Careers at Gigamon
Gigamon’s mission is to deliver active visibility, thus empowering organizations to migrate to next-generation business infrastructure.
The top manufacturers of high-speed network switches, such as Juniper Networks and Cisco Systems, primarily compete on the basis of performance. This means that they design switches for enterprises that can handle data at rates as high as 10 GB per second. While this is impressive, companies cannot allow all of that information to go uninspected, for compliance and security reasons. As such, they need to monitor it. The problem is that the devices that do so tend to slow data streams down.
In 2004, Ted Ho and his colleagues Patrick Leong, Thomas Cheung, and King Won came up with a solution to this problem. They designed a network switch that plugs into existing switches, and dips into the data stream without decreasing its performance. Their switch had extra plugs that administrators could use to attach monitoring devices. Ho and his team approached venture capitalists about their idea, requesting $1.2 million. However, they were turned down.
The men were forced to become self-reliant – using their own money combined with that of their wives to launch their company, called Gigamon Systems. Because they depended on their own funds, they utilized inexpensive technology for their prototype, which resulted in an affordable product. Gigamon’s first offering launched in 2005; it sold 60 switches that year. While this was not a lot, the company was able to hit profitability by the following year, limiting the need to self-finance.
In 2009, after years of growing revenues and zero funding attempts, the guys determined that they could expand even faster if they garnered outside investments. So they put themselves out there again, this time attracting lots of interest. They ultimately accepted $22.8 million in a round led by Highland Capital Partners. The new infusion of capital enabled Gigamon to triple its staff, a necessary move to accomodate rising demand. The company’s success allowed it to go public in 2013.
Benefits at Gigamon
Business model of Gigamon
Gigamon has a niche market business model, with a specialized customer segment. The company targets its offering at enterprises that want to increase visibility of their network traffic. It primarily serves large and mid-size organizations and federal agencies. Its most common client industries are finance, insurance, high-speed trading, healthcare, government, higher education, and technology.
Gigamon offers three primary value propositions: convenience, performance, and brand/status.
The company creates convenience through the design of its Visibility Fabric solution, which is simple to install, maintain, and configure. It can be comprised of multiple appliances or a single one, and can be controlled either locally or remotely from a centralized interface, allowing customers to spend less time and effort maintaining and managing unmanned data centers.
The company’s solutions demonstrate strong performance. The Visibility Fabric product offers enhanced visibility and intelligent filtering of network traffic without inhibiting the delivery of this traffic to analysis, management, security, or compliance tools. Moreover, in most cases changing the configuration of the Fabric does not require downtime, helping customers achieve 99.999% uptime.
The company has established a powerful brand due to its performance. As of December 2015, it had more than 1,900 customers, including 78 members of the Fortune 100. It has also won many honors, including placement on the CRN Security 100 (2016) and the Deloitte Technology Fast 500 (2015), and recognition with the Network World Asia Information Award for Network Traffic Monitoring & Management (2015) and the TechTarget SearchNetworking Network Innovation Award (2015).
Gigamon’s main channels are its direct salesforce and its channel partner network (distributors and resellers). The company promotes its offering through its website, online advertising, industry research, content syndication, attendance of conferences and trade shows, and collaborations with technology vendors.
Gigamon’s customer relationship is primarily of a self-service nature. Customers utilize its products while having limited interaction with employees. The company’s website features a “Resources Library” section that includes analyst/industry reports, books, case studies, deployment guides, data sheets, feature briefs, infographics, product/solution briefs, support documentation, videos, webinars, and white papers. There is also a customer portal that product owners can use to open a support case and obtain product documentation and software downloads.
Despite this orientation, there is also a personal assistance component in the form of “Premium Training” – a program offering instructor-led courses and/or customized learning services. In addition, the company maintains two support programs: “Standard Support” offering phone and e-mail responses to inquiries Monday to Friday between 8:00 p.m. and 5:00 p.m., and “Premium Support” providing the same services 24/7.
Gigamon’s business model entails designing and developing networking visibility and monitoring hardware and software products. The company outsources the manufacturing of its hardware offerings to third-party contract manufacturer Jabil Circuit, at its facilities in Guadalajara, Mexico. That said, its product components come from several suppliers.
Gigamon maintains the following partnership programs:
Technology/Ecosystem Partners – Organizations that create best-of-breed management, monitoring, and security solutions by attaching their products to Gigamon’s Visibility Fabric offering. These firms fall into the following categories: Application Performance Monitoring (APM), Network Performance Monitoring (NPM), Security and Vulnerability Management, Network Forensics/Big Data Analytics, and Customer Experience Management Monitoring (CEM). Specific partners include Cisco Systems,
VMware, Check Point Software Technologies, Dynatrace Corporation, Fortinet, Empirix, FireEye, IMperva, Riverbed Technology, SAvvius, SevOne, ForeScout Technologies, and Viavi Solutions.
Reseller/Distributor Partners – Organizations that extend the scope of their offerings by selling Gigamon’s products and services to their customers. Authorized resale partners are able to design and implement infrastructure services and solutions. Value-added distribution partners offer various services to reseller partners, including product training, marketing tools, and support tools. Gigamon offers training to both groups, as well as opportunities to become certified in the use of its products.
Gigamon’s main resource is its custom software, which includes the majority of its intellectual property. It depends heavily on its engineering team, which has significant expertise in key aspects of its research and development efforts, including network management and analysis technologies, network securities, network protocol, virtualization, and Ethernet system design. Lastly, as a startup it has relied on outside funding, raising $22.8 million from Highland Capital Partners in February 2010 (other possible investments are unknown).
Gigamon has a cost-driven structure, aiming to minimize expenses through significant automation and low-price value propositions. Its biggest cost driver is sales/marketing expenses, a fixed cost. Other major drivers are in the areas of research/development and administration, both fixed expenses, and cost of product, a variable expense.
Gigamon has two revenue streams: the revenue it generates from sales of its products, and sales of related services (training, support, etc.). The company must be contacted for service price quotes.
info: Paul previously served as the VP of Marketing and Product Management at Gigamon. Prior to this he held several executive roles at Extreme Networks, including Chief Information Officer, Chief Marketing Officer, and VP of the Volume Products Group.
info: Mike earned a B.A. in Economics and an M.S. in Industrial Engineering at Stanford University, and an MBA at the University of California, Berkeley. He previouslyserved as the CFO of Volterra Semiconductor and held many executive roles at Intel.
info: Shehzad earned a Bachelor’s degree in Electronic Engineering degree from the University of Mumbai and a Master’s Degree in Computer Engineering from USC. He previously served as CTO of Extreme Networks and VP of Products at Polytime Systems.
info: Fred earned a B.S. in Finance and Accounting at the University of Colorado Boulder. He previously served as CMO of NetSuite, General Manager of Microsoft Office at Microsoft, and Group VP of Applications Marketing at Oracle.
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