By Johna Till Johnson, Nemertes Research Inc.

July 11, 2005

Last month’s rash of investment in grid-computing companies highlights the growing momentum of grid architectures and applications, foreshadowing a significant impact in commercial enterprises in 2007-2008. Leading-edge adopters (particularly financial-services firms) have deployed various grid schemes for years, but Nemertes’ research shows that fewer than 10% of benchmarked enterprises had deployed grid architectures as of mid-2004. We anticipate this will change, however, as commercially oriented products and technologies come on the market.

Several grid-focused companies received notable rounds of funding in June. Voltaire, which makes multi-service interconnect switching hardware, closed $15 million in financing from Baker Capital, Pitango Venture Capital and Vertex Venture Capital. The round included contributions from Paul Bonderson, co-founder and former vice president, engineering, of Brocade.

The complete Impact Analysis is available to Nemertes clients. For more information, please contact Christine Zimmerman at christine@nemertes.com