UPDATE CommScope (NASDAQ: COMM), headquartered in Hickory, NC, announced last Thursday it plans to expand production for its fiber-optic connectivity product portfolio. The manufacturing expansion will help address the projected increase in demand for Build America Buy America (BABA) Act-compliant products manufactured and assembled in the U.S. Production will be expanded at existing CommScope facilities that manufacture its broadband portfolio.
The increased production will focus on CommScope’s fiber-optic connectivity products and solutions that enable faster installation and more efficient construction of rural broadband networks. Key products include Fiber Optic Splice Closures (FOSC), fiber distribution cabinets, and connectorized hardened and non-hardened fiber terminals that will meet the BABA domestic preference. The company is in the process of expanding production to meet industry demand as soon as the third quarter of 2024. BEAD money is expected to flow by late 2024 and into 2025, Inside Towers reported.
CommScope already produces an array of BABA-compliant products and solutions in the U.S. The expansion will augment CommScope’s BABA compliant portfolio, led by its HeliARC fiber-optic cable solution. The company will provide additional details on its BABA-compliant portfolio and timelines later in 1Q24 to assist partners and customers in planning their upcoming government funded projects.
This expansion will continue to build on CommScope’s success in rural applications. The company says it shipped over two million FOSC units in the U.S. over the past two years for projects funded by the Rural Digital Opportunity Fund and other government-funded internet access initiatives.
“We want to make it as easy as possible for our partners and customers as they access federal and state funding subject to BABA domestic preference requirements,” comments Koen ter Linde, SVP & president, CommScope Connectivity & Cable Solutions. “We are eager to expand the U.S. manufacturing capacity of our fiber connectivity portfolio to support our partners and customers and the efforts to bring broadband to everyone.”
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