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Ribbon's (RBBN) SBC SWe Platform Enhances Claro Brasil Network

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Zacks Equity Research
·3 min read
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Ribbon Communications Inc. RBBN recently announced that it has been tapped by a telecommunications company — Claro Brasil — to deploy its much-acclaimed SBC Software Edition (SBC SWe) solution across the latter’s network. Markedly, the innovative software will aid the telco with call security for its extensive Voice over IP network while augmenting its network infrastructure.

The communications solution, which is available in Amazon.com, Inc.'s AMZN online software store — AWS Marketplace — is the industry’s sole software-based cloud native application that ensures real-time communications with utmost resiliency. It is worth mentioning that the latest collaboration will not only reinforce the long-standing relationship between both the companies but also reinforce Claro Brasil’s network investments with secure communications.

Based in Sao Paulo, Brazil, Claro Brasil is a mobile, satellite-television and broadband telco operator that was formed by the amalgamation of six regional operators. As a subsidiary of Mexico-based telco giant, America Movil, the Claro brand has been implemented in 16 Latin American countries. Some of them are Colombia, Peru, Argentina, Costa Rica, Puerto Rico and Chile. Notably, the installation of Ribbon’s SBC SWe software will support nearly 60 million subscribers of the Brazilian operator with best-in-class communications capabilities.

Ribbon primarily focuses on leveraging reliable and secure connectivity. The SBC platform is considered as the perfect solution to tap the benefits of real-time communications without compromising on scale or performance. The SBC solution, which operates in the multi-vendor network environment, has a plethora of variants, one of them being the SBC SWe solution. Equipped with microservices architecture, the SBC SWe is a robust platform that enables customers to foray into new markets while driving revenues with unified communications services.

Moreover, the solution will help Claro Brasil to avail the perks of secure real-time communications on any private or public cloud environment with minimum capital expenditure. Apart from AWS, it is deployable on Microsoft Corporation MSFT and Alphabet Inc.'s GOOG cloud computing platforms. With robust interworking for multiple signaling protocols, the SBC SWe offers call admission control to manage traffic levels and allocates virtual cloud resources on demand with greater flexibility. Driven by these robust features, the deployment will allow Claro Brasil to expand its Session Initiation Protocol services across Brazil for a better network infrastructure.

Ribbon remains focused on delivering real-time and secure data and voice network capabilities for the cloud, network and enterprise edge. The communications services developer intends to augment its scale, total addressable market and global footprint in service provider networks, enterprises and critical infrastructure companies. This will help the company to expand its relationships with fixed and mobile service providers, while enabling it to capitalize on high-growth 5G market for lucrative cash flow.

The stock is currently trading with a forward P/E of 13.9X. Shares of the Zacks Rank #3 (Hold) company have soared 104.1% compared with the industry’s growth of 42.3% in the past year. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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