Samsung Electronics Co. has acquired U.S. network services provider TeleWorld Solutions (TWS) to ensure its lead in North America’s telecom equipment market amid the migration to 5G network.
The South Korean tech giant said Tuesday it signed an agreement to acquire the Virginia-based telecommunication company. Financial terms of the deal were not disclosed.
TWS, a privately owned company, will go under Samsung Electronics America as a wholly-owned entity but will be independently managed, according to Samsung.
“The acquisition of TWS will enable us to meet mobile carriers’ growing needs for improving their 4G and 5G networks, and eventually create new opportunities to enhance our service capabilities to our customers,” Paul Kyungwhoon Cheun, executive vice president and head of networks business at Samsung Electronics, said in a statement.
“Everyone at TeleWorld Solutions is excited to be part of the Samsung family,” said Shervin Gerami, chief executive of TWS. “The advent of 5G and the amount of new spectrum coming into the U.S. market requires scale and innovation for the next generation of wireless technologies. Joining forces with Samsung will accelerate innovation to help our customers fulfill their needs for network strategy, deployment, and automation.”
This is Samsung Electronics’ second buyout of a network industry player. In October 2018, it acquired Zhilabs, a network data analysis firm based in Barcelona.
Founded in 2002, TWS delivers consulting, design, deployment, testing, optimization, automation, and software development services to mobile service and cable operators, equipment OEMs and other companies in the U.S. Its core competencies in automated verification of field data-based network analysis are expected to help save 50 to 90 percent of the time spent on finding optimal base station locations, extracting sources of interference in radio signals, and designing base station cells, according to Samsung Electronics.
By Lee Seung-yoon and Kim Hyo-jin
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