First platform produced based on Metamako technology
Arista Networks (ANET) recently unveiled a new network application platform, expanding its range of enterprise network products. The company bills the Arista 7130L series as ideal for connecting electronic trading platforms directly to exchanges. Arista also says its new network application platform will deliver cost benefits for customers.
The Arista 7130L Series incorporates the technology that Arista acquired when it bought programmable network solutions provider Metamako last year. Arista says this is its first platform product based on the Metamako technology.
Arista sees its market opportunity nearly doubling soon
Arista is introducing a new product at a time when the company has predicted a sharp expansion in its total addressable market in the next few years. According to Arista, its total addressable market (or TAM) was $16 billion in 2018 and the opportunity is on track to nearly double to $30 billion by 2022.
The shift to cloud computing is a major driver of growth in Arista’s TAM. The company supplies data center developers with a range of networking gear including switches. Amazon (AMZN), Microsoft (MSFT), Google (GOOGL), the world’s top cloud vendors, are investing in data centers around the world to add to their cloud computing capacity amid hot demand for cloud services. The data center investments create business for Arista. But Arista is not the only one chasing this opportunity. Cisco Systems (CSCO), whose revenue rose 7.0% year-over-year in the latest quarter, is also in hot pursuit of data center networking expenditures.