F5 Continues ADC Growth
CEO credits Cisco ACE wins for helping him to grow the business.
F5 Networks is picking up the pace for its Application Delivery Controller (ADC) business.
F5 reported third quarter fiscal 2013 earnings late Wednesday, with revenue coming in at $370.3 million for a 5 percent year-over-year gain. The bulk of F5 revenues came from its ADC business, which generated $366.8 million. Revenue from F5's ARX file virtualization business hit $3.5 million.
Looking forward, F5 provided fourth quarter guidance for revenue in the range of $378 million to $388 million.
Growth for F5's business comes from a combination of new product introductions and competitive displacements.
"Sales of the new products we have been introducing over the last 2 quarters continued to be very strong," F5 CEO John McAdam said during his company's earnings call. "In particular, we saw solid orders for the new entry-level BIG-IP 2000 Series platforms, which we introduced in Q2."
F5 announced the BIG-IP 2000 in January of this year. BIG-IP 2000 is F5's entry point ADC and includes 10 GbE ports as well as SSL capabilities.
F5 also recently updated its core operating systems with the BIG-IP 11.4 software update. That update delivers F5's ScaleN technology, which includes iCall for orchestration of a scalable ADC.
"With our newly released iCall technology, F5 is setting the standard for increased programmability and control plane extensibility, providing the dynamic automation of event-driven policy decisions in the network," McAdam said.
During the call, McAdam indicated that the F5 product roadmap includes some significant enhancements to the VIPRION platform.
Those enhancements include a second-generation blade for the popular VIPRION 2400. "This new VIPRION 2250 blade will significantly increase the vCMP (Virtual Clustered Multi-processing) multi-tenant density by a factor of five," McAdam said.
As has been the case since the beginning of the year, F5 is still benefitting from Cisco's exit from the ADC market.
"Among the drivers of our business going forward, we continue to gain momentum in our initiatives to replace Cisco's installed base of ACE products," McAdam said. "As I have mentioned in the past, we are seeing a clear pattern, where we replace ACE products with F5 platforms, offering customers additional functionality, including security, access control and application acceleration."
Sean Michael Kerner is a senior editor at Enterprise Networking Planet and InternetNews.com. Follow him on Twitter @TechJournalist.