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Silicom Achieves Strategic New Design Win: Top-5 Global Telco Selects Silicom Accelerator Cards for its 5G Networks

Silicom, a leading provider of networking and data infrastructure solutions, announced that one of the world’s largest telcos has awarded it a design win for its recently-announced vRAN (Virtual Radio Access Network) FEC Accelerator card, which will be deployed in the telco’s new 5G network Distributed Units (DUs).

For the customer’s initial field deployments, Silicom has already received POs totaling more than $1.5 million for this card, and 2021 revenues from the design win are expected to reach approximately $3 million.

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As part of the deployment process, Silicom will work closely with two of the telco’s DU suppliers, both world-leading server manufacturers. These suppliers are the parties who actually place the POs with Silicom, and as a part of their purchasing process, they will certify the Silicom cards for use in their DUs. This will open the door for sales of the Silicom FEC accelerator card to additional end-users of these manufacturers’ servers and DUs, all of which leverage the ORAN trend supported by the Silicom card.

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“We are excited to achieve this important design win, a clear confirmation of the superiority of our unique expertise in the 5G Distributed Unit (DU) domain,” commented Shaike Orbach, Silicom’s CEO. “With all major mobile players now beginning to scale up their 5G deployments, demand is rising for innovative performance-enhancing concepts and technologies. With strengths in so many aspects of these complex technologies, we are ideally positioned to address the need, and are proposing a broad range of solutions to both operators and infrastructure providers.”

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Mr. Orbach continued, “This design win is a big step forward that will help us take advantage of the mobile opportunity. While this win by itself is only for one item within our 5G portfolio, representing only a small portion of the huge potential our 5G offering has within the mobile market, it demonstrates the unique value that we bring in all of our products for this market – value based on 1) our deep 5G system-level understanding; 2) our high Performance-to-Cost ratio; 3) our extremely close working relationship with Intel, which gives us the quickest possible time-to-market for the most innovative technologies; and, last but not least, 4) the close and intimate relationships we have built with most of the key players in the 5G space. With all these advantages in place, we feel confident that the mobile market in general, and especially the innovative solutions that we offer for ORAN and DU deployments, will become significant future growth drivers for Silicom.”

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