With the trend toward cloud computing, storage area networks (SAN) are becoming more integral in communications networks. JDSU is expanding into that area by purchasing the Network Tools business of Finisar Corp.

Network Tools, which had revenue of $44.2 million in Finisar's fiscal year 2009 ending April 30, provides SAN protocol test tools, software and services. JDSU will acquire the Network Tools business for approximately $40.6 million in cash.

JDSU said the transaction will immediately expand its addressed market and create new growth opportunities from the combined test expertise of JDSU and the Network Tools business.

The company expects the combination of JDSU's expertise in areas such as 40/100G with Network Tools' strength in storage network protocol test will fuel product innovation addressing Fibre Channel over Ethernet and other emerging SAN test market opportunities.

The Network Tools portfolio, focused on the SAN analysis and data generation and load testing segments, specializes in a wide range of storage protocols, such as Fibre Channel, Gigabit Ethernet, 10GigE, iSCSI, SAS and SATA.

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