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Market Research Digest - 17th July 2003
A little late this week - sorry!
Allot launches first Gigabit layer 7 QOS appliance
The new NetEnforcer AC-1000 Series allows customers to monitor, classify and shape IP traffic, enforce QoS policies, throttle P2P traffic and enforce SLAs. See press release.
This kind of internal LAN/WAN management solution can be seen as complementary to other QOS solutions such as the CatchFIRE FIRENode. FIRENode - which already runs at Gigabit speeds - can apply business policies to prioritise HTML traffic, and then hand the traffic off to NetEnforcer which can manage it at the request level, alongside other kinds of IP traffic.
In recent tests, software inspection firm Reasoning concluded that the much-touted Apache had as many weaknesses in its code as its rivals. Reasoning's analysis found 31 code defects in 58,944 lines of source code - scoring 0.53 per thousand lines of source code, against commercial average defect density of 0.51 per thousand. See vnunet.
However, 29 of those defects - see the full defect report and the metrics - were potential null pointer de-references, with pre-conditions that might be always false... I guess the main point is that open source software is no worse than commercial.
Cast Iron Systems raises money, announces CEO
Cast Iron Systems, formerly known as IronHide Corporation, announced the appointment of Fred Meyer (former Chief Strategy Officer at Tibco) as president and CEO. In addition, the company has received private funding totaling $8.3 million, led by Sequoia Capital and Norwest Venture Partners, which enabled Cast Iron to bring the first release of its breakthrough application integration technology to the market, and will allow its sales, marketing and development teams to expand. See press release.
So, Meyer didn't like management changes at Tibco - see my 6th Nov 2002 prediction.
The European Commission's Proposal for a Directive on the Patentability of Computer-Implemented Inventions, which has been in the making since 1997 and was published in February 2002, was due to go to a vote in the European Parliament late last month. But it has been rescheduled for September, giving both camps another three weeks before the summer recess in which to reach a compromise proposal. See vnunet.
This article suggests that though F5 Networks has successfully turned around to get back to profitability, it may be having trouble actually growing the business. Revenue has been more or less flat for five quarters; what increases there have been seem to have come from services rather than new license sales. One analyst says F5 could grow by acquisition: "they could go out and look for companies with technology that complements their own". The company has no debt and had nearly $90 million in cash on the books, according to SEC filings.
See Puget Sound Business Journal of 24 June.
Still struggling: Iona has announced second quarter revenues of $16.4 million and a net loss per share of ($0.77) as calculated in accordance with U.S. generally accepted accounting principles (GAAP). Iona reported a one-time restructuring charge of $14.8 million in the second quarter ended June 30, 2003 for consolidation of excess facilities, reduction of workforce, and other cost reduction activities.
See [press release.
Revenues are down a little from Q1's $17.0M and of course catastrophically down from last years Q2 of $26.3M. Can founder Chris Horn, reappointed in May, turn Iona round following his fairly brutal restructuring?
Kalido, the data warehousing and data management software provider, has raised “substantial” funds from Atlas Venture and Benchmark Capital to finance new business growth. The amount is reportedly multiple millions of dollars. The software provider has also been spun off by its former parent, the Royal Dutch/Shell Group of Companies (Shell). In addition, Kalido has named Bob Potter, formerly of IONA Technologies, as its new chief executive officer.
See messageQ.
At last - this has been the longest incubation period for any company I know - Kalido has been on the verge of floating off for the last six or seven years, it seems.
If hot-desking is the bane of your life then software that automatically logs you onto the nearest computer could help. All you need to do is laugh. Computer scientists at Monash University in Melbourne came up with SoundHunters, a program that recognises someone's voice or laughter and works out which computer is nearest to them. It could then be used to automatically log them on to the computer. See New Scientist.
Sherwood International sells out to SunGard
More M&A; another UK software company falls to the opposition. Following a failed £50 million MBO, Sherwood - an insurance specialist - has been snapped up by SunGard Data Systems. In spite of a number of reorganisations since CEO Mike Shinya (formerly of Oracle and then Baan) joined in 2001, difficult market conditions made this an offer they couldn't refuse. See Infoconomy
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