Feeds

Overland snatches Adaptec's Snap Server biz

Free at last with a virtual fire sale

Secure remote control for conventional and virtual desktops

The acquisition immediately adds approximately $18 million in annual revenue to the company's run rate, which should provide Overland with the ability to leverage its existing sales force, marketing resources and infrastructure.

Finally, the acquisition contributes a significant amount of proprietary intellectual property (IP), which should strengthen the company's intrinsic value, along with a strong and cohesive development team to promote further growth of the Snap Server product line.

LoForti said: "We believe that the cross-pollination of existing Overland IP with the Snap Server IP will yield innovative features and products that will strengthen all our product offerings individually, as well as improve their interoperability. Snap Servers are pervasive in the marketplace and we intend to leverage this position to continue the Snap tradition of simple, reliable, easy-to-use appliances."

"We also plan to extend the Snap reach by exploring emerging market segments such as the ever-increasing demands for high-performance, cost-effective, scalable file-based storage to accommodate the rapid rise of video surveillance and video archiving applications. Although the acquisition initially will negatively impact our P&L, our goal is to make the Snap business cash-flow positive by the third quarter of our fiscal year ending June 30, 2009."

Overland Storage will take over control of all existing Snap Server networked and desktop storage appliance assets including licenses, patents, existing product inventory and fixed assets and assume customer support obligations. Approximately 50 Adaptec employees will receive offers to join Overland Storage effective June 30, 2008. These employees will remain in the same facility in Milpitas, California which Overland is subleasing from Adaptec.

adaptecWhere does this leave Adaptec? It offers a comprehensive product family based around a Unified Serial Architecture that allows VARs, OEMs and IT organizations to create storage products using SAS (performance) or SATA (capacity) disk drives or both. It will continue to focus on iSCSI market opportunities, and the development of new technologies for integrating high-value, competitive advantages into its RAID controller and HBA products lines. It is also working to expand its global sales channels and strategic partnerships within the data storage ecosystem to increase its visibility in strategic markets.

Bottom line: For $3.6 million Overland Storage has bought an $18 million/year run rate NAS business and strengthened its hand in the primary drive array SAN storage market and gained a pool of NAS talent that could help its REO disk-based protection line and provide a product development springboard into new areas such as video surveillance storage as well.

Copyright © 2008, Blocks & Files.com

Secure remote control for conventional and virtual desktops

More from The Register

next story
Linux? Bah! Red Hat has its eye on the CLOUD – and it wants to own it
CEO says it will be 'undisputed leader' in enterprise cloud tech
Oracle SHELLSHOCKER - data titan lists unpatchables
Database kingpin lists 32 products that can't be patched (yet) as GNU fixes second vuln
Ello? ello? ello?: Facebook challenger in DDoS KNOCKOUT
Gets back up again after half an hour though
Hey, what's a STORAGE company doing working on Internet-of-Cars?
Boo - it's not a terabyte car, it's just predictive maintenance and that
Troll hunter Rackspace turns Rotatable's bizarro patent to stone
News of the Weird: Screen-rotating technology declared unpatentable
prev story

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.