SAN JOSE, Calif. -- November 1, 2013 -- Extreme Networks, Inc. (NASDAQ: EXTR) today announced that it has completed the acquisition of Enterasys Networks. The combined company immediately becomes a networking industry leader with more than 12,000 customers. Extreme Networks will set the standard for the networking industry with a strategic focus on three principles:
- Highly scaled and differentiated products and solutions: Extreme Networks will significantly increase R&D to accelerate the vision for high-performance, modular, open networking. The combined portfolio spans data center networking, switching and routing, Software-Defined Networking (SDN), wired and wireless LAN access, network management and security. The broader solutions portfolio can be leveraged to better serve existing and new customers. Extreme Networks will continue to enhance and support the product roadmaps of both companies going forward to protect the investments of customers and avoid any disruption to their businesses.
- Best-in-class customer service and support: Extreme Networks will augment the current outsourced support model by adopting Enterasys' in-sourced expertise, continuing the award-winning heritage and strong commitment to exceptional customer experience. The Company's expanded global network of channel partners and distributors will benefit from more services and support capabilities.
- Strong Channels and Strategic Partners: Extreme Networks' focus will be to expand existing partnerships with Lenovo and Ericsson as well as continue to add new strategic partnerships in the future. Additionally, Extreme will increase its focus on partnering with distributors and channel partners globally. The goal will be to develop and enhance relationships that grow revenue and profits for the company and our alliance and channel partners. At the same time, we are investing in infrastructure to make it as easy as possible to do business with Extreme Networks.
Extreme Networks expects to double its revenue, to over $600M annually, and is now the fourth largest Ethernet networking vendor.
"We are committed to preserve and enhance our customers' investments and existing portfolio lifecycles. Our vision is to provide superior products and services to our customers and lead the industry with networking solutions that allow IT organizations to accelerate business growth and efficiency," said Chuck Berger, CEO for Extreme Networks. "Our current and future products and services will solve the networking challenges that are most critical to our customers' success."
"I am thrilled that we are combining with Extreme Networks. We now have the scale to execute on many fronts, and broaden our market reach. Our networking innovation will deliver the highest level of customer value. With our global footprint, broadened portfolio, highly skilled talent and customer-centric culture, we are well positioned to set the standard for the best customer experience," said Chris Crowell, former CEO of Enterasys and now COO for Extreme Networks.
"Mobile, Social, Cloud, Big Data and the application economy are changing the landscape of business," said Vala Afshar, CMO for Extreme Networks. "We are well positioned with our people and portfolio to guide organizations through this digital transformation."
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Extreme Networks Q4 Results Conference Call and Webcast
The Company will host its FY14 Q1 earnings before market open on Monday, November 4th at 8:00 am EST.
- November 4, 2013 at 8:00 a.m. EST (5:00 a.m. Pacific Time)
- Live over the Internet -- Simply log on to the web at the address above.
- A replay of the webcast will also be available at the address above for 7 days.
- Toll Free: (877) 303-9826 or international: (224) 357-2194
- Encore Recording: (855) 859-2056 / or international (404) 537-3406
- Conference ID: 87798685
Rohit Mehra, Vice President of Network Infrastructure, IDC
- "The combination of Extreme and Enterasys creates a network solution provider of significant size, both in the enterprise campus and datacenter market segments. With a portfolio of technology solutions that span across BYOD and mobility, cloud and datacenter, as well as security and network management, Extreme is expected to leverage portfolio and go-to-market strengths to garner the mind share it deserves. Of course, IDC will continue to monitor progress as Extreme takes the next steps in rationalizing its portfolio, building on its partnerships, and focusing on customer needs while accelerating R&D to bring innovative solutions to market."
Bob Laliberte, Senior Analyst, Enterprise Strategy Group
- "The merger of Extreme and Enterasys should be viewed as a positive development for both customers and partners. The new company has stated its intention to strengthen its combined customer base with its passionate commitment to support and services. As a result, both companies' product lines will be fully supported for years to come. By combining resources and focusing on complementary technologies areas, the combined entity should be able to accelerate the time to market for innovative network solutions. Seamless product transitions and superior customer support will be critical elements to their success."