Teraxion Buys Phaethon Communications IP

QUEBEC CITY, Dec. 18 -- TeraXion Inc., developer of advanced optical components for high-speed optical networks, announced today it has acquired the intellectual property of Phaethon Communications Inc. According to terms of the transaction, which closed Dec. 12, TeraXion will receive Phaethon's patents, trademarks and technological know-how.

Phaethon Communications, a privately held company based in Fremont, Calif., has developed a product line that includes a variety of fixed and tunable chromatic dispersion compensators.

"This acquisition will allow us to broaden our product line and to continue our tradition of offering innovative solutions that meet the needs of systems-level manufacturers and carriers," said Alain Chandonnet, CEO of TeraXion. "Phaethon's breakthrough in the fabrication of very complex filters using a simple and elegant approach is in line with TeraXion's strategic direction".

Chromatic dispersion compensators are used in optical networks to reduce the accumulated dispersion in optical pulses carrying digital information. TeraXion's fiber Bragg grating-based dispersion compensators, with their small dimensions and low insertion loss, provide a compelling alternative to current solutions using dispersion compensating fiber. Phaethon's technology will complement TeraXion's manufacturing approach using holographic phase masks to offer high performance dispersion compensators at a competitive price.

For more information, visit: www.teraxion.com