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Market Studies Confirm Provigent Ideally Poised to Fill Silicon Demands of Burgeoning Microwave Radio Market

25 December 2005

With two recent studies indicating a
burgeoning trend toward carrier-class point-to-point (PTP) microwave,
Provigent, Inc. -- a leading provider of system-on-a-chip (SoC) solutions
for broadband wireless transmission -- stands poised to fill a resulting
demand by system vendors for merchant silicon.


One of the studies ("Point-to-Point Microwave Radio: The Market in 2005 and
Beyond" by Visant Strategies, a market research and consulting firm that
focuses on emerging markets) projects growth from $4 billion in 2004 to $7
billion in 2009 for the mobile wireless backhaul market alone, the largest
segment currently served by the PTP microwave industry and one that
Provigent targets along with the fixed wireless transmission and private
wireless network segments.


Addressing the three market segments, Provigent recently introduced the
PVG310, a single-chip modem that integrates all the physical layer baseband
functionality, including modulator, demodulator and forward error
correction, as well as software-programmable data rates, modulation
schemes, and bandwidth.


"It should be noted that single-chip PTP microwaves are still a bit
unusual, and only a single semiconductor vendor, Provigent, has
concentrated on this market," says the Visant Strategies report. "Most
single-chip radios remain proprietary products manufactured in-house by the
vendors of assembled systems."












Highlighted Links




Provigent










The other study ("Microwave Radios -- A Diamond in the Rough," from Sky
Light Research, www.SkyLightResearch.com, which focuses on wireless
last-mile WAN technologies) concurs, adding that for equipment
manufacturers, this is "an expensive proposition due to high development
costs and the lack of economies of scale."


The Sky Light Research report continues: "Provigent's programmable silicon
would enable companies to keep their competitive advantage, while reducing
the cost of the radio -- in some cases up to 30 percent -- resulting in
increased margins for radio manufacturers and a potential boost to the
overall market. Vendors also benefit from the economies of scale that
Provigent realizes by selling to a broad swath of the market.


"Many equipment vendors are competing to deliver the most capacity and
spectral efficiency for the lowest cost to end users. Those vendors could
cut or significantly reduce their product development costs by using an
off-the-shelf chip such as Provigent's."


The Provigent PVG310 employs XPIC (cross-polarization interface
cancellation) technology, which allows two data streams on two
polarizations of a single channel to be transmitted simultaneously, thus
doubling net channel capacity. Moreover, the chips enable transmission
speeds of 311 Mbps over 28 MHz channels or up to 622 Mbps over 50-56 MHz
channels.


"Highly integrated mass produced chips, such as those developed by
Provigent, would provide a more profitable market by reducing development
costs, diverting resources to differentiating end products, enabling a
reduction in unit price for customers, and improving the value proposition
of wireless compared to leased lines," according to the Sky Light Research
study.


"Wireless point-to-point radio is taking off because it's faster to deploy
and more reliable," says Provigent CEO Dan Charash. "The reports by these
leading market research firms bear this out and validate our company's
technology, products and mission."


The validation by the Sky Light Research and Visant Strategies studies is
further reflected in Provigent achievements in 2005: number and quality of
design wins; increasing third-round funding to $10 million; and being
chosen featured fabless start-up in the March issue of Fabless Forum, the
quarterly magazine of Fabless Semiconductor Association (FSA). Provigent's
many customers already represent more than a third of the point-to-point
radio systems market.


About Provigent


Provigent is a fabless semiconductor company aiming to become the leading
supplier of SoC solutions for the broadband wireless transmission industry.
The company is financed by leading venture capital companies and private
individuals such as Andrew Viterbi, co-founder of QUALCOMM (NASDAQ: QCOM).
More information is available on the Web at www.provigent.com or via e-mail
at info@provigent.com.









Media contacts:
Email Contact
Karen George
AccessM3
562-283-2083
Email Contact
SOURCE: Provigent Inc.

Source: marketwire


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