Cyber Security Leader Selects Silicom Edge System for its Next Generation Offering
Silicom (NASDAQ: SILC) has secured a design win from a major US-based cyber security customer for an advanced Edge system. The customer projects reaching a full run-rate of approximately $2 million per year by the second half of 2025. The deal involves a customized version of Silicom's wireless connectivity-enabled Edge system with an integrated Network Interface Card.
The customer, which initially purchased network adapters from Silicom, has expanded its relationship to include complex Edge devices. The system will be implemented as the next generation of one of the customer's leading product lines. Discussions are ongoing regarding additional Silicom products for other product lines.
Silicom (NASDAQ: SILC) ha ottenuto una vittoria di design da un importante cliente statunitense nel settore della cyber sicurezza per un avanzato sistema Edge. Il cliente prevede di raggiungere una capacità di produzione annua di circa 2 milioni di dollari l'anno entro la seconda metà del 2025. L'accordo prevede una versione personalizzata del sistema Edge di Silicom, abilitato alla connettività wireless, con una scheda di interfaccia di rete integrata.
Il cliente, che inizialmente aveva acquistato adattatori di rete da Silicom, ha ampliato la sua relazione per includere dispositivi Edge complessi. Il sistema sarà implementato come la prossima generazione di una delle linee di prodotto leader del cliente. Sono in corso discussioni riguardo ad altri prodotti Silicom per altre linee di prodotto.
Silicom (NASDAQ: SILC) ha obtenido una victoria de diseño de un importante cliente estadounidense en ciberseguridad para un avanzado sistema Edge. El cliente proyecta alcanzar una tasa de ejecución completa de aproximadamente 2 millones de dólares al año para la segunda mitad de 2025. El negocio involucra una versión personalizada del sistema Edge de Silicom, habilitado para conectividad inalámbrica, con una tarjeta de interfaz de red integrada.
El cliente, que inicialmente compró adaptadores de red de Silicom, ha ampliado su relación para incluir dispositivos Edge complejos. El sistema se implementará como la próxima generación de una de las líneas de productos más destacadas del cliente. Las discusiones continúan sobre productos adicionales de Silicom para otras líneas de productos.
Silicom (NASDAQ: SILC)은 주요 미국 사이버 보안 고객으로부터 첨단 엣지 시스템에 대한 디자인 승인을 받았습니다. 고객은 2025년 하반기까지 연간 약 200만 달러의 완전 실행 속도를 예측하고 있습니다. 이 거래는 Silicom의 무선 연결 기능이 지원되는 맞춤형 엣지 시스템과 통합된 네트워크 인터페이스 카드가 포함됩니다.
초기에는 Silicom의 네트워크 어댑터를 구매했던 고객은 복잡한 엣지 장치까지 관계를 확장했습니다. 이 시스템은 고객의 주요 제품군 중 하나의 차세대 모델로 구현될 예정입니다. 다른 제품 라인을 위한 추가 Silicom 제품에 대한 논의도 진행 중입니다.
Silicom (NASDAQ: SILC) a obtenu un contrat de conception d'un important client américain dans le domaine de la cybersécurité pour un système Edge avancé. Le client prévoit d'atteindre un rythme complet d'environ 2 millions de dollars par an d'ici la deuxième moitié de 2025. L'accord implique une version personnalisée du système Edge de Silicom, doté de connectivité sans fil, avec une carte d'interface réseau intégrée.
Le client, qui avait d'abord acheté des adaptateurs réseau auprès de Silicom, a étendu sa relation pour inclure des dispositifs Edge complexes. Le système sera mis en œuvre comme la prochaine génération d'une des lignes de produits phares du client. Des discussions sont en cours concernant d'autres produits Silicom pour d'autres lignes de produits.
Silicom (NASDAQ: SILC) hat einen Designgewinn von einem großen US-amerikanischen Cybersecurity-Kunden für ein fortschrittliches Edge-System erzielt. Der Kunde plant, bis zur zweiten Hälfte von 2025 eine jährliche Produktionskapazität von etwa 2 Millionen US-Dollar zu erreichen. Das Geschäft umfasst eine maßgeschneiderte Version von Silicoms Edge-System mit kabelloser Konnektivität und einer integrierten Netzwerkschnittstelle.
Der Kunde, der zunächst Netzwerkadapter von Silicom erworben hat, hat seine Beziehung erweitert, um komplexe Edge-Geräte einzuschließen. Das System wird als nächste Generation einer der führenden Produktlinien des Kunden implementiert. Gespräche über zusätzliche Silicom-Produkte für andere Produktlinien sind im Gange.
- Secured new design win expected to generate $2M annually starting H2 2025
- Expanded relationship with existing customer from basic components to complex Edge systems
- Potential for additional business through ongoing discussions about other product lines
- Growing recurring revenue base through long-term customer relationships
- Revenue impact won't materialize until second half of 2025
Insights
This
The H2 2025 ramp-up timeline gives clear visibility into revenue growth. While
The expanded relationship pattern here is particularly noteworthy - it validates Silicom's land-and-expand strategy and suggests potential for similar expansions across their customer base. The ongoing discussions about additional product lines indicate further upside potential beyond the announced contract value.
The strategic significance of this win extends beyond immediate financials. The customer's evolution from buying basic network cards to adopting Silicom's advanced Edge systems for their next-gen product line validates Silicom's technology roadmap and R&D investments. The integration of wireless connectivity capabilities with Edge computing systems positions Silicom at the intersection of two major growth trends in enterprise networking.
The customization aspect is particularly telling - it suggests Silicom has developed the engineering flexibility and time-to-market capabilities that larger cybersecurity vendors value. This competitive advantage is difficult to replicate and typically leads to high switching costs once designed into a customer's product line.
The mention of "deep wireless know-how" signals Silicom's evolution beyond traditional networking hardware into more sophisticated wireless-enabled Edge solutions - a critical capability as enterprises increasingly demand integrated wireless + Edge computing solutions for modern security architectures.
- Customer forecasts full ramp-up to reach
KFAR SAVA,
The selected product is a customized version of a wireless connectivity-enabled Silicom Edge system incorporating a Silicom Network Interface Card. The customer will offer this system as the next generation of one of its leading product lines.
This win expands the relationship that Silicom has been building with the client for several years, ramping up the range of products sold from network interface cards to complex Edge devices. In parallel, discussions continue about additional Silicom products that the customer is considering for other product lines.
"The fact that a company that began buying network adapters now relies on us for its next-generation Edge and appliance needs demonstrates the strength of our product line and the importance of the relationships we have built over the years with our loyal customer base," commented Liron Eizenman, Silicom's CEO. "Our ability to carry out required customization quickly and to provide both the Edge system and the network interface card that are incorporated within the system, together with our deep wireless know-how, were also key factors in securing the win. We believe they will lead to additional business with this customer."
"Long-term, trusting relationships such as these are helping us to expand our base of recurring revenues. We expect demand to continue to build for our Edge systems, Smart Network Interface cards and innovative products that integrate the two, becoming a key driver of our future growth."
About Silicom
Silicom Ltd. is an industry-leading provider of high-performance networking and data infrastructure solutions. Designed primarily to improve performance and efficiency in Cloud and Data Center environments, Silicom's solutions increase throughput, decrease latency and boost the performance of servers and networking appliances, the infrastructure backbone that enables advanced Cloud architectures and leading technologies like NFV, SD-WAN and Cyber Security. Our innovative solutions for high-density networking, high-speed fabric switching, offloading and acceleration, which utilize a range of cutting-edge silicon technologies as well as FPGA-based solutions, are ideal for scaling-up and scaling-out cloud infrastructures.
Silicom products are used by major Cloud players, service providers, telcos and OEMs as components of their infrastructure offerings, including both add-on adapters in the Data Center and stand-alone virtualized/universal CPE devices at the edge.
Silicom's long-term, trusted relationships with more than 200 customers throughout the world, its more than 400 active Design Wins and more than 300 product SKUs have made Silicom a 'go-to' connectivity/performance partner of choice for technology leaders around the globe.
For more information, please visit: www.silicom.co.il
Statements in this press release which are not historical data are forward-looking statements which involve known and unknown risks, uncertainties, or other factors not under the company's control, which may cause actual results, performance, or achievements of the company to be materially different from the results, performance, or other expectations implied by these forward-looking statements. These factors include, but are not limited to, Silicom's increasing dependence for substantial revenue growth on a limited number of customers, the speed and extent to which Silicom's solutions are adopted by the relevant markets, difficulty in commercializing and marketing of Silicom's products and services, maintaining and protecting brand recognition, protection of intellectual property, competition, disruptions to its manufacturing, sales & marketing, development and customer support activities, the impact of the wars in
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Company Contact:
Eran Gilad, CFO
Silicom Ltd.
Tel: +972-9-764-4555
E-mail: erang@silicom.co.il
Investor Relations Contact:
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EK Global Investor Relations
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E-mail: silicom@ekgir.com
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SOURCE Silicom Ltd.
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