I have looked at VNWK a little bit.
I think in the long run, you are correct. Circuit management is the power windows that go on the car and will be incorporated into the major player's equipment. Long-term, it is not a viable stand-alone business.
However, let me pose two issues with your short case.
1. The last I had heard, Cisco's solution was not as comprehensive as it is router based (I think they incorporate NetScout technology). This does not allow them to determine exactly what is received at the node. So, it does not allow for the same type of error diagnostics. (Perhaps this has changed since I last reviewed it)
2. If point #1 is true and perhaps even if it isn't, they could be an acquisition candidate. If they have superior functionality, Cisco could just buy them. And even if Cisco doesn't need them, a Cisco competitor (ie NT, LU, ASND) might, just to keep up with Cisco.
So, while VNWK is on my short watch list, I would prefer to see the situation deteriorate a little before taking a position. Of course, my opinion may change after reading your response to the two issues.
Regards,
Archer |
