15 August 2017
Avaya Networking - Strategic Update from Intrinsic
We wanted to make key partners within the Avaya networking programme aware of how this will be accommodated by Intrinsic.
We wanted to give you a further update on progress of Avaya’s strategic decision to sell their networking business
to Extreme Networks
. This sale is now complete and the Avaya Networking portfolio joins that of Extreme and is planned to be joined later by Brocade’s networking business.
This sale does not affect Avaya’s Unified Communications, Contact Centre or Cloud business units.
We wanted to make key partners within the Avaya networking programme aware of how this will be accommodated by Intrinsic. In the short term, no major changes will be implemented and you will still have access to Avaya’s networking products from Intrinsic as part of Extreme’s stable of products. Therefore, it is ‘business as usual’ for the immediate future.
Intrinsic have a partner update session with Extreme Networks soon where further details will be shared. We will then provide you with a further update on the details of the Extreme Networks partner programme and how that will benefit our relationship with you.
In the meantime, if you have any questions or concerns, whether strategic or operational, please make a point of contacting your Account Manager at Intrinsic.
Other key elements of Avaya’s latest announcement include:
Avaya has filed a Plan Support Agreement (PSA) with a group representing the majority of their first-line debt holders.
Avaya also announced that Jim Chirico, Avaya COO and Global Sales Leader, will succeed Kevin Kennedy as Avaya’s Chief Executive Officer, effective October 1, 2017. This is the right time for a leadership transition, as the company prepares to enter its Fiscal 2018 on October 1 and emerge from the restructuring process. Mr. Kennedy will retire as CEO and a member of the Board of Directors but will remain as an advisor to the company.
Avaya also issued preliminary results for our Q3 FY2017, with expected revenue in the range of $802M to $804M, and expected adjusted EBITDA between $202M to $206M. This performance, which is consistent with the previous quarter, is a strong indicator that Avaya continues to win business and serve customers effectively.
These are crucial milestones, which will give Avaya a solid foundation to help their customers achieve their digital transformation goals, and enable us to create even more long-term value for our customers.