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Akara Goes Wide: Page 2 of 3

“There’s an acceptance curve to get over," Wong says. “Given all these points, many companies decide not to bother.”

Akara says it has done several things to try and address these problems with its optical services software. On the security side, it looks for “poison pill” sequences of code designed to disrupt traffic, and stops these from getting through. It also separates user traffic by using time stamps to isolate and contain it according to the time it leaves the system. Anyone accessing the data will need the requisite time tag to view it. (The process is also used to guarantee the traffic’s arrival.)

On the customer front, Akara expects storage service provider StorageNetworks Inc. (Nasdaq: STOR) and optical service provider GiantLoop Network Inc. to each deploy the product for storage backup services.

Akara has recently received $30 million in a second round of funding from VCs. Participating companies included Dain Rauscher Wessels, Morgan Keegan & Company Inc., and Presidio Venture Partners.

Akara faces some stiff competition from companies like Entrada Networks (Nasdaq: ESAN), ADVA AG Optical Networking (Neuer Markt: ADV)
(see ADVA AG), Nortel Networks Corp. (NYSE/Toronto: NT), Lucent Technologies Inc. (NYSE: LU), and Cisco Systems Inc. (Nasdaq: CSCO), all of which plan to deliver storage over wide-area networks.