Adtran opens new Terafactory in Germany to address supply chain security

By: ADTRAN Holdings, Inc. via Business Wire

November 09, 2023 at 08:00 AM EST

News summary:

Growing threats to global logistics require urgent action to ensure reliable manufacturing and consistent delivery of networking solutions
Adtran’s Meiningen-based Terafactory prioritizes production autonomy, carbon reduction and automation for enhanced efficiency
With significant backing from the state government of Thuringia, the new Terafactory aims to generate local job opportunities

Adtran today announced the opening of its new Terafactory in Meiningen, Germany, fortifying supply chain resilience and accelerating regional technological advancements. The new state-of-the-art facility brings production back to Central Europe, boosting the company’s robustness against global logistics shocks and promising to create new local jobs. The Terafactory also streamlines workflows and reduces resource consumption by harnessing advanced automation technologies. The move towards supply chain autonomy for Adtran’s core European market echoes a similar strategy in the US, where the company has recently expanded its manufacturing facility in Huntsville, Alabama.

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Adtran’s Terafactory will strengthen Europe’s position in the development of optical transport technology. (Photo: Business Wire)

“Our new Terafactory helps us mitigate against supply chain challenges like those we experienced during the Covid-19 pandemic. By enhancing the production and logistics side of our business, we’re not just reducing our dependency on third parties but also putting us in control of our own destiny. This strategic move makes us more responsive and resilient to shifting supply chain pressures,” said Christoph Glingener, CTO of Adtran. “Our new Terafactory generates a significant portion of the power it needs, making day-to-day operations more energy efficient. And by bringing the production of our world-leading optical transport technology back to Germany, we can more easily ensure precision and quality. What’s more, it will strengthen Europe’s position in optical transport technology, fostering regional innovation and setting new benchmarks for the industry worldwide.”

The new Terafactory reduces Adtran’s dependence on overseas suppliers and helps stabilize the delivery of its networking solutions to customers. As part of the BMBF-sponsored 6G-Terafactory project, Adtran will deploy an Open-RAN based private mobile network across the campus, enabling automated processes, making the production of hardware, such as the company’s flagship FSP 3000 open optical transport platform, more efficient. Quality control is also simplified, as this can now be conducted by experts at the Meiningen site prior to distribution. And with its photovoltaic solar power system, Adtran is further reducing its carbon footprint as it moves towards energy self-sufficiency throughout the Terafactory. This significant initiative has been bolstered by a substantial investment from the Thuringian government.

“Recent events highlight the fragility of global supply chains. Adtran has proactively taken steps to insulate itself against future shocks while also championing sustainable practices that contribute directly to the local economy and community. This not only brings value to our region but also creates tangible opportunities right here in Thuringia. That’s why we’re proud to support Adtran in the creation of its new production hub,” commented Bodo Ramelow, Minister-President of Thuringia. “Adtran’s Terafactory represents German industry at its best. This state-of-the-art facility sends a clear message to others who may be scaling back operations in response to global pressures. In an increasingly uncertain world, we must be confident and ambitious in our collective capacity to invest, innovate and grow our way towards a brighter, more prosperous future.”

About Adtran

ADTRAN Holdings, Inc. (NASDAQ: ADTN and FSE: QH9) is the parent company of Adtran, Inc., a leading global provider of open, disaggregated networking and communications solutions that enable voice, data, video and internet communications across any network infrastructure. From the cloud edge to the subscriber edge, Adtran empowers communications service providers around the world to manage and scale services that connect people, places and things. Adtran solutions are used by service providers, private enterprises, government organizations and millions of individual users worldwide. ADTRAN Holdings, Inc. is also the largest shareholder of Adtran Networks SE, formerly ADVA Optical Networking SE. Find more at Adtran, LinkedIn and X.

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ADTRAN Holdings, Inc.

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