Fremont, California-based RAID controller manufacturer Mylex Corp is using the so-called quiet period before it announces its results next Tuesday as its excuse for not commenting on the reported demise of its Network Power & Light thin server division. Mylex is set to include the costs of the restructuring it outlined earlier this month in its second quarter figures, due out after the market closes (CI No 3,450). It said then it was cutting 7% of its employees, or 27 jobs. Mylex’s main business is RAID disk controllers, which it sells in competition with companies such as Ciprico Inc and Adaptec Inc, both of which are also going through hard times. Around a third of these products were sold to Digital Equipment Corp during the companies first quarter, its largest customer. Compaq Computer Corp, which now owns DEC, has its own range of controllers. Network Power & Light, formed in February 1997, was intended to broaden Mylex’s interests towards optimized network file servers and network attached storage, an emerging market area in which Network Appliance Corp is currently prospering. The company is said to be looking to find a buyer for the division’s NetEngine and AutoNet technology. Last quarter, Mylex posted a net loss of $2m on net sales of $28.3m.
