"A lose/lose situation has emerged for Broadcom. This development puts Broadcom in a messy bind wherein it will either need to up its bid for Emulex or face uncomfortable questions regarding its CNIC roadmap now brought to light of day by Emulex." (JMP Securities, May 4, 2009)
"Our independent checks corroborate that ELX has been effective achieving significant new business from Tier 1 vendors in 10GE..."
(Needham & Company, May 20, 2009)
We Believe Broadcom is Attempting to Mislead You with Inaccurate
Statements About the Success of Emulex at the Expense of Broadcom's
Ethernet Business.
Instead of acknowledging the difficult reality it faces regarding its inability to compete effectively in converged networking, Broadcom has made misleading statements in an attempt to disparage your company and deceive you. Below we correct several of Broadcom's consistently inaccurate statements about Emulex:
* Broadcom is making misleading statements about Emulex's ability to
generate revenue and market share from design wins.
The Facts: As Broadcom is aware, new design wins typically begin
generating revenue several quarters after they are secured.
Broadcom's assertions that Emulex has not converted the 12 new
design wins we have secured in recent months to revenue are a weak
and disingenuous attempt to dismiss these critical wins and their
potential to impact Broadcom's share in their Ethernet business.
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