AVOCENT CORPORATION TO EXPAND OPERATIONS AT SHANNON - TÁNAISTE

Avocent is a pioneer of advanced network connectivity solutions for enterprise data centres, Internet service providers (ISPs), application service providers (ASPs) and financial institutions worldwide. Corporate customers use Avocent’s technologies to command and control their own information processing requirements on scales which range from small numbers of personal computers to massive international server centres which process and hold huge volumes of information.

Making the announcement, the Tánaiste said, “This expansion by Avocent, which will see the company double its physical operating capacity from its current 40,000 sq. ft., and involve an overall capital investment of $4.1 million, confirms the company’s confidence in Ireland and Shannon in particular. In addition to creating employment, the economic benefit of this increased operating capacity should also be viewed from an R& D perspective. Avocent at Shannon has a major role to play in the development of technologies and the growth of markets across Europe, the Middle East, Africa and Asia. Shannon-based functions such as R&D, manufacturing, sales, marketing and distribution have been central to the growth of the company over the past four years, and this role is likely to increase in the future.

“Avocent’s products will play a key role in ISP/ASP, co-location and e-business infrastructures worldwide. Avocent sees an expanding role for its Irish operations particularly in view of its recent development of the world’s first digital connectivity control devices. These provide enhanced information processing capacity and enable the monitoring and control of data servers and centres from remote locations over digital or fibre optic communication lines,” the Tánaiste added.

According to Mr. Kevin Thompstone, Acting Chief Executive, Shannon Development, “Avocent’s growing establishment at Shannon provides a further boost to Ireland’s reputation as an excellent platform for international business expansion. The company operates an integrated business model at Shannon, which combines R&D, manufacturing, sales, marketing and distribution. This multi-faceted approach provides a value added contribution to the regional and national economy with the employment of staff at all organisational levels and the utilisation of Irish suppliers of goods and services.”

Mr. Kieran MacSweeney, President & Managing Director, Avocent International, commented: “The availability of people in the Shannon Region with the skills required to develop a dynamic multinational business has been a key factor in our successful growth to date. The company is delighted with the efficiencies it has achieved by locating in Ireland primarily due to the availability of highly skilled staff, the well defined communications infrastructure here and Ireland’s vibrant economy.”

Avocent’s R&D function at Shannon operates in conjunction with a number of distributed R&D functions world-wide including Germany, Seattle, Boston and Avocent’s headquarters in Alabama, United States. The Shannon R&D operations were responsible for developing one of the world’s leading large scale server control devices - the Cybex XP4400 hub and is currently playing a major role in developing Avocent’s next generation analogue server control solutions.

The Shannon based Sales function is currently generating over 30% of Avocent’s worldwide revenues. Shannon-controlled sales offices are currently established in Steinhagen and Munich in Germany, London, Paris, Stockholm, Amsterdam, Singapore, Seoul, and Tokyo. Additional sales offices and distribution channel partners are being established throughout the international region.

Avocent was formed in June 2000 following the merger of leading network industry pioneers Apex and Cybex Computer Products Corporation. Cybex Computer Products International operations were also previously based at Shannon, established in November 1996. Avocent employs over 525 people worldwide with annual revenues in excess of $280 million. The company’s customers include industry leaders such as Bank of America, Boeing, Intel, Microsoft, Nokia and Compaq.