NFV Management & Orchestration NEWS

JDSU Splits into Lumentum and Viavi

By Paula Bernier August 05, 2015

Optical test and measurement powerhouse JDSU has made good on its plans to divide into two separately publicly traded companies. The split happened earlier this week.

The company and name JDSU is no more. Instead, coexisting at the former JDSU headquarters in Milpitas, California, are two newly named companies: Lumentum Holdings Inc. and Viavi Solutions.

Lumentum takes over JDSU’s former fiber optics components business. At the helm of the effort is Alan Lowe, who has long been the leader of this business. Some reports indicate Lumentum is a likely acquisition target.

Viavi Solutions is a combination of the former JDSU’s test and measurement, and optical security and performance businesses. Thomas Waechter, who had headed up this business under JDSU, is president and CEO of Viavi Solutions. This is expected to be the more dynamic of the two new organizations, and one that is working to address new opportunities relative to enterprise and carrier data centers, as well as network functions virtualization and software-defined networking.

In fact, in December of last year, JDSU introduced a virtualization solution called TrueSpeed VNF. It’s software that can be deployed anywhere in the network to help service providers resolve customer complaints related to network performance.

“Virtualized and software-defined networks are transforming the communications industry as new building blocks that help keep pace with technology change, unpredictable data traffic, cloud, Web 2.0 and more − it’s vital that test be virtualized, too,” said Sue Spradley, a senior vice president and general manager at JDSU at the time.

Image via Shutterstock

JDSU in September of last year announced plans to split into two, saying the move would allow for greater flexibility in addressing the rapidly changing telecom and cloud network markets.

Whether or not that will be the correct decision for JDSU, and now Lumentum and Viavi, specifically remains to be seen, of course. But there is most certainly no doubt that the cloud and telecom markets are changing rapidly, given the strong uptake of on-demand business models and services, and the move by both new generation and traditional communications services providers to more agile, software-centric networks.

Edited by Dominick Sorrentino

Executive Editor, TMC

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