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After arriving with a splash in the highend switch market in September 2002, Force10 Networks continues to gain customers and praise from high-end users. But some observers say that, with its rivals catching up in technology, the firm must continue to push new products aimed at a broader range of customers or become just another player in a crowded, Cisco-dominated pack.
According to Gartner, Force10 held less than 1% of all the $28 million 10G Ethernet market last year. Cisco led the market with 52% of revenue, followed by other wellestablished players: Foundry Networks, with 21%, and Nortel, with 9%.
In the past 12 months, although Force10 hasn't released any new products, its leadership has changed.
Prabhat Dubey, who founded Force10 in 1999, stepped aside as CEO in June. Marc Randall, the firm's former head of engineering, took over. Randall previously worked at Cisco as vice president of engineering, directing the development of the Cisco 7500-series routers.
In February the firm closed a deal for $41 million in venture capital financing, bringing the firm's total to $201 million. Investors in the start-up include Amerindo Investment Advisors, New Enterprise Associates, Pacesetter Capital Group, USVP and Worldview Technology Partners.
The company has been building its list of 10G Ethernet customers, recently adding Indiana University, the National Center for Supercomputing and Argonne National Laboratory to its customer list. In February Force10 announced large pricecuts, cutting its 10G per-port price almost in half to $17,000.
Product news also has slowed. The...