Peribit Takes the "BYTE" out of WAN Capacity Problem
For Companies Around the World
For the majority of young companies, establishing an overseas operation
is a considerable challenge. Whether the goal is to build lasting
distributor relationships or have "feet on the street"
company representatives, there is a lot to consider when planting
your corporate flag on foreign territory.
Peribit Networks of Santa Clara, Calif., is one company that may
hold the record (or come close if there is one) for establishing
a successful global organization in less time than many companies
take to get their products to market. In just two and half a years,
Peribit has established operations throughout North and South America,
Europe, Middle East and Asia Pacific.
The speed at which Peribit has become a global market player is
unique. But then speed - and efficiency - is what Peribit is all
about. The company is the world leader in bandwidth creation products
that boost application performance. The "instant WAN capacity"
that Peribit enables is the result of patent pending technology
rooted in what to many may seem unlikely - DNA research techniques.
Today, companies are continually running out of capacity and despite
the availability of broadband, the cost of transmitting data continues
to be a top five IT budget item. "The need to maximize network
efficiency is paramount to the enterprise," emphasized Jef
Graham, Peribit CEO, formerly the senior vice president of 3Com's
Commercial and Consumer business.
Peribit's technology is the result of research in the use of computers
to identify and code patterns in DNA sequences. Company founder
Amit Singh was researching this technology while working toward
his PhD in Computational Science Biomedical Informatics at Stanford,
and realized that the same DNA pattern-recognition principles could
be applied to the analysis of network data. That research was the
genesis of the company, launched in May 2000 with initial funding
from Accel Partners and Foundation Capital and a later investment
from Mayfield.
"Up to 90 percent of network traffic is repetitive,"
said Graham. "By identifying repeated patterns in network traffic
and replacing them with smaller symbols, you can effectively increase
transmission from bytes to megabyte to increase WAN capacity up
to 10 times."
While other compression technologies exist, Peribit's Molecular
Sequence Reduction (MSR) technology is unique in its ability to
scan for patterns in real time at high speed with low latency, across
a variety of data - from email to SAP - over many megabits and while
continuously learning and encoding. The MSR is productized in the
Peribit SR-50, a box that is installed at each node of the WAN on
the LAN side of the WAN router.
Peribit Solution Strikes Chord with Companies Around the Globe
For large companies doing business on a global scale, Peribit's
value proposition resonates loud and clear. In some countries, such
as India, available capacity is at a premium and companies are desperately
looking for a way to enhance their existing networks. In Europe
costs remain high to transmit data from one country to another because
of the need to deal with multiple operators.
According to Shane Buckley, Peribit's president for Europe Middle
East and Africa, there is a major issue for many European companies
hoping to implement an ERP system, such as SAP, given the bandwidth
constraints faced by remote offices. "In branch offices dependent
on 64K circuits, SAP causes all the available bandwidth to be consumed
with two to three concurrent users. The choice facing companies
is to increase the bandwidth or consider a solution from Peribit
where the same circuit can support many more users - between five
and eight in the case of a typical SAP implementation at the end
of a 64K line".
In a short period of time, Peribit has assembled a prestigious
client roster that includes such major industry players as BroadVision,
IDEXX Laboratories, Chevron, Finisar, Quaker Chemical Corporation,
Network Appliance, and many others.
Part 2 of this column: Peribit
Management Know the Ropes of Going Global
"Across the Pond - A Transatlantic CEO's Perspective on Establishing
A Global Business" is a monthly column that takes a look at
an emerging technology company whose business needs require establishing
operations in some other part of the world. Whether it's a Silicon
Valley company setting up operations Europe, Asia or Latin America
or an overseas company establishing a presence in Silicon Valley
-- Barbara Kohn in SV and Jeffrey Peel in Northern Island -- look
at the steps - and missteps - companies make when going global.
More about Barbara & Jeff...
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