DragonWave, Inc. (NASDAQ: DRWI) is a leading provider of high-capacity packet microwave solutions that drive next-generation IP networks. The company’s carrier-grade point-to-point systems enable service providers to more effectively transmit broadband voice, video and data by rapidly and affordably increasing bandwidth capacity. Leveraging the steep competitive advantage provided by its significant intellectual property portfolio, DragonWave has built a reputation in the communications industry as a leader in capacity, reliability and spectral efficiency.
In recent years, the demand for bandwidth has continued to grow at an extraordinary rate. According to Cisco, global IP traffic increased fivefold from 2009 to 2014, and a compound annual growth rate of 23 percent is forecast from 2015 to 2019. As part of this growth, annual global IP traffic is expected to surpass the zettabyte threshold by the end of 2016 before reaching two zettabytes just three years later. For DragonWave, this insatiable thirst for more bandwidth gives it near-limitless market potential in the years to come, and the company’s current positioning within the industry is expected to provide a formidable platform upon which to encourage this growth.
In its fiscal quarter ending May 2015, DragonWave provided prospective investors with a preview of its growth potential, advantaging increased industry demand and its innovative high-capacity Harmony Enhanced product to promote strong financial returns for the remainder of the fiscal year. In May, the company announced a sizable agreement with a leading telecommunications provider in India to deliver more than 3,000 turnkey links of its next-generation radio system, which will support the operator’s upgrade and expansion of its nationwide 3G and 4G wireless services.
“We are pleased with the increased demand as we move into our second quarter,” Peter Allen, president and chief executive officer of DragonWave, stated in a news release. “Momentum is such that we anticipate revenue growth of between 30 percent and 60 percent in Q2 relative to Q1.”
With sales locations in Europe, Asia, the Middle East and North America, DragonWave is strategically positioned to build upon its recent performance in vital markets around the globe. For prospective shareholders, the company’s strong intellectual property portfolio and established position within the communications and broadband industries could combine to make DragonWave a rewarding investment opportunity moving forward.
For more information, visit www.dragonwaveinc.com
