CSCO has been saying this for a couple of years now so who knows what will happen 3 years down the road. Would EZchip be a good acquisition for CSCO now?
They did beat the estimates and are down because of the POTENTIAL revenue loss from their largest customer in THREE years. It's also possible they will have a better card and WON'T lose this customer.
How do you propose to shake up management? Class action law suits take MANY years and usually only benefit the ambulance chasers.
"This customer's routing platform has recently begun production shipments with EZchip's NP-5 network processor, and based upon our current information, we do not believe a next-generation successor for the NP-5 is likely to ship for approximately three years," EZchip said. "We believe our customer's next-generation line cards will require the NP-5 successor to provide higher throughput than the NPS-400 and that the customer is currently developing such a solution in-house."
EZchip noted it is developing a successor to the NPS-400 with higher throughput. "The NPS-1000 is currently under development, and we believe it may be possible to sample within our current largest customer's expected product development cycle and exceed the required throughput for its next-generation line cards," said Eli Fruchter, CEO of EZchip. "NPS-1000 could then potentially lead to an opportunity to reengage our current largest customer regarding its choice to use internally developed silicon."
With respect to EZchip’s largest customer and that customer’s plans for next generation line cards used in its routing platform, we are updating that EZchip’s NPS-400 is currently not the plan of record for that customer’s next generation line cards. This customer’s routing platform has recently begun production shipments with EZchip’s NP-5 network processor, and based upon our current information, we do not believe a next generation successor for the NP-5 is likely to ship for approximately three years.
We believe our customer’s next generation line cards will require the NP-5 successor to provide higher throughput than the NPS-400 and that the customer is currently developing such a solution in-house. In parallel EZchip is also developing its successor to the NPS-400 with higher throughput that is expected to be available at the same time frame.
Based on our experience in prior NPU generations, each NPU generation serves a customer’s platform for approximately three years before the next generation NPU arrives, and then over time, begins to take the leading position in customer shipments. Accordingly, if our largest customer does not change its current plan to use an in-house solution for the NP-5 successor, EZchip’s revenues from sales to that customer are expected to start being affected only after this three year period elapses, which is the timeframe estimated to develop a new chip, bring it to production, and start gradual replacement of the NP-5. We believe the NP-5 will continue generating revenues at this customer for several more years beyond this three year period.
It should be noted that the NPS-400 is being considered for other substantial platforms at this same customer. Further, the NPS-400 is currently under consideration across a broad base of customers, including multiple Tier-1 customers, who are awaiting NPS samples during the second half of 2015 in order to become confirmed design wins for a variety of platforms and applications, in carrie
Is there a disconnect here.
YOKNEAM, Israel (AP) _ EZchip Semiconductor Ltd. (EZCH) on Wednesday reported a first-quarter loss of $8.3 million, after reporting a profit in the same period a year earlier.
The Yokneam, Israel-based company said it had a loss of 28 cents per share. Earnings, adjusted for non-recurring costs and stock option expense, were 24 cents per share.
The results exceeded Wall Street expectations. The average estimate of three analysts surveyed by Zacks Investment Research was for earnings of 23 cents per share.
The Company will host an earnings conference call and audio webcast at 10:00 a.m. (Eastern Time) on Tuesday, May 12, 2015.
• Declared a dividend of $0.30 per share
• Net investment income of $0.30 per share
• Net asset value (NAV) of $11.68 per share
• Gross investment originations of $54.3 million
• Repurchased 825,677 shares of MCC common stock
Do you even pay attention to what you post each day?
vette_999 • May 7, 2015 10:45 AM
"crash and burn, linn heads to $8-$9
Oh well great company bad stock"
"Hillary ran a completely insecure personal server from her home. So while Americans do not have the 30,000+ email she erased, Putin certainly does. With the Russian uranium deal which some how put $100 million into the Clinton 'foundation'."
Proof please, your opinion by the way doesn't count as actual fact!
"Hillary's a conniving cheat"
Other then here say and right wing rhetoric tell me who Hillary cheated and when was she tried and sentenced or found to be guilty.