Ceragon's New Smart Activation Key Software Gains Significant Adoption, Enabling SaaS Models and Recurring Revenue Streams
Ceragon (NASDAQ: CRNT), a leading wireless connectivity solutions provider, has announced significant progress in its transition towards a recurring revenue model. The company's new Smart Activation Key software has gained substantial adoption, with tens of thousands of licenses ordered in the first half of the fiscal year. This innovative software simplifies the activation process for network radios and their features, allowing simultaneous activation and upgrade of thousands of devices.
The Smart Activation Key enables higher business flexibility, offering customers various pricing options, including term licenses and per-usage fees. It also provides intelligent usage tracking for data-driven decision-making. This shift towards a Software as a Service (SaaS) model is part of Ceragon's strategy to mitigate revenue fluctuations associated with cyclical hardware sales and create more predictable, recurring revenue streams.
Ceragon (NASDAQ: CRNT), un fornitore leader di soluzioni di connettività wireless, ha annunciato significativi progressi nella sua transizione verso un modello di entrate ricorrenti. Il nuovo software Smart Activation Key dell'azienda ha ottenuto un'ampia adozione, con decine di migliaia di licenze ordinate nella prima metà dell'anno fiscale. Questo software innovativo semplifica il processo di attivazione per le radio di rete e le loro funzionalità, consentendo l'attivazione e l'aggiornamento simultaneo di migliaia di dispositivi.
Lo Smart Activation Key offre maggiore flessibilità aziendale, offrendo ai clienti diverse opzioni di prezzo, comprese le licenze a termine e le tariffe per utilizzo. Fornisce inoltre un tracciamento intelligente dell'uso per decisioni basate sui dati. Questo passaggio verso un modello di Software as a Service (SaaS) fa parte della strategia di Ceragon per mitigare le fluttuazioni delle entrate associate alle vendite cicliche di hardware e creare flussi di entrate più prevedibili e ricorrenti.
Ceragon (NASDAQ: CRNT), un proveedor líder de soluciones de conectividad inalámbrica, ha anunciado avances significativos en su transición hacia un modelo de ingresos recurrentes. El nuevo software Smart Activation Key de la compañía ha ganado una adopción sustancial, con decenas de miles de licencias ordenadas en la primera mitad del año fiscal. Este software innovador simplifica el proceso de activación para radios de red y sus características, permitiendo la activación y actualización simultánea de miles de dispositivos.
El Smart Activation Key permite una mayor flexibilidad empresarial, ofreciendo a los clientes varias opciones de precios, incluyendo licencias a plazo y tarifas por uso. También proporciona un seguimiento inteligente del uso para la toma de decisiones basada en datos. Este cambio hacia un modelo de Software como Servicio (SaaS) es parte de la estrategia de Ceragon para mitigar las fluctuaciones de ingresos asociadas con las ventas cíclicas de hardware y crear flujos de ingresos más predecibles y recurrentes.
세라곤(Ceragon, NASDAQ: CRNT), 유선 연결 솔루션의 선두 업체가 정기 수익 모델로의 전환에서 중요한 진전을 발표했습니다. 이 회사의 새로운 스마트 활성화 키 소프트웨어는 첫 반기 동안 수만 개의 라이선스가 주문되는 등 상당한 채택을 받았습니다. 이 혁신적인 소프트웨어는 네트워크 라디오와 그 기능의 활성화 프로세스를 간소화하여 수천 개의 장치를 동시에 활성화하고 업그레이드할 수 있게 합니다.
스마트 활성화 키는 더 높은 비즈니스 유연성을 제공하며, 고객에게 기간 라이선스 및 사용료를 포함한 다양한 가격 옵션을 제공합니다. 또한 데이터 기반 의사 결정을 위한 지능적인 사용 추적 기능을 제공합니다. 서비스형 소프트웨어(SaaS) 모델로의 이 전환은 사이클적인 하드웨어 판매와 관련된 수익 변동성을 완화하고 보다 예측 가능하며 정기적인 수익 흐름을 창출하기 위한 세라곤의 전략의 일환입니다.
Ceragon (NASDAQ: CRNT), un fournisseur leader de solutions de connectivité sans fil, a annoncé des avancées significatives dans sa transition vers un modèle de revenus récurrents. Le nouveau logiciel Smart Activation Key de l'entreprise a connu une adoption substantielle, avec des dizaines de milliers de licences commandées au cours de la première moitié de l'année fiscale. Ce logiciel innovant simplifie le processus d'activation pour les radios réseau et leurs fonctionnalités, permettant l'activation et la mise à jour simultanées de milliers d'appareils.
Le Smart Activation Key offre une plus grande flexibilité commerciale, en proposant aux clients diverses options tarifaires, y compris des licences temporaires et des frais par utilisation. Il fournit également un suivi intelligent de l'utilisation pour une prise de décision basée sur les données. Ce changement vers un modèle de Logiciel en tant que Service (SaaS) fait partie de la stratégie de Ceragon pour atténuer les fluctuations de revenus liées aux ventes de matériel cycliques et créer des flux de revenus plus prévisibles et récurrents.
Ceragon (NASDAQ: CRNT), ein führender Anbieter von drahtlosen Konnektivitätslösungen, hat bedeutende Fortschritte bei der Umstellung auf ein wiederkehrendes Einnahmemodell angekündigt. Die neue Smart Activation Key-Software des Unternehmens hat eine beträchtliche Akzeptanz gefunden, mit zehntausenden von lizenzierten Bestellungen in der ersten Hälfte des Geschäftsjahres. Diese innovative Software vereinfacht den Aktivierungsprozess für Netzwerk-Radios und deren Funktionen, sodass Tausende von Geräten gleichzeitig aktiviert und aktualisiert werden können.
Der Smart Activation Key ermöglicht eine höhere Geschäftsfle¬xibilität, indem er den Kunden verschiedene Preisoptionen anbietet, darunter Zeitlizenzen und nutzungsbasierte Gebühren. Er bietet zudem eine intelligente Nutzungserfassung für datenbasierte Entscheidungsfindung. Diese Umstellung auf ein Software-as-a-Service (SaaS)-Modell ist Teil von Ceragons Strategie, Einnahmeschwankungen im Zusammenhang mit zyklischen Hardwareverkäufen zu mindern und vorhersehbarere, wiederkehrende Einnahmequellen zu schaffen.
- Tens of thousands of Smart Activation Key licenses ordered in H1
- Transition towards a recurring revenue model
- Enables higher business flexibility with various pricing options
- Simplifies activation process for network radios
- Allows simultaneous activation and upgrade of thousands of devices
- Provides intelligent usage tracking for data-driven decision-making
- None.
Insights
Ceragon's transition towards a SaaS model represents a significant strategic shift. This move could help stabilize revenue streams by reducing dependency on hardware sales, which are often subject to cyclical fluctuations. By adopting a SaaS model, the company can achieve more predictable, recurring revenue, which is highly valued in the market. Moreover, the early adoption of tens of thousands of Smart Activation Keys suggests strong market acceptance, indicating potential for substantial future revenue growth. This shift should also enhance customer loyalty since the SaaS model typically involves long-term contracts and higher switching costs for customers.
The Smart Activation Key software is an innovative addition to Ceragon's product lineup. By simplifying the activation and upgrade process for network radios, it not only improves operational efficiency but also reduces costs for customers. The capability to activate and manage thousands of devices simultaneously is particularly valuable for large-scale deployments, making it attractive for enterprise clients. Additionally, the software's intelligent usage tracking and flexible pricing options offer greater flexibility and data-driven decision-making capabilities. This technological advancement positions Ceragon favorably against competitors, potentially leading to increased market share.
Ceragon's CEO, Doron Arazi, highlighted that the move to a SaaS model aligns with their goal of creating predictable, recurring revenue streams. From a financial perspective, this shift is likely to enhance the company's valuation. Investors generally favor companies with recurring revenue models due to their stability and predictability. The fact that a portion of the Smart Activation Key licenses have already been sold under this recurring revenue model indicates strong customer uptake and confidence. This should positively impact Ceragon's future financial performance, making it a more attractive investment in the long term.
Tens of Thousands of Smart Activation Key Licenses Ordered in H1 as Part of Ceragon Equipment Purchases
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A cornerstone of this strategy is the successful development and deployment of Ceragon's Smart Activation Key software. This innovative software simplifies the activation process for network radios and their various licensable features, allowing customers to activate and upgrade thousands of devices simultaneously, significantly enhancing operational efficiency and reducing costs. Moreover, this new software enables higher business flexibility, allowing customers to select from different pricing options, including term licenses and per-usage fees. Intelligent usage tracking features provide customers with detailed insights, facilitating data-driven decisions for network management and expansion.
Ceragon's Smart Activation Key has already seen meaningful adoption, with tens of thousands of licenses ordered, and deployment underway, to several customers within the first half of the fiscal year. Notably, a portion of these licenses were already sold under the recurring revenue model, indicating customer support and demand for ongoing, subscription-based solutions.
Doron Arazi, Ceragon's CEO, commented, "Ceragon's Smart Activation Key software marks a major step forward in our strategy to integrate SaaS into our business model. The addition of SaaS to Ceragon's solution offering not only improves our customers' experience but also aligns with our goal of creating predictable, recurring revenue streams."
About Ceragon
Ceragon (NASDAQ: CRNT) is the global innovator and leading solutions provider of end-to-end wireless connectivity, specializing in transport, access, and AI-powered managed & professional services. Through our commitment to excellence, we empower customers to elevate operational efficiency and enrich the quality of experience for their end users.
Our customers include service providers, utilities, public safety organizations, government agencies, energy companies, and more, who rely on our wireless expertise and cutting-edge solutions for 5G & 4G broadband wireless connectivity, mission-critical services, and an array of applications that harness our ultra-high reliability and speed. Ceragon solutions are deployed by more than 600 service providers, as well as more than 1,600 private network owners, in more than 130 countries.
Through our innovative, end-to-end solutions, covering hardware, software, and managed & professional services, we enable our customers to embrace the future of wireless technology with confidence, shaping the next generation of connectivity and service delivery. Ceragon delivers extremely reliable, fast to deploy, high-capacity wireless solutions for a wide range of communication network use cases, optimized to lower TCO through minimal use of spectrum, power, real estate, and labor resources - driving simple, quick, and cost-effective network modernization and positioning Ceragon as a leading solutions provider for the "connectivity everywhere" era.
For more information please visit: www.ceragon.com
Ceragon Networks® and FibeAir® are registered trademarks of Ceragon Networks Ltd. in
Safe Harbor
This press release contains statements that constitute "forward-looking statements" within the meaning of the Securities Act of 1933, as amended and the Securities Exchange Act of 1934, as amended, and the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on the current beliefs, expectations and assumptions of Ceragon's management about Ceragon's business, financial condition, results of operations, micro and macro market trends and other issues addressed or reflected therein. Examples of forward-looking statements include, but are not limited to, statements regarding: projections of demand, revenues, net income, gross margin, capital expenditures and liquidity, competitive pressures, order timing, supply chain and shipping, components availability; growth prospects, product development, financial resources, cost savings and other financial and market matters. You may identify these and other forward-looking statements by the use of words such as "may", "plans", "anticipates", "believes", "estimates", "targets", "expects", "intends", "potential" or the negative of such terms, or other comparable terminology, although not all forward-looking statements contain these identifying words.
Although we believe that the projections reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be obtained or that any deviations therefrom will not be material. Such forward-looking statements involve known and unknown risks and uncertainties that may cause Ceragon's future results or performance to differ materially from those anticipated, expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to: the effects of global economic trends, including recession, rising inflation, rising interest rates, commodity price increases and fluctuations, commodity shortages and exposure to economic slowdown; The effects of the evolving nature of the war situation in
We caution you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Ceragon does not assume any obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release unless required by law.
While we believe that we have a reasonable basis for each forward-looking statement contained in this press release, we caution you that these statements are based on a combination of facts and factors currently known by us and our projections of the future, about which we cannot be certain. In addition, any forward-looking statements represent Ceragon's views only as of the date of this press release and should not be relied upon as representing its views as of any subsequent date. Ceragon does not assume any obligation to update any forward-looking statements unless required by law.
The results reported in this press-release are preliminary and unaudited results, and investors should be aware of possible discrepancies between these results and the audited results to be reported, due to various factors.
Ceragon's public filings are available on the Securities and Exchange Commission's website at www.sec.gov and may also be obtained from Ceragon's website at www.ceragon.com.
Investor & Media Contact:
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FNK IR
1+646-809-4048
crnt@fnkir.com
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SOURCE Ceragon Networks Ltd.
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