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Showing posts with label mergers. Show all posts
Showing posts with label mergers. Show all posts

Tuesday, July 29, 2008

Perimeter eSecurity Pushes Into Storage Services - Information Lifecycle Management (ILM) News Analysis - Byte and Switch

Perimeter eSecurity Pushes Into Storage Services - Information Lifecycle Management (ILM) News Analysis - Byte and Switch

Services specialist Perimeter eSecurity is looking to merge storage and security with the launch of its Remote Backup and Recovery (RBR) service next week, which it claims will ease users’ backup burdens.

Perimeter eSecurity has traditionally focused on managed security services such as firewalls and IDSs, although the vendor is now adding storage to this mix.

“The new service is specifically around our storage and remote backup,” says Doug Howard, Perimeter eSecurity’s CSO, explaining that his firm has built a software agent that can be installed on users’ PCs, servers, and storage arrays.

This agent works out which files need to be backed up, according to exec. “We just identify the files that have had changes made to them -- this means that backups take very little time and the bandwidth needed is low.”

The software agent also compresses the data prior to sending it to Perimeter eSecurity’s data centers. “Customers replicate to two data backup centers,” says Howard, explaining that the RBR offering will be officially launched next week.

RBR, which is available now, will be priced from $2 a month for PC backup, and between $10 to $15 a month for server and storage backup, depending on the size of the system.

At least one analyst feels that this remote backup message will catch on, particularly at a time when users are looking to reduce the number of vendors they deal with.

“Now that the idea of managed services is catching on, and customers are getting far more comfortable with the idea of them, they don’t want to go to a series of vendors,” says Jeff Kaplan, managing director at Think Strategies. “The biggest benefit of [RBR] is the inter-twining of security and storage.”

Despite this plus, Perimeter eSecurity faces stiff competition in the remote backup space from the likes of Carbonite and EMC with its MozyPro offering.

The business version of MozyPro is priced at $3.95 per month, plus an additional 50 cents per Gbyte per month for desktop backup. A MozyPro license for a Windows server costs $6.95, plus an additional $1.75 per Gbyte per month.

Think Strategies’ Kaplan warns that Perimeter eSecurity may struggle to lure customers away from EMC, explaining that users perceive the two vendors as very different types of company.

“Even though they are shifting to services, EMC is a technology vendor, and some companies will be more comfortable working with a technology company,” he says. “Some customers are going to be more comfortable working with a services company like eSecurity.”

In this vein, Perimeter eSecurity faces a challenge convincing users that its storage credentials are valid, according to Kaplan. ”It’s about establishing credibility beyond security; at some point they may need to drop the second name and stick with ‘Perimeter.' "

Perimeter’s Howard admits that, even with a current customer list of 4,500 firms, there is still plenty of work to be done around brand awareness.

“I would readily acknowledge that we’re the largest managed security services provider in this space, particularly as a private company, that nobody has heard of,” he quips, adding that the company is working to change this.

Last year Perimeter eSecurity picked up $104 million in funding, he explained, partly to finance its acquisition of messaging specialist USA.NET, and partly to boost its profile.



Jeff Kemp (Golden, CO), www.jeff-kemp.com.

Monday, July 21, 2008

Brocade Takes On Cisco With $3B Foundry Buy - Networking - IT Channel News by CRN and VARBusiness

Brocade Takes On Cisco With $3B Foundry Buy - Networking - IT Channel News by CRN and VARBusiness

6:59 PM EDT Mon. Jul. 21, 2008

Storage vendor Brocade Monday launched a full-on assault against Cisco Systems (NSDQ:CSCO) with plans to acquire Foundry Networks in a $3 billion deal.

The acquisition will bring Foundry's portfolio of enterprise routers, switches, security and traffic management products into the Brocade fold, giving the San Jose, Calif-based vendor the building blocks for next-generation data center solutions, said Mike Klayko, CEO of Brocade, in a conference call.

"We expect to accelerate innovation and grow our joint position in the large and dynamic networking market. We will be uniquely positioned from LAN to SAN on both sides of the server, from the Internet to the heart of the data center, to address the trends of convergence and evolving next-generation networks," Klayko said.

Under the terms of the deal, expected to close by the end of 2008, Brocade will pay a combination of $18.50 in cash plus 0.0907 shares of Brocade common stock in exchange for each share of Foundry common stock, creating an aggregate purchase price of approximately $3 billion.

The trend toward consolidating data centers, combined with the growing popularity of virtualization technologies, is creating demand for new data center architectures, said Marty Lans, senior director of data center marketing at Brocade in an interview with ChannelWeb.

The Foundry acquisition fills a hole in Brocade's data center strategy by allowing it to fill out the Ethernet side of its business, he said.

Brocade's move to add more networking technology to its storage portfolio coincides with Cisco's push to add more storage capabilities to its networking lineup.

The purchase of Santa Clara, Calif.-based Foundry will bring Brocade into a direct face-off with Cisco and will give the channel a new option in end-to-end data center solutions, Lans said.

"We believe that to do this new data center, right now Cisco is the only option for the total end-to-end space. We provide an alternative," Lans said. "All the Ethernet players tried it from Cisco's strengths. Nobody ever tried it from our strengths, from this side of the table," he added.


The deal has been approved by the boards of both companies and is subject to approval by Foundry shareholders.


Jeff Kemp (Golden, CO), www.jeff-kemp.com.

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