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MaXXan Axxes Staff

SAN switch startup MaXXan Systems Inc. last month cut about 20 percent of its staff, sources tell Byte and Switch. But the company says it's simply making the transition into go-to-market mode and that it has recently been hiring sales and systems engineers.

Jeff Silva, MaXXan's VP of marketing and co-founder, says the company is moving "out of the product-development phase" and, as such, "[we] have reduced some of our engineering resources, mostly in the board design, power, and mechanical engineering areas."

Part of this transition, Silva says, involved consolidating MaXXan's hardware development teams to its San Jose, Calif., headquarters last month. Before that, the startup had hardware development split between Houston and San Jose. Now the Houston site is responsible for system software development and system integration and test activities.

Silva wouldn't tell us how many "engineering resources" were let go, but he says the company currently has 87 employees, including recent hires. "We believe our skill sets are well balanced between engineering and sales and marketing to support the next phase of our company's growth," he says. In 2002, the startup says, it had a peak headcount of 97.

MaXXan has raised more than $73 million to date from a long list of investors, which include U.S. Venture Partners, Venrock Associates, and Lucent Venture Partners Inc. (see MaXXan Mixxes Message and MaXXan Wins $25M).

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