Prysmian awarded a $300 million optical cable supply agreement from Verizon Communications

Prysmian Group (FTSE: PRY), world leader in the energy and telecom cable systems industry, has been awarded a significant supply agreement from the US telecom company Verizon Communications (NYSE, Nasdaq: VZ). Under this agreement, Prysmian will support Verizon’s’s US network expansion around a fiber platform that will speed the deployment of 5G services, while improving 4G LTE and other broadband capacity. The three-year contract is worth approximately $300 million and will include supply of more than 17 million fiber kilometers (10.6 million miles) of ribbon and loose tube cables.

Both Prysmian and Verizon feel strongly that demand and supply for next-generation passive optical network (NGPON2) will last well beyond 2020 as new technologies like 5G and the IoT become reality. Prysmian will make a significant investment through 2018 in its US based optical cable organization to support this project and the growth of major telecoms carriers in North America. The Group has a strong heritage in manufacturing optical fiber and cable for a broad range of applications, and has three telecom production sites in the United States, two for the production of optical cable and one for optical fiber, thus continuing its tradition as global leader in the development and design of fiber optic cabling solutions.

Prysmian Group’s telecom division has qualified as an optical fiber, optical cable and connectivity solutions provider to Verizon for more than a decade.

An aspect of the Prysmian Group and Verizon supply deal involves diversity partnerships, a concept of innovation that goes beyond technology, to include social and sustainability imperatives. A percentage of business will flow through material management services offered by third party handlers that are owned and operated by certified woman business owned enterprises.

Prysmian North America
With 10 plants employing over 2.000 people and revenue of $1.4B in 2016, Prysmian Group North America serve both the telecom and energy cable markets. Telecom Cables & Systems produces optical fibers, optical cables and connectivity for video, data and voice transmission. Prysmian Group has two fiber optic manufacturing facilities in the United States, including the only co-located fiber and cable facility in North America. In the energy business, Prysmian design and produce cables and systems for the transmission and distribution of low, medium, high and extra high voltage systems.