Exabyte completes rehash
Exabyte has finished its reorganisation and plans to reach profitability by the third quarter this year. The tape library manufacturer has appointed Tom Ward as its new president and CEO, with interim CEO and founder Juan Rodriguez taking a place on the board and stepping into the chief technologist role. Rodriguez founded Exabyte in 1985 before leaving to start up several other ventures. His return in January this year steadied the ship for Exabyte as it completed its acquisition of VXA drive manufacturer Ecrix amid a depressed IT market. Since January, Exabyte has reduced annual costs by $US14 million by reducing staff in Australia, raising $6.56 million in equity financing and securing $25 million in working capital from Silicon Valley Bank.
IP VPN services to boom
IDC predicts the IP VPN (virtual private network) services market will be worth nearly $1.9 billion in Australia by 2005. This represents a compound annual growth rate of 48 per cent over last year's $500 million. IDC claims the anticipated growth is being driven largely by remote users and site-to-site VPNs. Notebooks, which IDC expects to increase from 2.5 million units per year to around four million in 2005, is a big contributor to the number of remote users, while corporates look to carriers and service providers to connect branch offices via Internet-based VPNs.
Broadband at 1Mbps
ASX-listed Multiemedia has spun off a new subsidiary designed to provide 1Mbps Internet access via satellite. The Australasian Broadband Services (ABS) division will deliver the highest-speed satellite broadband in Australia, according to Multimedia. Using ViaSat, ABS will offer broadband services to the country's rural, remote and indigenous communities. At its formation, Multiemedia will take a majority stake in the new entity. Receiver stations across Australia will be able to transmit data to the network hub at speeds of up to 1.15Mbps, with data downloads of up to 60Mbps.