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Amplifier Firm To Split From Lucent.(INTERNET & TECHNOLOGY)
Byline: Mike Angell
Following up on its pledge to become leaner, telecom gear maker Lucent Technologies Inc. will spin off into a separate company a unit that builds a key component of its wireless networks.
The company plans to sell wireless gear to other wireless network gear makers.
The new company, Celiant Corp., makes power amplifiers. These suitcase-sized boxes of circuitry aim to boost the power and clarity of wireless calls.
"The trend is towards more outsourcing of radio frequency and other wireless components," said Celiant Chief Executive Ralph Faison. "There's sizable opportunities in this market."
About half of Celiant's 300 employees are scientists and engineers from Lucent. The company's product manufacturing is done by outside contractor Celestica Inc.
Lucent, though its investment unit New Ventures Group, owns most of Celiant. Venture firm Pequot Capital took a $50 million stake. Celiant has no plans yet to go public.
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