News of a deal with Comcast Cable Communications, the third-biggest cable TV company in the United States, sent Terayon Communication Systems (Nasdaq:TERN) stock surging 33% in pre-bell trade.

Terayon said today that Comcast, will be selling the Israeli company's cable modems to customers.

Comcast, headquartered in Philadelphia, provides cable service to some 8.5 subscribers in six areas throughout the United States. It provides analog and digital television services, as well as connections to fast Internet.

Comcast certified Terayon's TJ 615 DOCSIS (Data Over Cable Service Interface Specification) cable modem for use on its high-speed Internet network, Terayon said.

Terayon also said it signed a deployment agreement covering select Comcast service areas.

"This is a great validation for our TJ 615 cable modem as Comcast has been at the forefront of the broadband revolution," Terayon CEO Zaki Rakib commented.

The TJ 615 is the only modem available today that is certified to meet the DOCSIS 1.1 cable data specification and is also based on a full DOCSIS 2.0 silicon implementation, Terayon says.

A week ago Terayon warned of 165 job cuts, or 25% of its workforce, as part of its austerity program.

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