Deals

Brocade acquires Silverback for storage chips, the latest bubble-era co. to exit

Network storage company Brocade has acquired Silverback Systems, of Campbell, Calif. for its network acceleration processor technology.

The amount was undisclosed, and so is immaterial, or small enough so that it doesn’t have to be disclosed to investors. See the press release here.

This is just the latest in the long list of technology companies founded in the bubble era that have some how struggled through the downturn and managed to eke out a sale (though there’s no sign that this resulted in a profit for investors).

Brocade is a maker of products and services that connect storage-area networks together. Silverback specializes in processors that speed up the movement of data within a network using the iSCSI network protocol.

The company had previously raised $50 million in venture backing from Intel Capital, China Development Industrial Bank, Gemini Capital Fund, JP Morgan Partners, Network Appliance, Newbury Ventures, North Bridge Venture Partners, Pitango Venture Capital and US Trust Private Equity.

“Silverback’s technology and expertise in iSCSI environments will help us to deliver a new set of cost-effective products that broaden the Brocade product portfolio,” said Dan Crain, chief technology officer at Brocade, in a statement.

This is the third acquisition for Brocade in the last 10 months. It acquired NuView Inc. in March, and announced the purchase of McData for $713 million in August, which is still pending.

(Story first published 1/9)