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Press Release

Emulex Unveils Next Generation Network Performance Management Platform With Unprecedented Levels of Network Visibility

New EndaceProbe INRs and EndaceVision Software Enable Application Acceleration and Maximise Network Availability

COSTA MESA, Calif., 4 March 2015 - Emulex Corporation (NYSE:ELX), a leader in network connectivity, monitoring and management, today announced the next generation of its network monitoring and visibility portfolio, architected to support the demands and complexity of today's 10Gb, 40Gb and 100Gb Ethernet (100GbE)-based networks. The latest EndaceProbe™ Intelligent Network Recorders (INRs) and EndaceVision™ 6.0 Network Visibility Software introduces new capabilities to manage and make sense of the massive network traffic volumes created by continual business demands. The new EndaceProbe INR and EndaceVision reduce the costs and effort associated with managing physical, virtual and software-defined networks by enabling network and security professionals to rapidly capture, analyse and diagnose potential and actual network and security issues in real-time. The ability to view network incidents with microsecond-level accuracy is unprecedented in the Application Aware-Network Performance Management (AA-NPM) and security space.

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"As 10GbE, 40GbE and 100GbE networks become more prevalent and complex with hybrid cloud deployments, software-defined networking and multiple layers of virtualisation, our customers trust EndaceProbe INRs to provide a deep and consumable understanding of how each layer interacts and affects their network performance and availability, as well as enabling the enterprise to track and manage security incidents and issues by having real-time packet level visibility into all incidents and activities," said Ali Hedayati, senior vice president and general manager, Network Visibility Products, Emulex. "Our next generation network visibility platforms provide a dramatic step forward in network visibility and monitoring and our industry-leading ability to visualise the network and security events which enable predictable application service level agreements and security management."

Next Generation EndaceProbe INRs
Next generation EndaceProbe INRs have been re-architected to meet the performance, reliability, processing power, and open architecture needed to integrate with today's network and application management solutions. When combined with EndaceVision 6.0, EndaceProbe INR network visibility appliances allow network operations teams to quickly and easily identify issues, and optionally pass the relevant data to third party tools. This dramatically improves root cause isolation and mean time-to-resolution (MTTR).

New EndaceProbe INRs include the following new or enhanced features and capabilities:

  • Integrated Virtual Machines (VMs): EndaceProbe INRs include a hypervisor, which allows analysis management, and security applications to be hosted in a VM and have direct access to packet data at the point of capture. Since multi-gigabit capture files can be large and cumbersome to send to analysis applications, the ability to load third party software directly onto the EndaceProbe INRs enables analysis software to be quickly and easily added or moved to the data instead of moving the data to the software.
  • 10GbE Write To Disk Performance and Increased Compute Power: EndaceProbe 4104 and 8004 INRs provide 10GbE write to disk rates, minimising total cost of ownership while providing the industry's only 100 per cent accurate packet capture on today's multi-10GbE networks. EndaceProbe INRs also include increased compute power and memory that reduces the hardware footprint needed to support the analysis of multi-10GbE networks.
  • Flexible Deployment Options: The EndaceProbe INRs include three new options; the 4104, 4004, and 8004. The EndaceProbe 4104 INR - with highly reliable solid state disk (SSD) primary storage - is ideal for on-demand recording across multiple 10GbE networks or wherever physical access is a challenge. The EndaceProbe 4004 INR is a cost effective 1RU appliance for lower packet rate multi-1GbE or 10GbE network links, ideal for remote locations. The EndaceProbe 8004 INR is a 2RU appliance providing ultra-fast, highly reliable disk storage for packet capture on 10GbE or higher networks. It is ideally suited for the core, distribution, and access layers within data centres and large campus environments for continuous high-speed recording and fast retrieval during traffic analysis.

Next Generation EndaceVision
EndaceVision 6.0 is a powerful, purpose-built, web-based network history visualisation application for high-speed networks that comes bundled with all EndaceProbe INRs. Using EndaceVision, network operations, security, or incident response professionals can navigate quickly through network history data - both packets and metadata - to identify the cause of network issues and take appropriate action - without guesswork.

EndaceVision includes the following new features and capabilities:

  • Endace MicroVision Support: Endace MicroVision gives network managers microsecond-level views into the captured packet data, allowing users to troubleshoot disruptive high speed network issues with more detailed and accurate inspection of shorter time periods. For 10GbE, the time to transmit each packet of information has decreased by 10x as the amount of traffic has increased by 10x, exponentially increasing the amount of data for an IT analyst to cull through when troubleshooting a network or application issue. Endace MicroVision allows analysts to focus on the problem in small timeframes, reducing the distraction of additional data and greatly enhancing MTTR (watch this video to learn more).
  • Dynamic Network Visualisations: EndaceVision now includes the TCP Flags visualisation and client and server breakdowns, leveraging TCP's intrinsic statefulness and explicit signalling to assist in monitoring and debugging transport services across the network (watch this video to learn more).
  • SCADA Detection and Decoding: EndaceVision 6.0 addresses the needs of the utilities industry by including automatic ICS/SCADA protocol detection and visualisation, plus full packet-level decodes in the web-based EndacePackets™ viewer, enabling analysts to ensure the stability and security of utility network traffic.

"As 10GbE networks continue to proliferate, network managers need microsecond-level granularity to sift through the data needed to monitor and troubleshoot their high-speed networks as quickly as possible," said Shamus McGillicuddy, senior analyst, network management, Enterprise Management Associates. "The new capabilities in the Emulex network visibility portfolio will give customers flexible options and tools that will speed resolution of critical network issues, and enable them to provide a world-class experience."

Additional Resources:

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About Emulex
Emulex provides connectivity, monitoring and management solutions for high-performance networks, delivering provisioning, end-to-end application visibility, optimisation and acceleration for the next generation of software-defined, telco and Web-scale data centres. The Company's I/O connectivity portfolio, which has been designed into server and storage solutions from leading OEMs and ODMs worldwide, enables organisations to manage bandwidth, latency, security and virtualisation. The Emulex network visibility portfolio enables global organisations to monitor and improve application and network performance management. Emulex is headquartered in Costa Mesa, Calif. For more information about Emulex (NYSE:ELX) please visit www.emulex.com.

Press Contacts
Katherine Lane
Senior Director, Corporate and Marketing Communications
+1 714-885-3828
katherine.lane@emulex.com

Jolene Peixoto
Senior Manager, Public Relations and Social Media
+1 714-885-3858
jolene.peixoto@emulex.com

Cautions Regarding Forward-Looking Statements
This announcement contains forward-looking statements. Forward-looking statements may be typically identified by such words as "may," "will," "could," "should," "expect," "anticipate," "plan," "likely," "believe," "estimate," "project," "intend," and other similar expressions among others. These forward-looking statements are subject to known and unknown risks and uncertainties that could cause our actual results to differ materially from the expectations expressed in the forward-looking statements. Although Avago Technologies Limited ("Avago") and Emulex Corporation ("Emulex") believe that the expectations reflected in the forward-looking statements are reasonable, any or all of such forward-looking statements may prove to be incorrect. Consequently, no forward-looking statements may be guaranteed and there can be no assurance that the actual results or developments anticipated by such forward looking statements will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, Avago, Emulex or their respective businesses or operations. The foregoing review of important factors that could cause actual events to differ from expectations should not be construed as exhaustive and should be read in conjunction with statements that are included herein and elsewhere, including the risk factors included in Emulex's and Avago's most recent Quarterly Report on Form 10-Q and Annual Report on Form 10-K, respectively, and Emulex's and Avago's more recent reports filed with the SEC. Emulex and Avago can give no assurance that the conditions to the transaction will be satisfied. Neither Emulex nor Avago undertakes any intent or obligation to publicly update or revise any of these forward looking statements, whether as a result of new information, future events or otherwise, except as required by law. Emulex is responsible for information in this press release concerning Emulex and Avago is responsible for information in this press release concerning Avago.

"Safe Harbor" Statement
"Safe Harbor'' Statement under the Private Securities Litigation Reform Act of 1995: With the exception of historical information, the statements set forth above contain forward-looking statements that involve risk and uncertainties. We expressly disclaim any obligation or undertaking to release publicly any updates or changes to these forward-looking statements that may be made to reflect any future events or circumstances. We wish to caution readers that actual future results could differ materially from those described in the forward-looking statements as a result of a variety of factors, including those discussed in our filings with the Securities and Exchange Commission, including our recent filings on Forms 10-K and 10-Q, under the caption "Risk Factors." Those factors and the factors listed below could cause actual results to differ materially from those in the forward-looking statements:

  • faster than anticipated declines in the demand for storage networking and fiber channel and slower than expected growth of the converged networking market or the failure of our Original Equipment Manufacturer (OEM) customers to successfully incorporate our products into their systems;
  • the highly competitive nature of the markets for our products as well as pricing pressures that may result from such competitive conditions and the emergence of new or stronger competitors as a result of consolidation movements in the market;
  • our dependence on a limited number of customers and the effects of the loss of, decrease in or delays of orders by any such customers or the failure of our OEM customers to successfully incorporate our products into their systems;
  • our reliance on a limited number of third-party suppliers and subcontractors for components and assembly, many of which are located outside of the United States;
  • the effect on our margins of rapid migration of technology and product substitution by customers, including transitions from application specific integrated circuit (ASIC) solutions to boards for selected applications and higher-end to lower-end products, mezzanine card products or modular Local Area Network (LAN) on Motherboard (LOMs);
  • the non-linearity and variability in the level of our revenue resulting from the variable and seasonal procurement patterns of our customers;
  • the possibility that our goodwill could become impaired in the near term which would result in a non-cash charge and could adversely affect our reported GAAP operating results;
  • any inadequacy of our intellectual property protection or our ability to obtain necessary licenses or other intellectual property rights on commercially reasonable terms;
  • our ability to attract and retain key technical personnel;
  • our ability to respond quickly to technological developments and to benefit from our research and development activities as well as government grants related thereto and delays in product development;
  • intellectual property and other litigation against us, with or without merit, that could result in substantial attorneys' fees and costs, cause product shipment delays, loss of patent rights, monetary damages, costs associated with product or component redesigns and require us to indemnify customers or enter into royalty or licensing agreements, which may or may not be available;
  • our dependence on sales and product production outside of the United States so that our results could be affected by adverse economic, social, political and infrastructure conditions in those countries;
  • weakness in domestic and worldwide macro-economic conditions, currency exchange rate fluctuations or potential disruptions in world credit and equity markets; terrorist activities, natural disasters, or general economic or political instability and any resulting disruption in our supply chain or customer purchasing patterns; and
  • changes in tax rates or legislation, accounting standards and other regulatory changes.

On February 25, 2015, Emulex agreed to be acquired by Avago Technologies Limited (Nasdaq: AVGO), subject to the satisfaction of certain conditions.  Factors related to the acquisition which could cause actual results to differ from those projected or contemplated in any such forward-looking statements include, but are not limited to, the following factors: (1) the risk that the conditions to the closing of the transaction are not satisfied, including the risk that Avago may not receive a sufficient number of shares tendered from Emulex stockholders to complete the tender offer; (2) litigation relating to the transaction; (3) uncertainties as to the timing of the consummation of the transaction and the ability of each of Emulex and Avago to consummate the transaction; (4) risks that the proposed transaction disrupts the current plans and operations of Emulex or Avago; (5) the ability of Emulex to retain and hire key personnel; (6) competitive responses to the proposed transaction; (7) unexpected costs, charges or expenses resulting from the transaction; (8) potential adverse reactions or changes to business relationships resulting from the announcement or completion of the transaction; (9) Avago's ability to achieve the growth prospects and synergies expected from the transaction, as well as delays, challenges and expenses associated with integrating Emulex with Avago's existing businesses; and (10) legislative, regulatory and economic developments.

All trademarks, trade names, service marks, and logos referenced herein belong to their respective companies.

Additional Information about the Transaction and Where to Find It
The tender offer described herein has not yet commenced. This press release is for informational purposes only and shall not constitute an offer to purchase or the solicitation of an offer to sell any shares of the common stock of Emulex or any other securities. Any offer will only be made pursuant to a tender offer statement on Schedule TO, which will contain an offer to purchase, form of letter of transmittal and other documents relating to the tender offer (collectively, the "Tender Offer Materials"), each to be filed with the U.S. Securities and Exchange Commission (the "SEC") by Avago, Avago Technologies Wireless (U.S.A.) Manufacturing Inc. and Emerald Merger Sub, Inc. In addition, Emulex will file with the SEC a solicitation/recommendation statement on Schedule 14D-9 with respect to the tender offer. Avago and Emulex expect to mail the Tender Offer Materials, as well as the Schedule 14D-9, to Emulex stockholders. Investors and security holders are urged to carefully read these documents, as well as any other documents relating to the tender offer or related transactions that are filed with the SEC, when they become available, as they may be amended from time to time, because these documents will contain important information relating to the tender offer and related transactions. Investors and security holders may obtain a free copy of these documents after they have been filed with the SEC, and other annual, quarterly and special reports and other information filed with the SEC by Avago or Emulex, at the SEC's website at www.sec.gov. In addition, such materials will be available for free from Avago or Emulex by directing any requests to investor relations at Avago or Emulex at the applicable phone number or email address below.

A description of certain interests of the directors and executive officers of Emulex is set forth in Emulex's Form 10-K/A, Amendment No. 1, in Part III thereof, which was filed with the SEC on October 27, 2014. A description of certain interests of the directors and executive officers of Avago is set forth in Avago's proxy statement for its 2015 annual meeting, which was filed with the SEC on February 20, 2015. To the extent holdings of either company's securities by their respective directors and certain officers have subsequently changed, such changes have been reflected on Forms 4 filed with the SEC.

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