SDxCentral
Join Log In
SD-WAN 1 5G 11 Edge 5 IoT 12 SDN 3 NFV 4 Containers 4 Cloud 11 Security 3 AI 5 Data Center 1 Storage 3 APM/NPM 1 Open Source

Log In to SDxCentral

Log in with your email? Forgot your password?
  • Newsletters
  • eBriefs
  • Podcasts
  • Webinars
  • Videos
  • Directory
  • White Papers
  • Resources
  • Use Cases
  • Support

Join SDxCentral and get information tailored to your particular interests everyday.

Join
Sponsored:
Dell EMC 3 Citrix Riverbed

Avaya to Sell Its Networking Business to Extreme Networks for $100M

Avaya to Sell Its Networking Business to Extreme Networks for $100M
Wyatt Carlson
Wyatt CarlsonMarch 8, 2017
11:30 am MT
Email LinkedIn Facebook Twitter Reddit Hacker News

Avaya has entered into an asset purchase agreement with Extreme Networks where Extreme will acquire Avaya’s networking business for about $100 million. That price is subject to adjustments.

Extreme is the primary bidder for Avaya’s networking business in a bankruptcy auction. Extreme believes that Avaya’s networking business will generate a minimum of $200 million in revenue in fiscal 2018, according to its announcement yesterday.

Avaya filed for Chapter 11 bankruptcy protection in January. At the time, the company had $6 billion in debt — the residue from going private in 2007 — and company officials said they believed the company wasn’t built to compete in the future of IT.

From a technology perspective, Extreme expects to bring in Avaya’s fixed and modular switching and software licensing capabilities, said Ed Meyercord, CEO of Extreme Networks, on a conference call about the deal. The Avaya assets will help Extreme level the playing field against competitors like Cisco and HPE.

“We see a terrific fit with Avaya’s networking business and believe Extreme is uniquely positioned to leverage these assets from a strategic and operating perspective,” said Meyercord. “We are targeting similar market segments, verticals, and customers, and we have complimentary products and solutions portfolios.”

The sale process will be administered by the United States Bankruptcy Court for the Southern District of New York and will be governed by the United States Bankruptcy Code. Other interested parties will be able to submit bids on the business, and if other qualified bids are submitted, an auction process would be conducted with Extreme setting the base value for the auction.

“We are not aware of other bidders at this stage, but it is too early to say whether or not other bidders will emerge in the process,” Meyercord said on the call. The transaction is expected to close by June 30, the end of Avaya’s fiscal third quarter 2017.

Related Articles

Pulse Secure Adds Software-Defined Perimeter, Protects Hybrid IT
Pulse Secure Adds Software-Defined Perimeter, Protects Hybrid IT
Extreme Networks Moves Into Edge Device Security With Defender for IoT
Extreme Networks Moves Into Edge Device Security With Defender for IoT
Extreme Networks CEO: Huawei Security Concerns Play Out in Data Center Networking, Too
Extreme Networks CEO: Huawei Security Concerns Play Out in Data Center Networking, Too
Composable Infrastructure Players to Watch in 2019
Composable Infrastructure Players to Watch in 2019
Ericsson Turnaround Could Limit Growth Potential Says TBR
Ericsson Turnaround Could Limit Growth Potential, Says TBR
IoT Security Startup Phosphorus Builds Agentless ‘Update-All’ Button
IoT Security Startup Phosphorus Builds Agentless ‘Update-All’ Button
SDxCentral Daily News

Join your Peers! Subscribe to SDxCentral's Newsletter

Article Tags:

Avaya Breaking News Extreme Networks

Wyatt Carlson

About Wyatt Carlson

Wyatt Carlson is an Associate Editor with SDxCentral. Wyatt recently graduated from University of Colorado, Boulder with a B.S. in Journalism, a secondary major in philosophy, and a certificate in the Technology Arts & Media program. Wyatt has a background in writing business-news and entertainment. With SDxCentral, he is focused on network performance monitoring, security, and wireless.

Subscribe to Get the Daily News!

About SDxCentral

  • Newsletters
  • About Us
  • Contact Us
  • Work With Us
  • Editorial Team
  • Careers
  • Legal
  • Support

Engage With us

This material may not be copied, reproduced, or modified in whole or in part for any purpose except with express written permission from an authorized representative of SDxCentral, LLC. In addition to such written permission to copy, reproduce, or modify this document in whole or part, an acknowledgement of the authors of the document and all applicable portions of the copyright notice must be clearly referenced. All Rights Reserved.

© 2012-2019 SDxCentral, LLC, All Rights Reserved. SDNCentral™, the SDNCentral logo, SDxCentral™, SDxCentral logo, SDxNews™, SDxTech™, SDx™, the SDx logo, and DemoFriday™ are trademarks of SDxCentral, LLC in the U.S. and other countries.

  • Terms of Service
  • Privacy