Newsletter -- Week Ending March 14, 2003

InternetAcceleration News Summary

This week we've finished up our newest report on network compression titled, 'Bandwidth Optimization: Today's Network Compression Market.' Check out our Web site, www.netsedgeonline.com, for more information. Next week we'll be posting some excerpts. Coming up in April, Peter Christy will be presenting at ISPCON, "Surviving the Internet Transition to the Enterprise" and moderating a panel, "Spotlight on Hosting: Route Optimization, the First 18 Months."

Well, everyone's getting ready for NetWorld+Interop by lining up their new products a month before showtime.

Foundry's been busy with a bunch of new product introductions for enterprise and service providers. Last week, the company introduced a family of standards-based Power over Ethernet network switches -- FastIron Edge 2402 POE and 4802 POE for converged network infrastructures, its FastIron Edge 12GCF Switch -- a multi-service Gigabit Ethernet Layer 2/3 platform switch and it brought out its new Internet-class router, the NetIron 4802.

Blue Coat Systems released a new set of Web content filtering appliance bundles for small-to-medium size enterprises. And, EMC launched three products: CLARiiON with ATA networked storage system; EMC open management software supports CLARiiON with ATA storage; and SAN Copy, a new data movement application between current and legacy CLARiiON and Symmetrix storage systems. Redline Networks introduced what its calling a new data center appliance, E/X 3250 Enterprise Web I/O Accelerator, providing a few new features over what its been selling for the past couple of years. And as they say, third time's a charm. And, Pivia, Web application acceleration software provider, introduced its new Pivia Performance server (their third packaging of their acceleration technology targeting enterprise users).

Legato Systems announced the availability of their EmailXtender 4.4 for capturing, indexing and archiving email, instant messages and attachments. Bridgewater Systems, provider of dynamic IP and data service fulfillment and assurance solutions, extended its 802.11 capabilities for carriers to include managed wireless LAN services for enterprises. And, Extended Systems, mobile information management solutions, released XTNDConnect Real Time, to give secure access to corporate email and PIM (personal information management) via browser-enabled devices.

Leading the funding news (12 deals bringing in $97.6M) is BayPackets, enhanced voice and data solutions for wireless, wireline and cable operators, secured $21.7M in new funding. This brings their total to $43.7M. Seranoa Networks, developer of communications equipment enabling ISPs to improve edge router performance, plans to close $15M Series B round at the end of April. Global managed IP virtual private network services provider, Virtela Communications, received a commitment of $11M in Series C financing. Westbridge Technology, XML Web services security, secured $10M in Series B funding.

Canadian short-haul broadband communications solutions provider, fSONA received $9.5M. Cohesiant, enterprise software firm, closed $9.2M Series B funding. Network Physics, network management products company, announced an additional venture round of $6M. This brings Network Physics' total funding to $30M. Enterprise security provider, Lancope, raised an additional $5M in second round of funding. LongBoard, VoIP infrastructure software, plans to close $4M in Series D round at the end of March. Belgian company, DataCenter Technologies, provider of data protection software, raised $3.7M in its first round. Server firm, Rackable Systems, received $1.5M in Series A round. And, Idetic, bandwidth acceleration and wireless network management software provider, secured $1M in second round financing.

Sun Microsystems and Topspin Communications have entered into a joint technology and software licensing agreement for Sun's InfiniBand-based server platforms. Seaside Software, signed a UK distribution deal with Essential Computing and Persistence Software joins BEA's Three Star partner program. Curl announced the availability of Enterprise Curl, handbook published by Prentice Hall.

InfiniSwitch Corporation and Lane15 Software announced the merger of their companies. The company will operate under the name InfiniSwitch. Loudeye announced a reduction in staff of 35% and received stockholder approval of a reverse stock split.

Customer wins for the past week: Extreme Networks' Virtual Metro Area Networking (vMAN) capability is being deployed by French private telecommunications operator, Cegetel. FoxSports.com is using Keynote's LoadPro and Test Perspective testing services. Digital West Networks has selected Sockeye Networks' GlobalRouteSM 3.0 to boost performance and reliability of its multihomed network. Akamai has been selected as the exclusive streaming provider for the 75th Annual Academy Awards. And Tarari, demonstrated its content processors at InfoSec World 2003.

Executives in the news: Jeff Cavins has been appointed president and chief executive officer at Loudeye replacing Phil Gioia. Hatteras Networks, last-mile Ethernet access hardware and software developer, promoted Peter Savage from vice president of business development to chief executive officer. David Jones has been named president and CEO and Tom Dunn was named vice president of sales and business development at Network Physics. Kubi Software appointed Steve O'Neill as vice president of business development and Bob Preble as vice president of engineering. And, Zakie Mashiah has joined Expand Networks as vice president of research and development and Gideon Hazam as vice president of global operations.

See links below for the complete text of those items mentioned above plus other news.

The InternetAcceleration newsletter and www.internetacceleration.com are produced by NetsEdge Research Group. For more information or to keep us updated, contact John Katsaros john@netsedgeonline.com.

Product News

Foundry Unveils Industry's Most Compact, Powerful, and Aggressively-Priced Router For Leading Enterprise and Service Provider Customers
Foundry announced a next generation, powerful Internet-class router that creates and delivers a full range of routing services including Internet Protocol version 6 (IPv6) services. This new stackable platform with 48 10/100 and 2 mini-GBIC Gigabit Ethernet ports, the NetIron 4802 router...more>

Foundry Introduces Industry's First Family of Standards-based Power over Ethernet Switches for Enterprise Voice Over IP, Wireless Access Points and IP-savvy Devices
Foundry introduced a family of standards-based Power over Ethernet (PoE) network switches as part of its Bandwidth & Reliability for Applications, Voice and Video (BRAVVOTM) architecture for converged network infrastructures. The new switches, FastIron Edge 2402 POE and 4802 POE, implement the IEEE's 802.3af Power over Ethernet standard for powering Ethernet devices including enterprise Voice over IP (VoIP) and Wireless LAN (WLAN) Access Points...more>

Foundry Networks Expands Enterprise Product Line With New Compact Multi-Service Gigabit FastIron Edge Ethernet Switch
Foundry has expanded its FastIron Edge product family with FastIron Edge 12GCF Switch (FES12GCF), a new compact multi-service Gigabit Ethernet switch. This Layer 2/3 platform provides twelve ports of Gigabit Ethernet with unique media flexibility of both copper and mini-GBIC fiber connectivity for small Gigabit backbone, Gigabit aggregation and Gigabit copper connectivity to the desktop or server. Using the new FES12GCF, businesses gain valuable new benefits from their existing investments in category 5 cabling...more>

LEGATO Furthers Leadership Position in Messaging Management by Simplifying Compliance and Speeding Retrieval for Email and IM
LEGATO Systems, announced the availability of EmailXtender 4.4 for capturing, and indexing

Blue Coat Rolls Out Content Filtering Bundles for SME Market with Websense and Secure Computing
Blue Coat Systems introduced a new set of Web content filtering appliance bundles for small-to-medium size enterprises. The new bundles come packaged with either Secure Computing's SmartFilter URL filtering database and Cyfin Reporter or Websense Master Database and Websense Reporter...more>

EMC Open Software Solutions Deliver "Day-One" Support For EMC CLARiiON With ATA
EMC announced that the entire EMC portfolio of open management software fully supports the EMC CLARiiON with ATA storage systems...more>

Pivia Solves Enterprise Web Application Challenge with New Performance Server
Pivia, provider of Web application acceleration software, introduced its new Pivia Performance Server. This new software, includes 'Express' technologies (Express Compress, Express Loader, Express Connect and Dynamic Application Cache) solves the complex problem of web application performance...more>

EMC Announces New SAN Copy Software
EMC announced SAN Copy, a new data movement application that enables businesses to centrally manage the movement of data between current and legacy EMC CLARiiON and Symmetrix storage systems without consuming host resources...more>

EMC Launches World's First Integrated ATA Networked Storage Solution
EMC Corporation introduced CLARiiON with ATA—storage system with integrated ATA and Fibre Channel disk drives. Through the integration of low-cost ATA drives into an existing storage architecture, the EMC CLARiiON networked storage systems enable customers to bring more of their offline, tape-based data online to extend its useful life...more>

New Web Enabled Enterprise Application Accelerator Speeds Secure Corporate Intranets, Portals and Enterprise Applications
Redline Networks introduced a new data center appliance that provides secure, accelerated web application access across the enterprise. Redline Networks' E|X 3250 Enterprise Web I/O Accelerator is a Layer 7 data center appliance that automatically enables SSL security, accelerates application transaction performance and enables existing equipment to handle greater transaction capacity with increased reliability...more>

Bridgewater Systems Expands 802.11 Solutions, Enabling Carriers to Offer Managed Wireless LAN Services to their Enterprise Customers
Bridgewater Systems, a provider of dynamic IP and data service fulfillment and assurance solutions, today announced that it has extended its 802.11 capabilities for carriers to include managed Wireless LAN (WLAN) services for enterprises...more>

Extended Systems Strengthens Mobile Solutions Kit with Real-time Mobile Groupware Access Capabilities
Extended Systems, a provider of mobile information management solutions for the enterprise, released XTNDConnect Real Time, an addition to the XTNDConnect product arsenal that is said to give secure access to corporate email and PIM (personal information management) via any browser-enabled device including handhelds, laptops, and desktop PCs...more>

Agreements/Partnerships

Sun & Topspin Lead the Way in Delivering on InfiniBand Technology
Sun Microsystems and Topspin Communications have entered into a joint technology development and software licensing agreement. Topspin will provide the Fibre Channel and Gigabit Ethernet I/O modules for Sun's next-generation InfiniBand-based server platforms...more>

Seaside Software Signs UK Deal with Messaging Company Essential
Seaside Software, HiPerExchange publisher, has signed a UK distribution deal with Essential Computing...more>

Persistence Software Joins BEA Three Star Program To Provide Data Services Built on BEA WebLogic
A joint sales opportunity with Persistence and BEA Systems, has resulted in Persistence achieving the highest level of BEA's partner program, Three Star Membership...more>

Corporate News

BayPackets Closes $21.7M Round of Financing
BayPackets, a provider of enhanced voice and data solutions for wireless, wireline and cable operators, announced that the company has secured $21.7 million in new funding, bringing the total venture investment in the company to $43.7 million. Investcorp and TL Ventures co-led the round, which also included funding by new investor Intel Capital, and previous investors Blueprint Ventures, Diamondhead Ventures, INC3 Ventures, Lucent Venture Partners and TeleSoft Partners...more>

Seranoa Networks to Close $15M in Second Round Funding
According to VentureWire, Seranoa Networks, developer of communications equipment that enables ISPs to improve edge router performance, plans to close a $15-million Series B round at the end of April to support the rollout of its first product...more>

Virtela Communications Announces $11 Million Financing
Virtela Communications, global managed IP virtual private network (VPN) services, received a commitment of $11 million in Series C financing led by Norwest Venture Partners, joined by New Enterprise Associates, Palomar Ventures, North Coast Technology Investors and Newton Technology Partners. The new funds bring Virtela's total capital commitment to $86 million to date...more>

Westbridge Technology Closes $10M Series B Financing with Top Tier Investors
Westbridge Technology, XML Web Services security, has secured $10 million in Series B equity financing led by Sevin Rosen Funds with additional investments from August Capital and Granite Ventures. Nick Sturiale, partner at Sevin Rosen Funds will be joining the Board with Dave Marquardt of August Capital and Standish O'Grady of Granite Ventures. To date, Westbridge Technology has raised $15.1 million in venture capital funding...more>

fSONA Receives $9.5 Million in Financing
In 2002, fSONA received total investments of $19.5 Million. A private group of current and new investors provided $9.5 Million, which followed on the heels of significant investment - $10 Million - from the Government of Canada's Technology Partnerships Canada Program. Prior to the 2002 funding, fSONA had received $32 Million in venture capital...more>

Cohesiant Closes $9.2 Million Series B Funding
Enterprise software firm, Cohesiant, closed series B funding of $9.2M led by Dali Hook Capital Partners with Benchmark Capital, Pequot Capital, Bain Capital and Starvest Partners...more>

Network Physics Secures Additional Funding
Network Physics, provider of physics-based network management products, today announced an additional venture round of $6 million in funding. The new round of funding, led by Sofinnova Venture Partners with Point Venture Partners, Intel Capital, Lucent Venture Partners, and AIG SunAmerica. This brings Network Physics' total funding to $30 million...more>

Lancope Raises $5 Million in Second Round of Funding
Lancope, enterprise security, raised an additional $5M. New investor, Council Ventures and H.I.G. Ventures and GMG Capital Partners participated in the Series B funding. Total cash investments to date are $12M. Also, Dennis Bottorff, chairman of Council Ventures has joined the board of directors...more>

LongBoard to Raise $4M in Series D Round
LongBoard, VoIP infrastructure software products, plans to close $4 million in its ongoing Series D round at the end of this month...more>

Belgian company, DataCenter Technologies Raised $3.7M in First Round
DataCenter Technologies is a provider of data protection software as well as managed hosting solutions and services. Investors included NeSBIC CTe Fund, NIB Capital Private Equity, Partech International, TrustCapital Technologies.

Venturewire: Server Firm Rackable Systems Racks Up $1.5M in Series A
Rackable Systems, a provider of rack mount high-density server and storage systems, said it received $1.5 million in strategic funding as part of its Series A round. New investor PTI Ventures provided the funding...more>

Idetic Raises $1M in Second Round
Idetic, provider of bandwidth acceleration and wireless network management software (flagship product is the Far Reach Platform which is a network optimization and acceleration platform), raised $1M in second round financing led by Gefinor Ventures with Sorrento Ventures...more>

InfiniSwitch Corporation and Lane15 Software Announce Merger
InfiniSwitch and Lane15 Software announced the merger of their companies. The company will operate under the name InfiniSwitch. As part of the merger, InfiniSwitch announced the completion of additional round of funding. Investors include Austin Ventures, Bessemer Ventures, Columbia Capital, Convergent Ventures, Convergent Ventures, Flagship Ventures, Index Ventures, Lightspeed Venture Partners, Moore Capital Management, and TL Ventures. Strategic investors include: Dell, HP-Compaq, Intel and Quanta Computer. Alisa Nessler, CEO and president of Lane15, was named CEO of the company and joins the Board of Directors. Rob Adams, of Austin Ventures, and Bernard Dallé, of Index Ventures, were elected new members to the Board of Directors...more>

Loudeye Reverse Stock Split Approved by Stockholders
The company received an affirmative vote at a special meeting of stockholders, permitting the Loudeye Board of Directors, should it deem it beneficial, to effect a reverse stock split at a ratio of one-for-ten, one-for-fifteen, or one-for-twenty at any time prior to December 31, 2003...more>

Loudeye Announces Corporate Strategy Initiatives
As part of the corporate initiatives, Loudeye announced a reduction in staff affecting approximately 35% of its workforce. These actions will enable Loudeye to further leverage the profitable portions of the business by focusing on key and strategic customers. The reduction in force will primarily affect employees at Loudeye's headquarters in Seattle across all departments...more>

Enterprise Curl Book Details Developer Mastery
Curl announced the availability of Enterprise Curl, published by Prentice Hall PTR. The 400-page, advanced level handbook supports Curl's recently announced "Pilots with a Purpose" promotion by targeting experienced programmers looking to develop full-featured enterprise applications using the Curl Client/Web Platform...more>

Loudeye, Webcasting and digital media, announced its board of directors has appointed Jeff Cavins president and chief executive officer.
Effective immediately, he will replace Phil Gioia, who has resigned. Additionally, Anthony Bay, a Loudeye board member for nearly 3 years, replaces Chad Waite as chairman of the board, effective immediately...more>

Kubi Software appoints vice presidents of business development and engineering.
Steve O'Neill was named vice president of business development, joining Kubi Software from Trellix Corp. Bob Preble has been appointed vice president of engineering. He also joins Kubi Software from Trellix...more>

Zakie Mashiah joins Expand
Zakie Mashiah, a senior development executive from Computer Associates joins Expand as vice president of research and development and Gideon Hazam an IT and business operations expert with over 20 years of experience joins Expand as vice president of global operations...more>

Hatteras Networks promotes Peter Savage to CEO
Hatteras Networks, a developer of last-mile Ethernet access hardware and software platforms, announced its promotion of Peter Savage from vice president of business development to CEO...more>

Network Physics, provider of physics-based network management products, announced David Jones as president and CEO and Tom Dunn as vice president of sales and business development.
Jones comes to Network Physics from Ambrent where he was founder, president and CEO. Dunn most recently served as vice president of OEM Solutions Sales at Spirian Technologies...more>

Customer Announcements

Cegetel's Innovative One-LAN Service Powered by Extreme Networks' Metro Technology
Cegetel, a private telecommunications operator in France, is deploying Extreme's Virtual Metro Area Networking (vMAN) capability to deliver its One-LAN Virtual MAN service, establishing data connections between the multiple locations of business customers...more>

FOXSports.com Scores With Keynote Web Application Load Testing Services
FOXSports.com has turned to Keynote LoadPro and Test Perspective testing services to assure the performance, reliability and capacity of its Web site for both routine and last-minute events...more>

Akamai Selected as Exclusive Streaming Provider for the 75th Annual Academy Awards
Akamai's globally distributed computing platform will be used to deliver live and on-demand streaming video on Oscar.com...more>

Sockeye Helps Digital West Differentiate its Service Offerings by Boosting Reliability & Performance
Digital West Networks, a provider of commercial Internet hosting and high-performance connectivity, has deployed Sockeye Networks' GlobalRouteSM 3.0 to boost performance and reliability of its multihomed network...more>

Tarari demonstrates content processors at InfoSec World 2003
The Tarari CP-DK enables application layer content processing at network speeds. It is based on a flexible and programmable acceleration board-level platform, which enables adaptation to the evolving standards and usage models...more>

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