BATM Advanced Communications Ltd (LSE:BVC) said it has signed a contract with CEMEX to provide Edgility OS, the group's network function virtualisation (NFV) operating system.
CEMEX, a New York-listed building materials company with annual sales of US$13bn, is the first enterprise customer for the NFV solution.
READ: Broker cheers BATM Advanced Communications strong balance sheet and big opportunities
The contract is expected to be worth US$2mln with revenue starting to come in by the end of the current year.
The Edgility platform will allow thousands of CEMEX facilities to communicate with each other, using 100,000 monthly licences over five years.
Its sites are located throughout the Americas, the Caribbean, Europe, Africa, the Middle East and Asia.
The manufacturer is upgrading its infrastructure from a wide area network (WAN) to a software-defined wide area network (SD-WAN) based on Edgility OS.
BATM said this will cut running costs, energy consumption and carbon footprint, as well as simplifying the network management and improving performance.
"This also represents a key milestone as our first enterprise customer for our NFV solution,” said BATM chief executive Zvi Marom.
“As industry adoption of SD-WAN increases with organisations upgrading their architectures to take advantage of the technologies available today, we expect to receive more orders for Edgility OS from enterprises and the telecoms and network providers that service them. We believe this represents a significant growth market for BATM, and one that is high margin in nature, and we look forward to continuing to report on our progress."
Shares rose 5% to 91.23p early on Monday.