Gigamon VARs Gain Network Traffic Visibility; IPO Plans Ahead?

Corporations and service providers are using more and more tools to monitor complex network and cloud infrastructures.

The VAR Guy

October 8, 2012

3 Min Read
Gigamon VARs Gain Network Traffic Visibility; IPO Plans Ahead?

Jim_Berkman

Corporations and service providers are using more and more tools to monitor complex network and cloud infrastructures. But Gigamon is promoting a middle layer (called the Traffic Visibility Fabric) to filter and send the right network traffic information to IT management tools, notes Jim Berkman, director of worldwide channel marketing. From there, MSPs and corporate IT managers can more efficiently manage, analyze and secure networks. Hmmm… That sounds simple enough. But are VARs and MSPs cashing in?

First, an important note: Berkman and Senior Channel Marketing Engineer Neal Allen briefed The VAR Guy today about a new Control Card for Gigamon’s H Series GigaVUE Traffic Visibility Fabric Nodes.

Gigamon is in a quiet period and can’t really talk about its long-term business outlook with individual media folks like The VAR Guy. But you can get a close look at the strategy and cull some clues by looking at the company’s SEC filings — essentially a stepping stone toward an initial public offering (IPO).

Among the impressive highlights found there:

  • Staff Growth: Headcount has surged from 20 employees in January 2009 to 182 as of June 2012.

  • Revenue: Total annual revenues hit $68.1 million in 2011, up from $31.4 million in 2009. Moreover, revenues topped $39.1 million for the first six months of 2012, up from $25.6 million in the first six months of 2011.

What’s the secret to Gigamon’s success so far? The company offers “intelligent Traffic Visibility solutions for enterprises, data centers and service providers around the globe.” The Gigamon product portfolio gives IT managers and service providers visibility into how traffic navigates physical and virtual networks.

There are multiple opportunities for channel partners:

  • For VARs and resellers: Those partners can resell Gigamon solutions into corporate IT environments and service provider environments.

  • For MSPs and cloud services providers: MSPs can deploy Gigamon either (A) on a customer premise or (B) within the MSP’s own datacenters to build out managed services that generate recurring revenues. And CSPs can use Gigamon to improve the performance of their own cloud services, or build multi-tenant cloud services for customers.

What’s New?

The latest offering is a new Control Card for Gigamon’s H Series GigaVUE Traffic Visibility Fabric Nodes. Admittedly, the product name doesn’t exactly roll off one’s tongue. But here’s all you really need to know: As customers and service providers scale from high-density 10Gb toward 40Gb and 100Gb network solutions, Gigamon claims its fabric will scale as well, delivering the right information to the right IT managers at the right time.

“Faster and faster network speeds have made monitoring tools a challenge,” said Berkman. “If you can’t believe the monitoring results you’re getting you’re really in trouble.” Berkman says Gigamon’s Visibility Fabric solves the problem.

Perhaps most importantly: Gigamon’s business strategy is 100 percent channel, notes Neal Allen, senior channel marketing engineer at the company.

And that strategy, as Gigamon’s SEC filings indicate, has driven some serious growth since 2009.

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