While the stock has taken a beating over the last six months, Israeli WiMAX player Alvarion (NASDAQ: ALVR) continues to sign deal after deal. On Tuesady, the company announced a deal with AccessKenya Group for, "Alvarion to supply WiMAX equipment for what will be the country's largest WiMAX network. AccessKenya will invest $3.5 million to build the network, which will initially include 35 base stations in Nairobi and the port of Mombasa."

Today the company announced another deal. This one is with Balticum TV. Alvarion is "supplying its BreezeMAX network to Balticum TV for deployment in the three Baltic states Latvia, Lithuania and Estonia.

Alvarion is very strong in the developing world. It has been growing revenues by over 30% a year, and sports more than 225 WiMAX commercial deployments.

If WiMAX never takes hold in North America, that may present some downward pressure on the stock. On the other hand, it is very strong in the developing world. For long-term investors looking for a beaten up company in the WiMAX space, you may want to spend some time researching Alvarion.

Aaron Katsman is the lead Portfolio Manager and Managing Director of America Israel Investment Associates, LLC. and Senior Editor of IsraelNewsletter.com. DISCLOSURE: Writer's fund has a position in ALVR and is long the stock. He has no position in any other stock mentioned, as of 5/27/08

In what's becoming more and more common, a small Israeli company Silicom Ltd. (NASDAQ: SILC) announced that it has received a $1.8 million order from one of China's largest domestic server companies, representing its first significant penetration into the vast Chinese market. The order is for production quantities of Silicom's advanced fiber multi-port Gigabit Ethernet adapters scheduled for delivery during the first quarter.

"We are excited to achieve this significant initial penetration of the strategic Chinese market," commented Shaike Orbach, Silicom's President and CEO. "China's rapid growth represents a huge new opportunity for Silicom, especially the fact that its server usage is growing in step with the phenomenal development of its telecom, transportation, banking and other sectors. In fact, according to CCID Consulting, more than half a million x86 servers were sold in China in 2007, with additional strong growth projected for 2008."

Silicom stock is up strongly on the news. Silicom is the latest Israeli company to break into the Chinese market, and I would expect the trend to continue. With Israeli Venture Capital firms doing joint ventures with Chinese investment firms, we should see more and more hi-tech deals being signed between the two countries.

Aaron Katsman is the lead Portfolio Manager and Managing Director of America Israel Investment Associates, LLC. and Senior Editor of IsraelNewsletter.com. DISCLOSURE: Writer's fund has a position and owns stock in SILC and is long the stock.He has no positions in any other stock mentioned as of 2/4/08.