Brocade bags vendor
Storage networking outfit adds a range of new network acceleration technologies to portfolio with acquisition
Storage networking vendor Brocade - which recently established a Middle East office in Dubai - has made its third acquisition inside the past ten months by snapping up US-based Silverback Systems.
Brocade has deemed the value of the acquisition "not material", implying that it is set to cost a fragment of the US$700m it is shelling out for rival McData. However, the deal is just as important to the future of the vendor's enterprise portfolio.
Network acceleration technology specialist Silverback provides processors using the iSCSI network protocol to increase the movement of data within a network.
"Silverback's technology and expertise in iSCSI environments will help us to deliver a new set of cost-effective products that broaden the Brocade product portfolio and provide even more options and capabilities to our customers," declared Dan Crain, CTO at Brocade.
Despite the low cash purchase price, Brocade confirmed that it did expect to record charges for goodwill, in-process R&D and other intangible assets connected to the acquisition in the first quarter of its 2007 financial year.
The acquisition is likely to provide a boost to Brocade's Middle East business as it seeks to impress the local market with its technology. Brocade claims it wants to have at least 15 staff working in the UAE, Saudi and Turkey within the next two years.