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McData Sweeps Up Nishan, Sanera: Page 2 of 3

McData said its SANavigator and Enterprise Fabric Connectivity Manager (EFCM) software will be extended to support the new technologies and services.

Separately, McData announced today that it has entered into an agreement with storage chip startup Aarohi Communications Inc. to provide technology for McData's intelligent switch platforms (see McData Signs Deal With Aarohi).

The company also posted financial results for its second quarter 2003, ended July 31, 2003, with record revenues of $107.0 million and net income of $9.1 million, or $0.08 per share (see McData Posts Record Q2 Revenues).

McData's acquisition of Sanera -- which had been rumored to be in the works for several months -- gives it a highly scalable director-class SAN switch that goes well beyond the 140-port switch it offers today. Sanera's switch provides up to 256 non-blocking 2-Gbit/s ports per chassis and provides a "dynamic partitioning" feature that allows multiple SAN fabrics to run over the same physical infrastructure.

Sources indicated that Sanera's VCs initially came to the table with an asking price higher than McData was willing to pay (see Is McData Lowballing Sanera? and Sources: McData to Buy Sanera). Sanera's investors included ArrowPath Venture Capital, CMEA Ventures, Enterprise Partners Venture Capital, Goldman Sachs & Co., Greylock, and Storm Ventures.