Intel Pursues Convergence

On the heels of last week’s acquisition of communications software maker Trillium Digital Systems, Intel Corp. Thursday made further inroads into the voice sector, acquiring DataKinetics Ltd., supplier of Signaling System 7 hardware and software.

Intel said it would pay cash for the privately-held British company. Financial terms were not disclosed. The transaction is expected to close in the third quarter.

SS7 protocols are used to control telephone networks and provide advanced functions like wireless Internet capability and linking IP and telephone networks. SS7 also enables features like caller ID, automatic recall and call forwarding. It is the most broadly deployed signaling technology in voice and wireless cellular networks.

Intel said the acquisition will expand its telecommunications and networking customers’ ability to create new voice-based Internet and e-commerce applications and services. It plans to use DataKinetics’ SS7 capabilities in combination with next generation signaling protocols like the Media Gateway Control Protocol (MGCP), Megaco, Simple Internet Protocol (SIP) and H.323 to form the heart of next generation converged voice and data networks.

DataKinetics has a range of OEM products, from EI / TI / V35 multi-protocol cards to SS7/IP signaling servers. It also has a turnkey product market where it works with individual organizations to provide ready-to-run solutions to overcome particular challenges in signaling networks. Its customers include manufacturers and developers of telecomm systems and applications, systems integrators, OEMs and value-added resellers developing solutions in markets such as computer telephony, network infrastructure and enhanced service solutions in fixed and wireless networks.

Intel had a close relationship with DataKinetics going into the deal. Intel’s Dialogic Corp. subsidiary is DataKinetics’ OEM product distributor and has been the largest reseller of DataKinetics hardware and software products.

“DataKintetics’ comprehensive SS7 product line and outstanding engineering team will help our customers quickly and cost-effectively deploy next generation communications services,” said Howard Bubb, president of Dialogic and vice president, Intel Communications Products Group. “These services will combine voice and data communications in areas such as network-based customer contact centers, Internet-based unified messaging, voice portals and voice-enabled e-commerce.”

Bubb said the combination of Trillium Digital Systems’ communications software and DataKinetics’ software and hardware will help reduce Intel’s development costs and time-to-market for customers.

DataKinetics will become part of Intel’s communications products group.

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