Take a Network Break! Join Drew, Greg, and Ethan for episode 54, where we examine a new funding round for switching startup Plexxi, and parse Wall Street’s response to Palo Alto Networks’ Q4 financial results.
Then we delve into news about significant job cuts at the soon-to-emerge HP Enterprise, and discuss whether certain business units might be sold.
A listener wrote with a response to our commentary on the Apple/Cisco partnership and explains how we got it wrong. We love listener comments, so don’t hesitate to let us know what we got wrong with this episode.
EMC gets us wondering about a new offering that bundles its ScaleIO software on commodity servers, and we scratch our heads about a Cisco-driven microservices stack called MANTL.io.
As always, you can find links to all the stories we discussed below.
Sponsor: Sonus Networks
This week’s show is sponsored by Sonus Networks. Sonus wants you to know that there is a better way to address business continuity with less cost, more flexibility, and increased management efficiency – a Software-Defined WAN (SD-WAN) powered by Sonus’ NaaS IQ. Ensure you know the differences between SD WAN business connectivity and SD WAN business continuity; visit Sonus at www.sonus.net or reach them at 1-855-GO-SONUS and tell them you heard about them on PacketPushers.
Plexxi Gets $35MM In Funding
Napolitano, who took over as CEO in November, anticipates one more round of funding before the company would consider filing for an IPO.”
Palo Alto Boosts Sales, Loses Money, Wins Deals
Palo Alto Networks Rides High in Q4 – SDX Central
For its fourth quarter, which ended July 31, Palo Alto reported revenues of $284 million and a net loss of $46 million, or 55 cents per share. For the same quarter a year ago, Palo Alto reported revenues of $178 million and a net loss of $32 million, or 11 cents per share.”
HP Job Cuts Coming
The new reductions amount to about 10 percent of the new company’s workforce, and will save about $2.7 billion in annual operating costs. The new cuts would bring the total jobs eliminated at Hewlett-Packard since Meg Whitman became CEO to about 85,000.”
Why HP Is Irrelevant – Om Malik
HP has reported a decline in revenue for the past 14 out of 15 quarters. How does a company suddenly return to growth from that kind of slide? Whitman told analysts that she is hoping for GDP-like organic growth. That is highly optimistic, and the question is, Can HP do it consistently? You have to be a hell of a believer to buy that line. Sure, HP Enterprise stock might go up, but I don’t think the company is going to suddenly become relevant.
Listener Comments: How We Got It Wrong
We received comments from a listener about the Apple/Cisco relationship we discussed in Episode 52:
Just listened to the commentary on the Apple Cisco announcement. You guys got that one all wrong. It’s all about UC. Cisco sees the handset market dying and knows it needs a solid partner in the mobile platform space. Who better to partner with than Apple to blunt competition from MSFT?
EMC Sells Servers
Mantl.io: A Microservices Stack From Cisco
Mantl Introduces Microservices as a Stack – The New Stack