Network Instruments’ Strong Growth Continues at 26 Percent for 2006 GigaStor™ Drives Fifth Consecutive Year of More Than 24 Percent Revenue Growth January 16, 2007 – Minneapolis, MN – Network Instruments®, a leading provider of innovative analysis solutions for in-depth network intelligence and continuous availability, today announced that total company revenue for 2006 increased by 26 percent over 2005. This marks the fifth consecutive year of annual revenue growth above 24 percent. The surge in company sales has been fueled by significant competitive wins, the introduction of new retrospective analysis appliances, and growth in new markets. Competitive Wins “In managing network access to over 30,000 users across Wisconsin, Network Instruments provided us with the most comprehensive solutions available,” said Bill Lundgren, lead enterprise network engineer for Aurora Health Care. “I use Observer and GigaStor for handling daily network issues as well as troubleshooting complex tasks, like deploying and monitoring the performance of our VoIP and wireless networks. Network Instruments offered us greater flexibility and better performance than our past analysis tools.” Other major customer wins from 2006 included: Akron Children’s Hospital, ESPN, Fair Issac, Norfolk Southern, Norwich Union, Richardson Electronics, Rogers, Sara Lee, T.D. Ameritrade, Toronto Stock Exchange (TSX), Total Oil, Toyota, and Univision. New Products Companies use retrospective analysis appliances to store days, weeks, and even months worth of packet-level data for comprehensive historical analysis. Using GigaStor’s unique time-based navigator, IT staffs quickly sort through massive amounts of traffic to find the policy violation or anomalous traffic. During 2006, several key enhancements made GigaStor the RNA solution of choice for large enterprises:
In addition to GigaStor, Network Instruments provided support for new topologies and technologies across the Observer® product family, including support for 10 GbE, NetFlow and sFlow technologies, and Fibre Channel. Network Instruments also introduced several new network hardware solutions including:
Market Expansion, Customer Acquisition, and Partnerships A new regional office was opened in Seattle in order to serve an increase of customers in the northwest United States. In addition, an office was opened in the greater Washington, D.C. area to support the government sector. In August 2006, Network Instruments acquired Sunbelt Software’s LanHound™ customers. Network Instruments acquisition increased the company’s user base as LanHound customers successfully transitioned to Observer. In an important move to provide end-to-end performance monitoring and root cause analysis in a single offering, Network Instruments announced its partnership with NetQoS®, a provider of network performance management solutions. The move will provide users with a single proven solution for complete network analysis. For Network Instruments, it was a natural fit that allows the company to better and uniquely address the needs of the enterprise analysis market. “The year has been outstanding not only in terms of the growth that we achieved this year, but for the steps that we took to ensure that Network Instruments remains a leading analysis solution in the future,” said Douglas Smith. “By integrating support for 10 Gigabit, Fibre Channel, and NetFlow technologies, we’re well positioned to handle the network and application management needs of enterprise. Our partnership with NetQoS gives us the ability to deliver an end-to-end solution unequalled in the market.” Product Pricing ### About Network Instruments
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