Emulex to Continue Redesign of Products

Emulex to Continue Redesign of Products Impacting Five Percent of Net Revenues

Court Approves Continued Shipment of Impacted Products Worldwide

COSTA MESA, Calif., March 19, 2012 – Emulex Corporation (NYSE: ELX) today reported the continued implementation of design changes for products impacted by the issuance of an injunction for two patents by the U.S. District Court for the Central District of California in the lawsuit filed against Emulex by Broadcom Corporation (NASDAQ: BRCM), based on U.S. revenues for sales of impacted products that were about five percent of Emulex’s net revenues for its second quarter of fiscal 2012. The injunction included a “sunset period” of 18 months for Emulex to continue selling impacted products in the US without design changes. Based on the jury assessment of royalties, and the terms of the injunction, Emulex estimates a charge of approximately $600,000 in liability for damages to Broadcom to its third quarter fiscal 2012 GAAP results. This amount is in addition to the $387,922 in liability previously reported by Emulex for that patent during the first quarter of 2012.

For its second fiscal quarter which ended on January 1, 2012, Emulex reported net revenues of $128.7 million, 76 percent (or $97.8 million) of which came from outside the US based on billed-to location. For the second fiscal quarter of fiscal 2012, the net revenues in the US for products impacted by issuance of the injunction were approximately $7 million. The design changes primarily focus on serializer/deserializer (SerDes) modules, which Emulex does not design but obtains from several suppliers, and which are included in impacted Emulex products. The impacted Emulex products include BE2, BE3, XE201, SOC 320, SOC 422 and SOC 442 ASICs, and products containing those ASICs.

“Emulex is dedicated to protecting the interest of its customers,” said Jim McCluney, the Chief Executive Officer of Emulex. “We have been working with our suppliers to implement design changes to the SerDes modules included in the impacted products.”

Broadcom had earlier asserted 12 different US patents against Emulex. Emulex presented a vigorous defense prior to the trial, and only 6 patents remained by the time of trial. After three weeks of trial, the court determined that one of the patents (7,058,150) had been infringed by Emulex, and the jury rendered an advisory verdict to the Court that it is not invalid, and awarded $387,922 in damages with respect to that patent. Subsequently, the judge determined that a second patent (7,471,691) had been infringed by Emulex. With respect to the remaining four patents, the jury found one not infringed and could not reach a unanimous verdict on the other three. Emulex intends to continue to vigorously defend its products, including a potential appeal.

About Emulex

Emulex, the leader in converged networking solutions, provides enterprise-class connectivity for servers, networks and storage devices within the data center. The Company's product portfolio of Fibre Channel host bus adapters, network interface cards, converged network adapters, controllers, embedded bridges and switches, and connectivity management software are proven, tested and trusted by the world's largest and most demanding IT environments. Emulex solutions are used and offered by the industry's leading server and storage OEMs including, Cisco, Dell, EMC, Fujitsu, Hitachi, Hitachi Data Systems, HP, Huawei, IBM, NEC, NetApp and Oracle. Emulex is headquartered in Costa Mesa, Calif., and has offices and research facilities in North America, Asia and Europe. More information about Emulex (NYSE:ELX) is available at www.Emulex.com.

W.T.O. and Barriers to Financial Change

Excerpt from an article in

The New York Times

Sunday, March 18, 2012

W.T.O. and Barriers to Financial Change

By GRETCHEN MORGENSON

EVEN now, after all we’ve been through, something is still wrong with Wall Street.

That’s the takeaway from the extraordinary — and extraordinarily public — resignation of Greg Smith from Goldman Sachs last week. His criticism of Goldman, made in an Op-Ed article in The New York Times, suggested that some of the business practices and inherent conflicts in the financial industry are as troubling today as they were before all of those taxpayer bailouts.

Goldman disagreed with him, of course. But Mr. Smith’s Op-Ed article — and the resounding response to it — provide yet another reminder of why it is crucial that we remake our financial markets so that they are safe for investors and taxpayers.

And yet, the snail’s-pace progress of this effort is worrisome. Financial institutions, eager to maintain their profitable status quo, have lobbied hard against change. As a result, too-big-to-fail institutions have become even bigger and more powerful.  

In addition to lobbying, big financial players have another potential weapon in their battle against safety and soundness. This one is more hidden from view and comes from, of all places, the World Trade Organization in Geneva.

Back in the 1990s, when many in Washington — and virtually everyone on Wall Street — embraced the deregulation that helped lead to the recent crisis, a vast majority of W.T.O. nations made varying commitments to what’s called the financial services agreement, which loosens rules governing banks and other such institutions.

Many countries, for instance, said they would not restrict the number of financial services companies in their territories. Many also pledged not to cap the total value of assets or transactions conducted by such companies. These pledges also appear to raise trouble for any country that tries to ban risky financial instruments.

According to the W.T.O., 125 of its 153 member countries have made varying degrees of commitments to the financial services agreement. Now, these pledges could easily be used to undermine new rules intended to make financial systems safer.

Why the Web Lacks Authoritative Reviews of Doctors

Excerpt from an article in

The New York Times

Saturday, March 10, 2012

Why the Web Lacks Authoritative Reviews of Doctors

By RON LIEBER

For all the debate about which Web sites have the best model for reliable reviews — paid or unpaid, anonymous or real name, Angie’s List or Yelp or TripAdvisor — one thing is certain: a robust ecosystem exists online for restaurant and hotel reviews that has changed those industries for the better.

So it is puzzling that there is no such authoritative collection of reviews for physicians, the highest-stakes choice of service provider that most people make.

Sure, various Web sites like HealthGrades and RateMDs have taken their shots, and Yelp and Angie’s List have made a go of it, too. But the listings are often sparse, with few contributors and little of substance.

What we have here is a demand and supply problem: many people want this information, and more consumers would trust it if the sites had more robust offerings. But not enough people take the time to review their doctors. And fixing that problem means figuring out why.

Companies have tried to collect reviews of doctors since the early days of the Web, and RateMDs.com has gathered more than most. The founder, John Swapceinski, was inspired to create it after his success with a site called RateMyProfessors.com, which is well known for the “hotness” rating that college students assign (or not) to their teachers.

“Anything that people spend time or money on ought to be rated,” he said. RateMDs now has reviews of more than 1,370,000 doctors in the United States and Canada.

But getting in the faces of the previously untouchable professional class has inevitably led to legal threats. He says he gets about one each week over negative reviews and receives subpoenas every month or two for information that can help identify reviewers, who believe they are posting anonymously.

News Release from Hewlett Packard - RACC

Press Release : March 08, 2012

PRINT

SHARE

HP to Manage Information Systems for Spain’s Royal Automobile Club of Cataluña

Country’s largest automobile club to boost quality of services offered to members

Topics:Technology and Innovation

BARCELONA, Spain -- Hewlett-Packard s.l. today announced that the Royal Automobile Club of Cataluña (RACC) has signed a five-year agreement for HP Enterprise Services to manage its applications.

Under the terms of the agreement, HP will help the RACC improve efficiency and productivity by transforming the way the organization delivers, manages and measures its IT applications.

The RACC is the largest automobile club in Spain, providing emergency breakdown support to more than 1 million members annually. The organization has 2,000 professionals; a fleet of 2,500 vehicles, aircraft and medical helicopters; and a phone service that remains open 24/7.

HP was selected for its high level of service and quality, which reflects the RACC’s commitment to excellence in the services provided to its members.

”This agreement allows the RACC to increase the quality of its services by maximizing flexibility and adaptability to any potential changes in activity, while improving access to the latest innovations in the technology market,” said Josep Mateu, general manager, RACC.

“The RACC´s membership, insurance, member support and mobile telephony systems use different applications,” said Albert Reichardt, director, Corporate Support, RACC. “HP Enterprise Services will provide our IT team with deeper insight into these applications so we can improve management, optimize costs and drive change within the organization.”

Application-level visibility will improve the RACC’s efficiency as well as the service it provides to its customers. Additionally, it will enable the RACC to align applications spending with business priorities while reinvesting the resulting savings in strategic initiatives and growth.

“In today’s world of instant expectations, an enterprise’s future success depends on optimally managing applications so that IT investments can be shifted from maintenance to innovation,” said Ed Quinn, vice president, Worldwide Applications Development and Management Services, HP. “HP will help increase the RACC’s business agility, optimize application performance and boost productivity.”

To learn more, attend HP’s premier client event, HP Discover, which takes place June 4-7 in Las Vegas.

News Release from Dell - Hosted Software-as-a-Service

Dell Enables SIPCOM to Deliver Hosted Software-as-a-Service to Users Worldwide

Date : 3/6/2012

Bracknell, United Kingdom

• SIPCOM platform, built on optimized Dell enterprise infrastructure, provides foundation for leading Telecommunications and System Integrators across three continents
• High-density server infrastructure from Dell allows for 50 percent reduction in costs for Microsoft licensing
• Dell Fluid Data architecture helps deliver flexible storage solutions for customers

SIPCOM, a global hosting provider of scalable infrastructure for Software-as-a-Service (SaaS), has created hosted Microsoft Lync environments in both North America and EMEA by using Dell enterprise solutions. SIPCOM leverages Dell’s integrated, flexible and powerful infrastructure to reduce licensing costs, and easily adapt to changing business requirements and achieve faster IT deployments for its customers.

SIPCOM’s new platform includes Dell PowerEdge™ R815 servers and Dell Compellent virtualized storage to improve performance, reduce datacentre footprint and minimise operating expenses. The Dell architecture has helped SIPCOM provide a more resilient IT environment and has also reduced costs for Microsoft licensing by 50 percent.

The power and density of SIPCOM’s new Dell infrastructure can support more than 200,000 users and offers a platform for Microsoft Lync as well as other SaaS environments, including Microsoft Exchange 2010, Microsoft SharePoint 2010, hosted voice and backup services, which has reduced management complexity.

By virtualising with Microsoft Hyper-V on Dell PowerEdge servers, SIPCOM has been able to reduce deployment time, and achieve better hardware utilisation and recovery scenarios based on virtual-machine level backups, enabling higher overall availability of the hosted solution. The agile infrastructure also allows SIPCOM customers to benefit from a multi-tiered and configurable enterprise IT environment that can be scaled as required, eliminating wasted firmware capacity and minimising costs through variable payment models.

With intelligent storage capabilities such as automated tiering and thin provisioning from the Dell Fluid Data architecture, SIPCOM gains the flexibility necessary to meet the complex needs of tier-one and tier-two partners. For example, one customer may require a pool of storage to draw from on demand, whereas other users prefer to buy storage per gigabyte as required to assign infrastructure costs as operating expenses. This multi-tiered approach to storage, offered through Dell Compellent Storage Center array, provides SIPCOM with an easy-to-manage architecture that helps customers move from managing IT operations to exhibiting innovation.

With this flexibility in place, SIPCOM has worked with Microsoft on milestone projects in EMEA, including a partnership with Arkadin, a global collaboration services provider headquartered in Paris, France. Arkadin is one of the largest audio conferencing service providers in the world, and SIPCOM is supporting its Microsoft Lync, Microsoft Exchange and Microsoft SharePoint infrastructure service on Dell enterprise solutions.

Working with SIPCOM to deliver Microsoft-based communication and collaboration products on a SaaS model is enabling Arkadin to further develop its cloud solutions portfolio; thereby proving that SIPCOM’s role, supported through Dell, has been an integral part of the business’ growth and development.

Founded on a commitment to deliver carrier-class infrastructure to customers, SIPCOM operates data centres across Europe, Middle East, Africa and North America.

Quotes:
“We act as the foundation on top of which service providers build their applications, so we have an obligation to choose the right technology to make that platform as efficient and resilient as possible. We are a forward thinking business, so working with innovative technologies is critical for us. The integrated Dell enterprise solution has enabled us to scale our business and deliver a wider variety of services on a single platform, which has been a huge success for both SIPCOM and our customers alike,” said Daniel Allen, CEO at SIPCOM.

“Organizations such as SIPCOM are working with our communication and collaboration products to help users communicate from anywhere in the world with a browser and Internet connection in a cost-effective and security-enhanced way. SIPCOM is supporting Microsoft Lync as a service through close collaboration with both Dell and Microsoft. This work will enable SIPCOM’s customers to utilize business critical voice and application solutions as a service across multiple geographies, providing a crucial competitive edge,” said Warren Barkley, general manager for Lync at Microsoft Corp.

“Technology plays an essential role in any business today, and service providers particularly rely on industry leading solutions to stay ahead of the competition. The ability to utilise intelligent functionalities to manage data effectively is crucial in allowing businesses like SIPCOM to manage rapid change and work around customer needs. This flexibility demands standards-based solutions that can automate data management, optimise resources and provide cost savings without compromising on quality,” said Aongus Hegarty, vice president and general manager, Dell EMEA.

About SIPCOM
SIPCOM provide the benefits of a scalable; less complex, zero CAPex and fast approach to the delivery of hosted software and communications. We enable mobile and fixed telecom operators, system integrators, hoster’s and resellers of all sizes. For more information, visit www.sipcom.com.

About DellDell Inc. (NASDAQ: DELL) listens to customers and delivers innovative technology and services that give them the power to do more. For more information, visit www.dell.com.

Dell is a trademark of Dell Inc.
Dell disclaims any proprietary interest in the marks and names of others.