So, here is another example of consolidation that is going on in the data center space. Just a few days ago, I was thinking about Qlogic following the Emulex/Broadcom bid. Qlogic did make a move. $21M is probably not too much for what went in - but about a 1.5X return(?) is probably not too bad for these times.
NetXen has some interesting programmable NIC technology for 10GbE where the NIC seems to operate in different "modes" as decided by the end user. There are features for iSCSI acceleration, TCP/IP offload, plain stateless offload and even a FCoE acceleration mode. NetXen seems to play against software folks, by providing such "programmability" in hardware. Qlogic has entered the converged NIC market and they might need a little bit of help on the 10GbE Ethernet side. They seem to be having trouble moving iSCSI adapters to 10GbE as well. They are definitely hoping that NetXen would fill some of these gaps on the 10GbE side.
Will the NetXen acquisition provide Qlogic the anticipated $5M boost revenue for 2010? Needs to be seen.
No comments:
Post a Comment