UPDATED 14:41 EST / JANUARY 13 2020

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Samsung acquires network services firm TeleWorld to advance 5G plans

Samsung Electronics Co. Ltd. today said that it has acquired networking consultancy TeleWorld Solutions Inc. to boost its budding 5G business.

Samsung is the world’s largest manufacturer of both consumer electronics and semiconductors, but those are not the only markets in which it operates. The company also has a well-established networking business that among other things makes 5G equipment for wireless carriers. Samsung sells antenna, radio units, software for managing telecommunications infrastructure and other solutions.

Samsung’s networking unit developed some of the earliest working implementations of the 5G standard. The group created the first adaptive array transceiver with the ability to operate in the millimeter-wave spectrum brand. 

Projects that involve deploying complex technology on a large scale, such as a 5G equipment deal with a carrier, usually have a strong consulting element. The acquisition of TeleWorld will strengthen Samsung’s capabilities in this area.

Chantilly, Virginia-based TeleWorld helps companies such as carriers design 5G networks, install them, run tests and handle practical tasks such as renting space on rooftops for antenna. The company’s expertise also extends to adjacent areas such as satellite communications. A case study on TeleWorld’s website details that it worked with satellite operator Ligado Networks LLC to develop an Amazon Web Services-based system for streaming weather data collected from space.

“The acquisition of TWS [TeleWorld Solutions] will enable us to meet mobile carriers’ growing needs for improving their 4G and 5G networks, and eventually create new opportunities to enhance our service capabilities to our customers,” Paul Kyungwhoon Cheun, the head of Samsung’s Networks Business, said in a statement.

The deal also advances Samsung’s longer-term objectives for the division. The company’s third-quarter earnings report, released in October, described the Networks Business as an “active player in expanding South Korea’s 5G coverage” and added that the group will “further its efforts to expand its 5G business globally including the United States and Japan” going forward. Absorbing Virginia-based TeleWorld gives Samsung another beachhead in the U.S. carrier market from which to pursue expansion opportunities.

The consulting firm has relationships with a number of  industry players that have the potential to become customers of Samsung’s 5G gear. In addition to Ligado Networks, TeleWorld’s site lists AT&T Inc., Altice USA Inc. and California carrier Boingo Wireless Inc. as clients.

TeleWorld will continue to operate under the current leadership in the wake of the acquisition as a Samsung subsidiary. The deal’s financial terms were not disclosed. 

Photo: Samsung

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