KFAR SAVA, Israel, Oct. 19, 2017 /PRNewswire/ --Silicom Ltd.
(NASDAQ: SILC) today announced that it continues to move forward
with the largest-ever Design Win that it reported in March 2017. The top-10 Cloud player which granted
Silicom the DW is currently in the process of qualifying an
additional Tier-1 server manufacturer as a second subcontractor for
building its Cloud infrastructure, and, as part of the process,
this server manufacturer is now integrating the Silicom
100-Gigabit-Switch-Fabric-On-A-NIC product into its solution. For
the purpose of the qualification effort, and in preparation for
expected future demand, this giant manufacturer has already placed
purchase orders totaling approximately $10
million for the Silicom product.
"We are very pleased with the continued positive momentum of our
biggest ever win – and also with the potential of our new
relationship with this major server manufacturer," commented
Shaike Orbach, Silicom's President
& CEO.
"The fact that our Cloud customer has decided to source its
server-based solutions from two Tier-1 server suppliers, together
with the massive accumulated POs that we have received from both of
the customer's subcontractors, speaks volumes regarding the
quantity of Cloud infrastructure solutions that it expects to
deploy. According to the customer, once all challenges are resolved
and the new Cloud infrastructure is made widely available to users,
deployment is expected to ramp up to a massive run rate level that
will generate much higher revenues to us than the $30 million per year that we originally forecast.
In fact, this will hold true even if the customer decides, in line
with its general 'second-source' policy, to qualify another vendor
to supply the Switch-On-A-NIC product in parallel to Silicom.
Accordingly, we now believe that at a full deployment run rate,
which is expected to be reached in 2019, our revenues from this DW
will exceed $75 million per
year."
Mr. Orbach continued, "At the same time, we are also excited
that this project has brought us into a direct relationship with
another group within this important server manufacturer. This
Tier-1 player represents a double potential for us: 1) it can use
our current products in its Cloud offerings to other customers; and
2) we can leverage the relationship into the development of new
products and solutions for other market segments. As such, we
believe that our Cloud journey has only begun and that it has the
power to drive our business to a whole new level."
About Silicom
Silicom Ltd. is an industry-leading
provider of high-performance networking and data infrastructure
solutions. Designed primarily to improve performance and efficiency
in Cloud and Data Center environments. Silicom's solutions increase
throughput, decrease latency and boost the performance of servers
and networking appliances, the infrastructure backbone that enables
advanced Cloud architectures and leading technologies like NFV,
SD-WAN and Cyber Security. Our innovative solutions for
high-density networking, high-speed fabric switching, offloading
and acceleration, which utilize a range of cutting-edge silicon
technologies as well as FPGA-based solutions, are ideal for
scaling-up and scaling-out cloud infrastructures.
Silicom products are used by major Cloud players, service
providers, telcos and OEMs as components of their infrastructure
offerings, including both add-on adapters in the Data Center and
stand-alone virtualized/universal CPE devices at the edge.
Silicom's long-term, trusted relationships with more than 150
customers throughout the world, its more than 400 active Design
Wins and more than 300 product SKUs have made Silicom a "go-to"
connectivity/performance partner of choice for technology leaders
around the globe.
For more information, please visit: www.silicom.co.il
Statements in this press release which are not historical data
are forward-looking statements which involve known and unknown
risks, uncertainties, or other factors not under the company's
control, which may cause actual results, performance, or
achievements of the company to be materially different from the
results, performance, or other expectations implied by these
forward-looking statements. These factors include, but are not
limited to, difficulty in commercializing and marketing of
Silicom's products and services, maintaining and protecting brand
recognition, protection of intellectual property, competition and
other factors detailed in the company's periodic filings with the
Securities and Exchange Commission. These forward-looking
statements can generally be identified as such because the context
of the statement will include words, such as "expects," "should,"
"believes," "anticipates" or words of similar import. Similarly,
statements that describe future plans, objectives or goals are also
forward-looking statements. In light of significant risks and
uncertainties inherent in forward-looking statements, the inclusion
of such statements should not be regarded as a representation by
the company that it will achieve such forward-looking statements.
The company disclaims any duty to update such statements, whether
as a result of new information, future events, or otherwise.
Company Contact:
Eran Gilad,
CFO
Silicom
Ltd.
Tel:
+972-9-764-4555
E-mail:
erang@silicom.co.il
|
Investor relations
contact:
Ehud
Helft
GK Investor
Relations
Tel: +1 646 201
9246
E-mail :
silicom@gkir.com
|
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SOURCE Silicom Ltd.