Twilio buys Core Network Dynamics

Virtual EPC specialist heads to telco API giant.

Twilio, a provider of programmable APIs that enables companies to embed communications capability into their applications, has bought virtual EPC software developer Core Network Dynamics for $11.1 million.

Although the companies have not made an official press announcement of the deal, a November SEC filing by Twilio said, “In August 2018, the Company [Twilio] acquired all outstanding shares of Core Network Dynamics, a developer and provider of a complete software mobile network infrastructure based in Germany, for a total purchase price of $11.1 million, paid in cash, of which $2.0 million was withheld by the Company for a term of 18 months.” Twilio’s filing said that the financial impact to the Company’s consolidated financial statements is immaterial.

Former CND CEO Carsten Brinkschulte tweeted that the team has now been integrated within Twilio, although he has now moved on.

CND had developed Open EPC, a virtual EPC software set that could support 3GPP cellular and non-cellular access networks. Its model was to license shared code to developers of centralised as well as small cell and edge IOT platforms that need a core network element. Its most recent iteration, Open EPC8, had recently evolved to a “cloud native” approach that saw it break out EPC functions as microservices. The company has previously claimed a number of OEM licensing deals.

Open EPC has also been used by Microsoft Research on Project Belgrade to build and deploy an LTE network in the TV white space (TVWS), running on Azure, and is also providing core functionality to LoRaWan IoT developer Actility in its IoT Lab.

Possible applications within Twilio seem likely to be where the company needs to provide core functions on a disaggregated basis to services using its APIs. The company includes communications APIs within its offer, as well as VoIP connectivity and a narrowband IoT development kit.

UPDATE : TMN has received the following comment from Chetan Chaudhary, head of IoT business at Twilio. The comment states that Twilio sees CND’s EPC technology being used to provide network functions to IoT application developers using its Programmable Wireless platform.

Chaudhary said: “Twilio Programmable Wireless provides developers the fastest way to prototype and launch their IoT applications and services. Core to that end-to-end experience is the infrastructure – which Core Network Dynamics supports. We’re excited to bring on this talented team who will help us fulfil our mission of providing one platform for developers working on any IoT project.”