Category Archives: Bluecoat

“Ugly Yellow Box” bought by private equity firm

Security is BIG business, probably even bigger than storage and with more “sex” appeal and pazzazz! My friends are owners of 2 of the biggest security distributors in town, so I know. I am not much of a security guy, but I reason I write about Bluecoat is that this company has something close to my heart.

In the early 2000, NetApp used to have a separate division that is not storage. They have a product called NetCache, which is a web proxy solution. It was a pretty decent product and one of the competitors we frequently encounter on the field was an “ugly yellow box” called CacheFlow. Whenever we see an “ugly yellow box” in a rack, we will immediately know that it was a CacheFlow box. NetApp competed strongly with Cache Flow, partly because their CEO and founder, Brian NeSmith, as we NetAppians were told, was ex-NetApp. And there was some animosity between Brian and NetApp, up to the point that I recalled NetApp’s CEO then, Dan Warmenhoven, declaring that “NetApp will bury CacheFlow!“, or something of that nature. At that point, in the circa of 2001-2002, CacheFlow was indeed in a bit of a rut as well. They suffered heavy losses and was near bankcruptcy. A old news from Forbes confirmed Brian NeSmith’s near-bankcruptcy adventure.

CacheFlow survived the rut, changed their name to Bluecoat Systems, and changed their focus from Internet caching to security. Know why they are know as “Bluecoat”? They are the policemen of the Internet, and policemen are men in blue coats. I found an old article from Network World about their change.  And they decided not to paint their boxes yellow anymore. 😉

Eventually, it was CacheFlow who triumphed over NetApp. And the irony was NetApp eventually sold the NetCache unit and its technology to BlueCoat in 2006. And hence, that my account of the history of Bluecoat.

Yesterday, Bluecoat was on the history books again, but for a better reason. A private equity firm, Thoma Bravo, has put in USD$1.3 billion to acquire Bluecoat. News here and here.

Have a happy Sunday 😀

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