "first-year sales were the highest ever recorded by a start-up."
In February 1997 Ciena completed the biggest initial public offering of a startup company ever, with a first-day valuation of $3.4 billion.Subsequently, Goldman Sachs, in a research note, commented on the records set by Ciena: "1) steepest revenue ramp for any company in history, 2) most profitable company ever in its first year of product shipments, and 3) largest market capitalization of any new IPO." By 2001, Ciena had achieved annual revenues of $1.6 billion and a market capitalization of nearly $30 billion.
Despite setbacks along the way, Ciena continued to grow over the next few years, by both introducing new products and by acquiring companies such as Lightera (optical switches) and Omnia (local access equipment).
In 2000, Ciena announced the MultiWave Metro optical transport solution[ buzzword ], which allowed metropolitan area networks to deliver particular frequencies to individual customer premises. By June 2000, Ciena's stock had soared to $120 per share, giving it a market capitalization exceeding $30 billion. Sales of the company's new line of products prompted the investor optimism, though some analysts were beginning to wonder whether the U.S. fiber optic network had been overbuilt. The customer list continued to grow as it approached 50 names.
During 2001, the telecommunications market went through a severe downturn, and the segment that included Ciena's optical networking equipment fell by nearly 2/3 to $9.1 billion and in 2002, Ciena's revenues had declined 80% to $361 million.To address the firm's challenges, Gary Smith, previously president and head of sales, was named CEO in May 2001, and Patrick Nettles, CEO since 1994, became executive chairman.
Gary B. Smith is a British-American executive, currently serving as the Chief Executive Officer of Ciena, an American telecommunications networking multinational.
Over the next few years, Ciena re-grouped by expanding its product portfolio to include a broader range of advanced networking solutions[ buzzword ], including optical switching, new generation hybrid gear and Ethernet technologies.
Ciena accomplished its diversification effort with internal development as well as a series of acquisitions and strategic partnerships. By 2004 Ciena had purchased a total of 11 firms (half prior to the downturn) with an aggregate value of over $3.3 billion. [ buzzword ] as well as compete for new customers in additional segments and regions.With a broader range of offerings, Ciena was able both to offer its existing customers a wider range of solutions
On May 5, 2015, Ciena announced the acquisition of Cyan, Inc. – an American telecommunications company headquartered in Petaluma, California – in a cash and stock transaction valued at approximately $400 million.
|Company acquired||Closed date||Approximate value|
|DonRiver||Oct 1, 2018|
|Packet Design||Jul 2, 2018|
|TeraXion||Feb 1, 2016||32|
|Cyan||Aug 3, 2015||400|
|Nortel Metro Ethernet Networks||Mar 19, 2010||774|
|World Wide Packets||Mar 3, 2008||296|
|Internet Photonics||May 3, 2004||100|
|Catena Networks||May 3, 2004||314|
|Akara||Sep 3, 2003||46|
|WaveSmith Networks||June 13, 2003||178|
|ONI Systems||June 21, 2002||398|
|Cyras||Mar 29, 2001||1,100|
|Omnia Communications||July 1, 1999||474|
|Lightera Networks||Mar 31, 1999||464|
|Terabit||Apr 22, 1998||12|
|Alta Telecom||Feb 19, 1998||52|
|AstraCom||Dec 17, 1997||13|
In 2018, Ericsson, Telstra and Ciena demonstrated a record 400 gigabit/s transmission in Australia, enabling the equivalent of 1.2 million 4K ultra-high definition videos to be streamed simultaneously.
In 2019, Ciena had 1500 clients worldwide, including 85% of the world’s largest telecom service providers. The firm was ranked the leading optical networking innovator and supplier and the number one vendor of optical systems in the world.
In fiber-optic communication, a single-mode optical fiber (SMF) is an optical fiber designed to carry light only directly down the fiber - the transverse mode. Modes are the possible solutions of the Helmholtz equation for waves, which is obtained by combining Maxwell's equations and the boundary conditions. These modes define the way the wave travels through space, i.e. how the wave is distributed in space. Waves can have the same mode but have different frequencies. This is the case in single-mode fibers, where we can have waves with different frequencies, but of the same mode, which means that they are distributed in space in the same way, and that gives us a single ray of light. Although the ray travels parallel to the length of the fiber, it is often called transverse mode since its electromagnetic oscillations occur perpendicular (transverse) to the length of the fiber. The 2009 Nobel Prize in Physics was awarded to Charles K. Kao for his theoretical work on the single-mode optical fiber.
A metropolitan area network (MAN) is a computer network that interconnects users with computer resources in a geographic region of the size of a metropolitan area. The term MAN is applied to the interconnection of local area networks (LANs) in a city into a single larger network which may then also offer efficient connection to a wide area network. The term is also used to describe the interconnection of several local area networks in a metropolitan area through the use of point-to-point connections between them.
In fiber-optic communications, wavelength-division multiplexing (WDM) is a technology which multiplexes a number of optical carrier signals onto a single optical fiber by using different wavelengths of laser light. This technique enables bidirectional communications over one strand of fiber, as well as multiplication of capacity.
A passive optical network (PON) is a fiber-optic telecommunications technology for delivering broadband network access to end-customers. Its architecture implements a point-to-multipoint topology, in which a single optical fiber serves multiple endpoints by using unpowered (passive) fiber optic splitters to divide the fiber bandwidth between multiple access points. Passive optical networks are often referred to as the "last mile" between an Internet service provider (ISP) and its customers.
Sprint Corporation is an American telecommunications company that provides wireless services and is an internet service provider, based in Overland Park, Kansas. It is the fourth-largest mobile network operator in the United States and serves 54.5 million customers as of March 2019. The company also offers wireless voice, messaging, and broadband services through its various subsidiaries under the Boost Mobile, Virgin Mobile, and Assurance Wireless brands, and wholesale access to its wireless networks to mobile virtual network operators. In July 2013, a majority of the company was purchased by Japanese telecommunications company SoftBank Group Corp., although the remaining shares of the company continue to trade on the New York Stock Exchange. Sprint uses CDMA, EvDO and 4G LTE networks. Sprint is incorporated in Kansas.
ECI Telecom Ltd is an Israel-based manufacturer of telecommunications equipment that provides packet optical transport products, SDN/NFV applications, a cybersecurity solution and a range of professional services.
Fastweb S.p.A. is an Italian telecommunications company that provides landline, broadband Internet and IPTV services. Fastweb is also one of the prominent companies in Italy providing FTTH connections. Fastweb is fully owned by the Swiss telecommunication company Swisscom.
Optical networking is a means of communication that uses signals encoded in light to transmit information in various types of telecommunications networks. These include limited range local-area networks (LAN) or wide-area networks (WAN), which cross metropolitan and regional areas as well as long-distance national, international and transoceanic networks. It is a form of optical communication that relies on optical amplifiers, lasers or LEDs and wave division multiplexing (WDM) to transmit large quantities of data, generally across fiber-optic cables. Because it is capable of achieving extremely high bandwidth, it is an enabling technology for the Internet and telecommunication networks that transmit the vast majority of all human and machine-to-machine information.
Embarq Corporation was the largest independent local exchange carrier in the United States, serving customers in 18 states and providing local, long-distance, high-speed data and wireless services to residential and business customers. It had been formerly the local telephone division (LTD) of Sprint Nextel until 2006, when it was spun off as an independent company. Embarq produced more than $6 billion in revenues annually, and had approximately 18,000 employees.
Broadcom Inc. is an American designer, developer, manufacturer and global supplier of a broad range of semiconductor and infrastructure software products, Broadcom’s product portfolio serves the data center, networking, software, broadband, wireless, and storage and industrial markets.
Reach North Asia Loop (RNAL) is a multi-terabit intra-Asia self-healing submarine telecommunications cable system, connecting the principal cities in Asia.
Kevin Kimberlin is chairman of Spencer Trask & Co. an advanced technology firm. Kimberlin has distinguished himself by partnering with or backing "obsessive missionaries" including Jonas Salk, Walter Gilbert, John Wennberg and Robert Langer.
IP over DWDM (IPoDWDM) is a technology used in telecommunications networks to integrate IP Routers and Switches in the OTN . A true IPoDWDM solution is implemented only when the IP Routers and Switches support ITU-T G.709. In this way IP devices can monitor the optical path and implement the transport functionality as FEC specified by ITU-T G.709/Y.1331 or Super FEC functionality defined in ITU-T G.975.1.
Telecommunications equipment is a hardware which is used for the purposes of telecommunications. Since the 1990s the boundary between telecoms equipment and IT hardware has become blurred as a result of the growth of the internet and its increasing role in the transfer of telecoms data.
An optical mesh network is a type of optical telecommunications network employing wired fiber-optic communication or wireless free-space optical communication in a mesh network architecture.
Sidera Networks is a New York City-based, privately held, United States owned, telecommunications company that provides fiber optic-based network solutions to the carrier, financial services, education, healthcare, government, legal services and media industries. The company was acquired by Lightower Fiber Networks on April 11, 2013.
Lightower Fiber Networks, founded in 2006, was a provider of telecommunications and IT services. It offered cloud computing, colocation hosting, and connectivity.
A super-channel is an evolution in Dense Wavelength Division Multiplexing (DWDM) in which multiple, coherent optical carriers are combined to create a unified channel of a higher data rate, and which is brought into service in a single operational cycle.
Alliance Fiber Optic Products Inc. was set up in 1995 and now is based in Sunnyvale, California. The company engages in fiber optic components and integrated modules for communications equipment.