Company shares Infinera (INFN), a fiber optic equipment manufacturer, gained this week thanks to the news that it signed a contract with Japanese telecommunications company Hokkaido Telecommunications Network Co., Ltd. (HOTnet).
Infinera Corporation (INFN) shares fell -1.39% to close Tuesday’s session at $9.23. There were 1.99 million shares traded, higher than the daily average of 1.86 thousand shares within the past 50 days. In the past week, INFN shares rose 6.34%, a move of 99.35% over the past 12 months. The stock lost -2.33% in the past three months, but it has risen 17.73% over the past six months. In addition, the company has a current market value of $1.89 billion and 202.64 million outstanding shares.
A new fiber-optic network (FOCL) will be deployed by HOTnet using Infinera software. Connecting the major cities of Hokkaido, HOTnet provides communications for households and businesses, such as Internet access, cloud computing, data center services, and video streaming.
New networks will rely on Infinera GX-series modular platforms. Compared to traditional communication devices, these are compact and power-efficient. HOTnet evaluated Infinera solutions because they could rapidly recover traffic after multiple failures and reduce costs in long-distance optical networks.
Infinera Corp. (INFN) is part of companies benefiting from the global economic transformation facilitated by digital technology. HOTnet’s contract with Infinera shows the need for solutions to integrate new services and modernize old communications if needed. Infinera uses an open network concept that utilizes the separation of functions. It is particularly possible to upgrade optical transceivers to newer ones without having to change other network components. The market for IT services is rapidly evolving today, and this meets those needs.