CommScope acquiring copper and fiber assembly house Cable Exchange

July 12, 2017
CommScope says acquiring the quick-turnaround assembly house will help it better serve multitenant and hyperscale data centers.

CommScope has agreed to acquire Cable Exchange, a privately held supplier of fiber-optic and copper cable assemblies that has manufacturing facilities in Santa Ana, CA and Pineville, NC. Headquartered in Santa Ana, Cable Exchange “manufactures a variety of fiber-optic and copper cables, trunks and related products used in high-capacity data centers and other business enterprise applications,” CommScope explained when announcing the acquisition agreement. “The company specializes in quick-turn delivery of its infrastructure products to customers from its two U.S. manufacturing centers.”

When the acquisition is complete—which CommScope expects to be within 60 days—Cable Exchange’s leadership team and employees will join CommScope, and Cable Exchange will operate as a standalone business within CommScope’s connectivity solutions segment.

CommScope characterized the acquisition as “highly complementary” and said it “will deepen CommScope’s capabilities in supporting the growing market for high-capacity, multi-tenant data centers (MTDCs) and hyperscale data centers operated by the world’s largest technology and retail companies. As more user-driven information and commerce flows through networks, operators are quickly deploying larger and more-complex data centers to support growth in traffic and transactions.”

Echoing statements he made during the company’s most recent earnings call on May 4, CommScope’s president and chief executive officer Eddie Edwards commented, “While the overall business environment remains challenging, we believe Cable Exchange’s leadership in the attractive quick-turn industry will complement our efforts in addressing this important market opportunity. We are pleased to further expand our capabilities in the data center market with Cable Exchange, a trusted and respected provider of critical network infrastructure with strong customer relationships. Further, we believe the people, products and performance of Cable Exchange are a great match for CommScope.”

In an exchange with cablinginstall.com, CommScope added, "Both CommScope and Cable Exchange serve major hyperscale customers. Together, we expect to enhance our service to the data center market [which] has evolved quickly and requires broad capabilities and response times, whether it is in service to smaller, enterprise-owned data centers, the expanding market for outsourced data centers in the form of MTDCs, or in the highly complex, high-scale hyperdata center market. The addition of Cable Exchange will add to CommScope's extensive existing capabilities and expertise in serving data centers, along with relationships in the growing hyperscale market. Quick-turn is an important capability there, and one that Cable Exchange specializes in."

Cable Exchange’s president Joey Hynes commented, “We are thrilled to partner with an industry leader like CommScope. We look forward to building upon our teams’ capabilities to serve the growing data center market.”

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