Riverbed Introduces Industry’s Only Cloud-Intelligent WAN Optimization Solution

SAN FRANCISCO, CA–(Source: Marketwire – November 10, 2010) - Riverbed Technology (NASDAQ: RVBD), the IT performance company, today introduced the first wide area network (WAN) optimization solution purpose-built for public cloud environments. The new Riverbed® Cloud Steelhead™ provides enterprises and government organizations with market-leading performance in a solution that is engineered for the public cloud. Cloud Steelhead was designed to easily install and scale within cloud service provider environments in order to both accelerate the migration of data to the public cloud and improve performance for applications hosted in the public cloud. With the introduction of Cloud Steelhead, Riverbed has further broadened its vision of ‘anywhere acceleration’ of enterprise data and applications, including addressing performance issues in private, public and hybrid cloud environments.

“Cloud computing is radically changing the way enterprises manage their infrastructure. Because of its benefits, we currently forecast the investment in public cloud at $68.3 billion and expect to see double the investment in public cloud computing over the next five years,”* said Lydia Leong, research vice president at Gartner.

The public cloud provides a flexible and efficient platform for the deployment of IT resources. Organizations look to the cloud today to take advantage of pay-as-you-go compute capabilities, seamless collaboration with partners, and for test and development. However, to take advantage of the many benefits of public cloud computing today, enterprises are forced to make a trade-off between a cost-effective and flexible cloud computing provider and the performance limitations inherent in today’s applications and networks. Now, by overcoming application and network performance problems, Cloud Steelhead accelerates the process of migrating data and applications to the public cloud, and accelerates access to that data and those applications from anywhere. Cloud Steelhead, which interoperates with Steelhead® appliances, Virtual Steelhead™ appliances, and the Steelhead mobile client, requires no changes to an organization’s existing IT architecture and offers the following features to ensure seamless cloud integration:

  • Transparent cloud interception: With the introduction of the new “Steelhead Discovery Agent”, Riverbed has dramatically simplified the way in which WAN optimization can be integrated into cloud environments. With this new approach, Riverbed ensures that WAN optimization can be used in highly automated, virtualized environments where the physical location of the customer’s server might change at any time. With this new form of cloud interception, servers that are authorized to leverage WAN optimization will automatically redirect connections to the appropriate Cloud Steelhead, even if server IP addresses or subnets change.
  • Cloud-like pricing model: Subscription-based pricing model enables cloud-like economics for WAN optimization. Riverbed offers software subscriptions with term commitments as short as 6 months, which allows customers that utilize Cloud Steelhead to shift from capex to opex for their WAN optimization requirements.
  • Simple, portal-based management: The new “Riverbed Cloud Portal” allows for simplified deployment, easy management, licensing, and instant upgrades of Cloud Steelhead instances. With as few as three clicks a customer will be able to deploy a new Cloud Steelhead and use an intuitive interface to manage capacity, location, and more.
  • Easy cloning: Administrators will be able to use their existing Cloud Steelhead settings and configurations to bring new Cloud Steelhead instances online quickly and easily.

Initially, Cloud Steelhead v1.0 will integrate with Amazon EC2 and Virtual Private Cloud (Amazon VPC).

“Riverbed helps Razorfish employees collaborate more effectively by increasing performance of applications and data shared across our offices around the world,” said Tom Marcello, director of IT engineering at Razorfish. “When we implemented Cloud Steelhead into our public cloud environment, we experienced faster performance of our line of business applications.”

Enterprises that move their applications and data to the public cloud face similar challenges to those faced by organizations that consolidate their IT infrastructure into data centers or private clouds: latency and bandwidth constraints dramatically slow performance. Riverbed tests found that due to network constraints, using a public cloud to store and access data can be up to 20X slower than a local environment. For those users that have grown to expect Riverbed Steelhead accelerated performance in their private cloud environment, Cloud Steelhead can provide the same level of performance in public cloud environments. Customers testing Cloud Steelhead have experienced up to a 30X improvement in application performance.

“Due to the remote location of some of our field offices, and the lack of specific IT skills there, ensuring availability of our critical data for all members of our global team is a critical business issue. Ongoing communication and data accessibility are critical to the work of rescue these teams undertake – so replicating data into the public cloud is a clear choice for us,” said John Lax, Vice President of Information Systems at International Justice Mission (IJM), a global human rights organization. “Moving data to the cloud provides a single point of control for our infrastructure. As a result, we are able to provide almost instantaneous access to our data, which is essential for the urgent work these teams undertake – bringing rescue to victims of slavery, sex trafficking and other forms of violent oppression. Cloud Steelhead allows us to replicate data to the cloud in record time. Using Cloud Steelhead we’ve experienced the cold pass to be three times the speed than without Riverbed software. Impressively, we measured a 98.9% speed increase when going from a cold pass to a warm pass.”

“Our customers have depended on us to help them understand, optimize and consolidate their current IT infrastructure into private clouds,” said Apurva Davé, vice president of product marketing at Riverbed. “Working closely with our customers we’ve found that public clouds, while providing a compelling new IT delivery model, share many of the same network limitations of private clouds. Namely, that distance between a user and data slows down application performance due to latency, and that data is constantly growing and hitting the limitations of existing bandwidth. With the launch of Cloud Steelhead, Riverbed is evolving its solution to address performance issues where enterprises use their data today and where they want to use it in the future.”

Availability: Riverbed Cloud Steelhead is expected to be generally available in Q4 2010.

* See Gartner, Inc. “Forecast: Public Cloud Services, Worldwide and Regions, Industry Sectors, 2009-2014,” G00200833.

Forward Looking Statements

This press release contains forward-looking statements, including statements relating to the expected demand for Riverbed’s products and services, statements of the plans, strategies and objectives of Riverbed management regarding products and product plans, statements regarding the growth characteristics and estimated size of, and customer demand relating to, the cloud market, statements regarding or implying Riverbed’s ability to grow the cloud market, statements regarding performance results of Riverbed solutions and customer cost savings following implementation of Riverbed solutions, including Riverbed’s cloud solutions, that may suggest likely or certain outcomes, and statements relating to Riverbed’s ability to meet the needs of distributed organizations. These forward-looking statements involve risks and uncertainties, as well as assumptions that, if they do not fully materialize or prove incorrect, could cause our results to differ materially from those expressed or implied by such forward-looking statements. The risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements include our ability to react to trends and challenges in our business and the markets in which we operate; our ability to anticipate market needs or develop new or enhanced products to meet those needs; the adoption rate of our products; our ability to establish and maintain successful relationships with our distribution partners; our ability to compete in our industry; fluctuations in demand, sales cycles and prices for our products and services; shortages or price fluctuations in our supply chain; our ability to protect our intellectual property rights; general political, economic and market conditions and events; and other risks and uncertainties described more fully in our documents filed with or furnished to the Securities and Exchange Commission. More information about these and other risks that may impact Riverbed’s business are set forth in our Form 10-Q filed with the SEC on October 28, 2010. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we assume no obligation to update these forward-looking statements. Any future product, feature or related specification that may be referenced in this release are for information purposes only and are not commitments to deliver any technology or enhancement. Riverbed reserves the right to modify future product plans at any time.

About Riverbed

Riverbed Technology is the IT performance company. The Riverbed family of wide area network (WAN) optimization solutions liberates businesses from common IT constraints by increasing application performance, enabling consolidation, and providing enterprise-wide network and application visibility — all while eliminating the need to increase bandwidth, storage or servers. Thousands of companies with distributed operations use Riverbed to make their IT infrastructure faster, less expensive and more responsive. Additional information about Riverbed (NASDAQ: RVBD) is available at www.riverbed.com.

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