June 26, 2019
Q&A on Aviat’s Deal to Become Exclusive Distributor for NEC Microwave and Millimeter Wave in North America
Earlier this month, Aviat announced that they will now be the exclusive distributor of microwave radio for NEC in North America. Aviat is hopeful for the success of this agreement with NEC and looks forward to expanding their suite of services and offerings.
Many have had questions about what this agreement means for NEC and Aviat moving forward. Read through the questions and answers below to learn how this agreement will impact the future of microwave radio backhaul solutions in the US.
Q: Why did Aviat make this deal with NEC?
A: For Aviat, this deal represents an incremental revenue opportunity for more products and services to more customers. Aviat has excellent service and support capabilities and this is an opportunity for NEC to leverage the economics of that infrastructure and optimize its cost base for supporting their microwave specific business. NEC has an established and loyal base of customers for its products and Aviat will continue to supply the NEC products to them. We believe this agreement is a win-win for both companies.
Q: Does this deal involve NEC partners (i.e., resellers, etc.) that are not existing Aviat partners but become Aviat partners as a result of this deal?
A: Aviat will become the exclusive distributor for NEC microwave radio in North America. There are some NEC VARs that will be supported by Aviat for products, services, and support. If you are an NEC VAR, please contact Aviat.
Q: Does this deal include any NEC products that are not microwave backhaul products?
A: This agreement deals with microwave and millimeter wave products only.
Q: What market verticals does this deal target?
A: This agreement is aimed at the NEC established customer base for all verticals in North America.
Q: Will this deal result in new customers for Aviat?
A: There are a fairly large number of customers with NEC installed in the USA and Canada, the majority of which are not Aviat customers today.
Q: What products will Aviat be focused on selling now?
A: Aviat’s portfolio and roadmap will continue to be our primary offering. While the NEC product will be primarily focused on the existing NEC customer base, there could be some new customers for NEC products based on the strength of Aviat’s sales channel in North America.
Q: Is Aviat selling any other vendor’s microwave backhaul products or just NECs?
A: Aviat has a history of partnering where it makes sense to augment our portfolio and have done so with a number of products over time. We may also from time to time incorporate partner products into turnkey network designs. NEC and Aviat will continue to look for mutually beneficial business opportunities that may in the future include resale of either party’s products by the other.
Q: What should NEC customers do now?
A: NEC customers should contact Aviat, or their existing NEC VAR, for their future NEC product needs.