What's Happening?
Harmonic has secured a larger role in Charter Communications' network upgrade, focusing on the implementation of DOCSIS 4.0 technology. This expansion involves Harmonic's virtual cable modem termination
system (vCMTS) and its 'cOS' platform, which will be used across Charter's broadband customer base. The upgrade includes the deployment of Pebble-2 remote PHY devices and a distributed access architecture (DAA) to enhance network capacity. Harmonic's involvement is part of Charter's broader plan to upgrade its hybrid fiber/coax (HFC) network, with 35% of the network set for a full DOCSIS 4.0 upgrade. The company anticipates growth in its broadband and video business segments, supported by partnerships like the one with Akamai for cloud-based services.
Why It's Important?
The expansion of Harmonic's role in Charter's network upgrade is significant for the U.S. telecommunications industry as it highlights the ongoing shift towards more advanced broadband technologies. The adoption of DOCSIS 4.0 is expected to enhance internet speeds and network efficiency, benefiting consumers and businesses alike. For Harmonic, this partnership represents a substantial business opportunity, potentially increasing its revenue share from Charter. As cable operators continue to invest in network upgrades, companies like Harmonic stand to gain from the increased demand for advanced telecommunications infrastructure.
What's Next?
Harmonic is expected to continue its collaboration with Charter, potentially expanding its role in future network enhancements beyond DOCSIS 4.0. The company is also exploring opportunities for growth in its fiber network deployments, as evidenced by its recent partnership with Comcast. As the telecommunications industry evolves, Harmonic may pursue acquisitions to strengthen its market position and technological capabilities.
