Extreme Networks Grabs Largest Market Share Increase in Exploding Layer 3 Market; Growth Reflects Extreme's End-to-End Switching Solution Strategy

Business Wire, Sept 2, 1998

CUPERTINO, Calif.--(BUSINESS WIRE)--Sept. 2, 1998--According to a recently released Dell'Oro Group report, Extreme Networks, the leading manufacturer of third wave LAN switches, had the largest market share increase in the rapidly expanding Layer 3 switch market.

In the last calendar quarter Extreme increased its port market share by nine percentage points to nearly 22 percent in the Layer 3 switch market. In less than a year from shipping its first products, Extreme moved into second place market share position in the overall Layer 3 switch market. Extreme is also second in the Gigabit Ethernet market with 34 percent of Layer 3 Gigabit Ethernet ports shipped.

"The Layer 3 market continues its strong growth," said Greg Collins, senior analyst at the Dell'Oro Group, a Portola Valley, Calif.-based market research firm. "Extreme Networks continued its strong momentum in the market and moved into second position in port market share. The Layer 3 market grew 45 percent last quarter and we are expecting it to exceed $3 billion in the year 2000."

"The emergence of Layer 3 and Gigabit Ethernet allows enterprise users to build highly scaleable networks that support next generation applications without the bottlenecks and complexity of legacy routers and ATM networks," said Gordon Stitt, president and CEO of Extreme Networks. "An example of this shift, and a key reason for Extreme's jump in market share, is the Summit48 enterprise desktop switch which delivers high-density, end-to-end Layer 3 performance for under $100 per port. The market share report from the Dell'Oro group validates the incredible growth of the Layer 3 market."

About the Dell'Oro Group Report

The 2Q98 Shared Hub and LAN Switch report was released by the Dell'Oro Group on August 16, 1998. The report covers all manufacturers in the Layer 3 switch market including 3Com, Bay Networks, Cabletron, Lucent and others.

About Extreme Networks

Extreme Networks is leading the third wave of LAN switching. Extreme designs, develops, manufacturers and sells high-performance networking products based on 10/100 Mbps Ethernet, Gigabit Ethernet and wire-speed IP routing. Recognizing the need to migrate existing LANs to the extreme requirements of today's intranets, Extreme builds on Gigabit Ethernet with its stackable Summit LAN switches and ExtremeWare software suite to scale speed, bandwidth, network size and QoS from the desktop to the core.

Extreme Networks is located at 10460 Bandley Drive, Cupertino, Calif. 95014. Telephone: 408/342-0999 or toll-free 888/257-3000. Fax: 408/342-0990. Visit the Extreme Networks Web site at http://www.extremenetworks.com.

Note to Editors: Extreme Networks, ExtremeWare, ExtremeWare Vista, ExtremeWorks, ExtremeAssist, ExtremeAssist1, ExtremeAssist2, Extreme Standby Router Protocol, ESRP, Leading the Third Wave of LAN Switching, Summit, Summit1, Summit2, Summit3, Summit4, Summit24, Summit48, Summit Virtual Chassis, SummitLink, SummitGbX, SummitRPS and the Extreme Networks logo are trademarks of Extreme Networks.

Specifications are subject to change without notice.

    CONTACT: Extreme Networks
              George Prodan, 408/863-2815
              gprodan@extremenetworks.com