Silver Peak Wraps Fiscal Q2 as Fastest Growing WAN Optimization Company

Customers Prefer Silver Peak ‘Data Center Class’ WAN Optimization for Disaster Recovery, Application Centralization, Cloud Computing, and Virtual Desktop Initiatives

SANTA CLARA, Calif., March 7, 2011 Silver Peak Systems , the leader in data center class wide area network (WAN) optimization, today announced it is the fastest growing WAN optimization company and is on track for record revenue based on the results of its fiscal second quarter. The quarter, which closed on January 31, 2011, was marked by increased customer adoption, rapid international expansion, a growing channel partner program, aggressive hiring, and positive industry analyst feedback.

Silver Peak’s rapid growth is fueled by more applications and IT initiatives converging in the data center. This has driven a requirement for “data center class” WAN optimization around strategic IT initiatives such as disaster recovery, application centralization, cloud computing, data center consolidation, and virtual desktop infrastructures (VDI).

“Data center class WAN optimization is one of the fastest growing technology segments and a critical enabler for today’s most strategic IT initiatives,” said Larry Cormier, senior vice president of marketing for Silver Peak. “It’s no longer about trying to check the box for every application you want to run, it’s about being application agnostic and optimizing the network for all applications. This has led Silver Peak to become the trusted WAN optimization solution for countless IT organizations that want to spend less and move more data across further distances—whether between data centers, or between data centers and branch offices.”

Silver Peak milestones in the quarter include:

  • New Customer Adoption —During the quarter, Silver Peak signed new customers around the globe including: Ansell Healthcare, Biotronik (Germany), The Delta Group, Enercon, Junto Telecom (Brasil), Kronos, LFoundry (Germany), Nebraska Heart Institute, NetLogic Microsystems, Telekom Malaysia, and many others.
  • Broad International Expansion —Silver Peak expanded its business into new geographies during the quarter. Europe, Middle East, and Africa (EMEA) operations expanded with a new regional headquarters in Munich, Germany; new offices in France and the Netherlands; and new sales, marketing, and support personnel in the United Kingdom. An Asia Pacific regional headquarters was opened in Singapore to support teams in Singapore, Hong Kong, and Japan; and new offices were opened in Sydney and Melbourne to support teams in Australia and New Zealand.
  • Worldwide Channel Growth —In the quarter, Silver Peak also grew its channel partner program by expanding its relationship with Exclusive Networks beyond Southern Europe to also cover Belgium, Netherlands, Luxembourg (BENELUX) and the Nordics. In addition, Silver Peak signed Orchestra and Data Request to complement Silver Peak’s existing relationship with Sysob for coverage in Germany, Austria, and Switzerland. Silver Peak also grew its North American channel partner base by signing on new partners that include Accuvant, Bear Data, Accudata Systems, Accunet Solutions, Hartford Consulting Group, NetFast Communications, Philotek, and Network Computing Architects.
  • Extended Strategic Data Center Partnerships —Augmenting existing partnerships with Dell, Hitachi Data Systems, and EMC, Silver Peak joined the HP AllianceONE partner program and achieved “Network Specialization” partner status. The company also joined Avaya on their launch of the Avaya Virtual Enterprise Network Architecture (Avaya VENA), allowing organizations to more easily optimize applications and service deployments in and between data centers and campuses. Silver Peak was also a co-founder of the VDI coalition in the quarter.
  • A Visionary in Gartner Magic Quadrant —Silver Peak was named a “Visionary” in the Gartner 2010 “Magic Quadrant for WAN Optimization Controllers.” (Gartner, Inc. Magic Quadrant for WAN Optimization Controllers, Severine Real, Andy Rolfe, Joe Skorupa, December 23, 2010.)
  • First Data Center Class Virtual WAN Optimization appliance —Silver Peak announced a milestone in the quarter by introducing the Silver Peak VRX-8 virtual WAN optimization appliance, which is the industry’s first data center class virtual WAN optimization appliance that delivers 20 times more throughput than any other virtual WAN optimization appliance.

About Silver Peak Systems, Inc.
Silver Peak develops data center class network appliances that maximize WAN performance while minimizing WAN costs.  The company’s unique network approach to WAN optimization delivers unprecedented scalability and flexibility, enabling enterprises to rapidly move large amounts of data across long distances.  Silver Peak’s WAN optimization solution is a strategic enabler for large IT initiatives, including data center consolidation, data migration, disaster recovery, server centralization, and global application and desktop virtualization.

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