Overland Storage Acquires Zetta Systems, Inc.
August 08 2005 - 5:00PM
PR Newswire (US)
Enters the Primary Storage Market SAN DIEGO, Aug. 8
/PRNewswire-FirstCall/ -- Overland Storage, Inc. (NASDAQ:OVRL)
today announced that it has acquired Zetta Systems, Inc., a
privately held developer of real-time data protection software for
digital storage solutions in a $9.0 million, all cash, transaction.
This transaction paves the way for Overland's entry into the
protected primary data storage market. "Based on their satisfaction
with our NEO and REO products, our resellers and end user customers
requested that we expand our product offerings to include primary
storage. Zetta's software provides us with the enabling technology
to deliver High Availability (HA) solutions for primary storage,"
said Christopher Calisi, president and CEO of Overland Storage.
"Our NEO product line is the heart of our 'tertiary' data storage
tier for data archiving and our REO products represent our
'secondary' tier for near-line disk-based backup and recovery
appliances. Zetta's software will ultimately be incorporated into a
protected primary storage appliance that will represent the
'primary' tier of Overland's protected storage strategy. We believe
we will then have a complete offering of the broadest and most
cost-effective, end-to-end storage protection in the market which
will be delivered by our strong, worldwide branded sales channel."
Zetta's software is powerful enough to support an
enterprise-caliber primary storage appliance. Its unlimited,
instantaneous snapshot and replication technology provides superior
usability and delivers robust block and file-based protection with
failover so data recovery can be accomplished quickly, reliably and
inexpensively. In addition, Zetta software also provides
thin-provisioning, a leading-edge feature that enables system
administrators to virtualize their storage resources. This helps
resource-strapped organizations improve storage utilization and
reduce IT operational expenses without requiring changes to the
infrastructure. "We have been searching for some time now for a
company that would enable us to fill out our tiered storage
strategy," Calisi continued. "During that search, we became
convinced that the real value of a protected primary storage
appliance lies in the software. The Zetta team has developed
world-class data protection software that will form the heart of
our primary Protection OS(TM) software. We will separately source
the server and storage components and expect to deliver a protected
primary storage appliance to market by mid-October 2005. The Zetta
acquisition is expected to become accretive to Overland by the
first quarter of fiscal year 2007." Zetta Systems is based in
Woodinville, Wash. and currently employs 11 people. Founded in 2002
by Dr. Ganapathy "Krish" Krishnan and John Guthrie, who jointly
have over 30 years of data center, storage and software development
experience, Zetta has established a number of OEM and reseller
customers worldwide for its software. The Zetta group will remain
intact in Seattle, an area that is conducive to recruiting software
engineering talent. Krishnan will become an Overland vice president
and chief software architect reporting to Calisi. Krishnan's career
has included executive positions at Network Commerce, where he
developed e-commerce, storage and networking technologies, and at
MusicNet, where he led the engineering and operations team that
launched the first mainstream paid music service with AOL. Krishnan
is a graduate of the Indian Institute of Technology and has
received several advanced degrees including a Ph.D. in computer
science. He holds two U.S. patents. About Overland Storage Now in
its 25th year, Overland Storage is a market leader and innovative
provider of simply protected storage solutions -- smart data
protection appliances and software modules designed to work
together, affordably, to ensure that information is automatically
safe, readily available and always there. Overland's award-winning
data protection solutions include the REO SERIES(TM) of disk-based
backup and recovery appliances and the NEO SERIES(TM) of tape
libraries. Overland sells its products through leading OEMs,
commercial distributors, storage integrators and value-added
resellers. For more information, visit Overland's web site at
http://www.overlandstorage.com/. Except for the factual statements
made herein, the information contained in this news release
consists of forward-looking statements that involve risks,
uncertainties and assumptions that are difficult to predict. Words
and expressions reflecting optimism and satisfaction with current
prospects, as well as words such as "believe," "intends,"
"expects," "plans," "anticipates" and variations thereof, identify
forward-looking statements, but their absence does not mean that a
statement is not forward looking. Such forward-looking statements
are not guarantees of performance and the company's actual results
could differ materially from those contained in such statements.
Factors that could cause or contribute to such differences include
risks and uncertainties associated with the company's acquisition
of Zetta Systems, Inc., including possible integration difficulties
and successful execution of the business plan to make the
acquisition accretive to the company's operating results by the
first quarter of fiscal year 2007; possible delays in new product
introductions by the company including the new primary storage
appliance to be based on the Zetta software, the company's next
generation tape library platform and enhancements to its REO line;
market acceptance of the company's new product offerings; the
timing and market acceptance of new product introductions by
competitors; the speed at which HP transitions from the products it
currently buys from the company to its next-generation products to
be purchased from another vendor; delays, unbudgeted expenses,
inefficiencies and production problems that may result from the
transition of manufacturing to Sanmina-SCI; worldwide information
technology spending levels; unexpected shortages of critical
components; rescheduling or cancellation of customer orders; loss
of a major customer; the timing and amount of licensing royalties;
general competition and price pressures in the marketplace; the
company's ability to control costs and expenses; and general
economic conditions. Reference is also made to other factors set
forth in the company's filings with the Securities and Exchange
Commission, including the "Risk Factors," "Management's Discussion
and Analysis" and other sections of the company's Form 10-K
currently on file with the SEC. These forward-looking statements
speak only as of the date of this release and the company
undertakes no obligation to publicly update any forward-looking
statements to reflect new information, events or circumstances
after the date of this release. Overland, Overland Storage, REO
SERIES and NEO SERIES are trademarks or registered trademarks of
Overland Storage, Inc. DATASOURCE: Overland Storage, Inc. CONTACT:
Vernon A. LoForti, CFO, , or Cynthia A. Bond, Director of Corporate
Communications, , both of Overland Storage, +1-858-571-5555 Web
site: http://www.overlandstorage.com/
Copyright
Overland Storage (NASDAQ:OVRL)
Historical Stock Chart
From Aug 2024 to Sep 2024
Overland Storage (NASDAQ:OVRL)
Historical Stock Chart
From Sep 2023 to Sep 2024