Mellanox Expects 2017 To Be A Growth Year
Interconnect technologies provided by Mellanox help customers to compute, store, retrieve and distribute large amounts of data.
Mellanox Technologies, a firm with expertise in silicon photonics and headquarters in the US and Israel, is expecting 2017 to be a growth year for the company, despite its Q1 2017 revenue (USD 188.7million) being down 4.1% on the same period last year.
"Our results reflect the impact of seasonal trends in high-performance computing, delays in general availability of the next-generation x86 CPUs to the market and technology transitions occurring across several key customers," Eyal Waldman, President and CEO of Mellanox, told listeners to the firm's Q1 2017 earnings call. "We anticipate strong demand for our EDR [enhanced data rate] product in 2017, as customers continue to transition to higher network speeds as the need for higher bandwidth driven by data growth continues to accelerate for high-performance computing, machine learning, big data, storage, financial services and cloud deployment."
In March, the company introduced a new line of 200-gigabit per second silicon photonics and VCSEL-based tranceivers in the same QSFP28 package as today's 100Gb/s products, allowing customers make network upgrades without changing to a new form factor.
Mellanox's revenue outlook for Q2 2017 is USD 205 million to USD 215 million.