Volex buys active optical technology from Applied Micro Circuits

published 15 January 2013

Volex has acquired active optical technology from Applied Micro Circuits Corporation for 2 million dollars, the company announced Tuesday.

Volex - a provider of electrical, digital and optical connections - said Applied Micro agreed to a five-year non-compete for the marketing and sale of active optical cables, transceivers, modules and related assemblies.

They will share ownership of the associated active optical patent portfolio, allowing each company to develop the technologies.

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Applied Micro - which focuses in computing and connectivity solutions - has been developing the technology for three years. The company said it had to overcome the cost and complexity of the project.

George Jones, Vice President of marketing and business development for connectivity solutions at AppliedMicro, said: "We chose Volex to take the platform forward due to its strong focus on the active optical cable space and extensive customer relationships in data-centre markets.

"We look forward to working with Volex as it accelerates and furthers the development of the technology and manufacturing of an innovative product set to complement our own initiatives in semiconductor technology and networking."

The transaction will help Volex enter into the emerging multi-billion dollar optical interconnect market for high-speed data applications in data centres, telecommunications, healthcare, consumer and industrial markets.

Volex Chief Executive Officer, Ray Walsh, said: "Our data-centre and telecommunications customers have been asking for a cost-effective high speed optical solution to replace legacy copper interconnects.

"The technology and expertise we have acquired from Applied Micro will provide Volex with a unique platform to develop and deliver reliable, low-power, competitive active optical solutions, including active optical cables and transceivers, into all of our sectors.

"The joint ownership of the patent portfolio will provide a foundation for a continuing close cooperation with Applied Micro in product development, sales and marketing activities."