Its almost a sure bet that when Entrada Networks
(Nasdaq: ESAN) holds its annual stockholders meeting on Sept. 27 in San Diego, there wont
be many happy faces, despite the splendid fall weather. Not many might even bother to make the trip now that
the companys stock market value is down to $1.2 million and the stock has sunken to 11 cents a share with little hope for a rebound.
Entrada, now nearly broke, has announced a restructuring into three
subsidiaries, each with its own management, sales force and financial
statements. The company figures this might attract investors to its
struggling storage area network transport division. (See Disaster for Entrada? ).
The division, named Torrey Pine after an endangered California tree, has yet
to see any revenues. Its key product, the Silverline 222 SAN-over-IP switch, which
was supposed to have been shipped by now, has been delayed until at least
December due to problems with its processing power.
The other subsidiaries are the adaptor card unit Rixon Networks and Sync
Research, which sells and services frame relay products. The company plans
to move Rixon from Maryland to Irvine, Calif., closer to company
headquarters.
Ironically, Entrada stated in a press release
that these two divisions are profitable, despite the shifting focus. Yet as the company pares down its
staff to 70 or 80 people, only half of the employees will be in these
divisions. The other half will be in the money-losing SAN transport
business.
Throughout its last two quarters, Entrada has averaged $1 million per
month cash burn rate. As of July 31, the end of its second quarter, Entrada
had only $1.8 million in cash left on its balance sheet and was burdened by
$1.7 million in debt. For the quarter, the company lost $2.8 million, or 26
cents a share, on $2.2 million in revenues. The company's history reflects a compiled $48 million deficit.
By combining resources and expertise, the AI-Enabled ICT Workforce Consortium will offer a blueprint for how industries can adapt to an AI-dominated future.
IT leaders should heed the guidance of cybersecurity insurance providers who think businesses should prioritize security education, incident preparedness, regular internal audits, and ongoing vulnerability scanning and patching.
There are many network courses that can address your present job's priorities and help you gain the needed skills to keep pace with industry changes and new technologies.
