Ribbon Enhances SBC SWe Platform With New Licensing Model



Ribbon Communications Inc. RBBN recently unveiled a “Pay-As-You-Go” licensing model that will be compatible with its Session Border Controller Software edition (SBC SWe). The communications solution, which is available in Amazon.com, Inc.’s AMZN online software store — AWS Marketplace — is the industry’s only software-based cloud native application that ensures real-time communications with utmost resiliency. Markedly, the latest upgrade is expected to address the growing collaboration needs of enterprise customers while simplifying the ordering process in the AWS Marketplace.

Ribbon primarily focuses on leveraging reliable and secure connectivity. The SBC platform is considered as the perfect solution to tap the benefits of real-time communications without compromising on scale or performance. The SBC solution, which operates in the multi-vendor network environment, has a plethora of variants, one of them being the SBC SWe solution. Equipped with microservices architecture, the SBC SWe is a robust platform that enables customers to foray into new markets while driving revenues with unified communications services. Interestingly, the “Pay-As-You-Go” model has been designed to seamlessly support Amazon Chime Voice Connector, an AWS offering.

Last year, Ribbon’s SBC SWe announced its compatibility with Amazon Chime Voice Connector. This fully managed service provides global calling service on the back of a “Pay-As-You-Go” pricing model with no upfront fees. Notably, the new licensing model necessitates the purchase of Amazon Chime Voice Connector. This attractive offering also enables organizations to buy the SBC SWe solution in AWS Marketplace at affordable rates. Apart from streamlining the purchasing decisions, the service can be used to support various SBC use cases. The offering comes as a boon to enterprise customers with advanced collaboration capabilities. The licensing model will be made available through Ribbon channel partners, including Eastwind Communications — a leading provider of SBC and policy solutions.

Ribbon and Amazon’s relationship dates back to 2018. Being a member of the AWS Partner Network, the presence of Ribbon’s SBC SWe on AWS reinforces the existing business relationship. The software solutions giant remains focused on delivering real-time and secure data and voice network capabilities for the cloud, network and enterprise edge. Moving forward, the communications services developer intends to augment its scale, total addressable market and global footprint in service provider networks, enterprises and critical infrastructure companies. This will help Ribbon to expand its relationships with fixed and mobile service providers, while enabling it to capitalize on high-growth markets.

The stock is currently trading with a forward P/E of 13.1X. Shares of Ribbon have plunged 27.3% compared with the industry’s decline of 2.5% in the past year.

Ribbon currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader industry are Acacia Communications, Inc. ACIA and Harmonic Inc. HLIT, each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Acacia pulled off a trailing four-quarter positive earnings surprise of 17%, on average.

Harmonic delivered a trailing four-quarter positive earnings surprise of 4.4%, on average.

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