43.Enterasys Networks: Consolidation, Growth

Enterasys–one of the four entities that were spun off from Cabletron last
year–inherited Cabletron’s traditional strengths in the area of
infrastructure technology. A successful branding exercise, coupled with a smart
business model, saw Enterasys register an impressive 126% growth and double its
revenues. The company focused its energies on specific enterprise sectors. The
verticals that led the growth were manufacturing,
IT companies and government, which accounted for 80% of its revenues. In LAN
switches, the company, with a market share of 33%, gave a tough fight to the
bigwig Cisco. It also concentrated on delivering solutions in areas such as
wireless, VPNs, multi-layer switching, high-performance routing, security and
enterprise management portfolios. Multi-crore deals with companies such as GAIL,
EIL, GNFC and Applitech Internet also paid dividends. With strong partners in
L&T and CMS and new strategic alliances with Siemens, Citrix and SAP, this
year could be yet another phase of turnaround for Enterasys. The target–position
itself as a total networking solutions provider.