Vitesse's long-haul sales are shrinking, but revenues in every other segment grew last quarter, Tomasetta told analysts. Storage revenues of $18.6 million were up 9 percent from the previous quarter, representing nearly half of Vitesse's revenues. Enterprise and metro sales likewise grew strongly, although both are still in the single-digit millions.
Tomasetta said the 24 percent growth in metro, to $6.6 million, was boosted by the introduction of the 9118 framer, which handles next-gen Sonet features such as virtual concatenation and generic framing procedure (see Vitesse Joins Next-Gen Sonet Party).
But it's storage, with roughly 10 percent growth per quarter, that has "been our strongest market for probably the last year," Tomasetta told analysts.
So far, "storage" has meant Fibre Channel chips, such as the 20-port device Vitesse developed with technology from Vixel Corp. (Nasdaq: VIXL (see Vitesse Ships 20-Port FC Chip). Vitesse is also entering the Serial ATA market with a chip expected to produce revenues in the June quarter, and the company's started backplane systems work as well (see Vitesse Ships Serial ATA Chips).
Storage could be Vitesse's future, but it's still a bit unclear what a networking-storage-chip company would look like. "There's the whole other side of storage, which is more PC-ish" and carries the stigma of low margins and tough competition, says Sandy Harrison, analyst with Banc of America Securities LLC.
Bob Friday, Chief AI Officer for Juniper Networks, explains how the advanced technology is transforming operations.
Contact center leaders from 8x8, Awaken Intelligence, and 360insight discuss the importance of agent experience.
AI may force enterprises to rewire parts of their data centers so they are fully optimized to run such workloads. The question is do you use Ethernet or InfiniBand?
