|Exam Name||:||ISPWS Cisco IronPort Security(R) Professional - Web Security|
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|Updated On||:||February 22, 2019|
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650-154 exam Dumps Source : ISPWS Cisco IronPort Security(R) Professional - Web Security
Test Code : 650-154
Test Name : ISPWS Cisco IronPort Security(R) Professional - Web Security
Vendor Name : Cisco
Q&A : 60 Real Questions
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SAN JOSE, Calif. - February 6, 2007 - Cisco®, the worldwide leader in networking that transforms how individuals join, communicate and collaborate, nowadays pronounced its second quarter outcomes for the period ended January 27, 2007. Cisco mentioned second quarter internet revenue of $eight.4 billion, internet revenue on a frequently authorised accounting ideas (GAAP) basis of $1.9 billion or $0.31 per share, and non-GAAP web profits of $2.1 billion or $0.33 per share. Scientific-Atlanta, Inc., obtained all over the third quarter of fiscal 2006, contributed internet revenue of $639 million all over the 2nd quarter of fiscal 2007.
"Cisco performed record outcomes that have been well balanced across our geographies, items, capabilities, customer segments and new markets," talked about John Chambers, chairman and CEO, Cisco. "This illustrates our key aggressive competencies of being able to increase an extended-term imaginative and prescient, execute on our strategy and convey constant results.
"It is that this unique skill to stability between approach and innovation that has placed Cisco to take capabilities of key emerging company and IT developments such as the rise of video on the community," Chambers endured. "because the network becomes the platform, we're seeing more and more signs that all types of IT and communique are getting into the community and lengthening the entire purchasable market to Cisco."
vs. Q2 2006net revenue
+39.7%earnings per Share
vs. Q2 2006net revenue
+28.1%salary per Share
web sales for the first six months of fiscal 2007 have been $16.6 billion, in comparison with $13.2 billion for the first six months of fiscal 2006. Scientific-Atlanta, Inc. contributed $1.2 billion to internet earnings all through the primary six months of fiscal 2007. web profits for the primary six months of fiscal 2007, on a GAAP basis, turned into $3.5 billion or $0.56 per share, in comparison with $2.6 billion or $0.forty two per share for the first six months of fiscal 2006. Non-GAAP web revenue for the primary six months of fiscal 2007 changed into $4.0 billion or $0.sixty four per share, compared with $3.2 billion or $0.fifty one per share for the primary six months of fiscal 2006.
A reconciliation between net profits on a GAAP groundwork and non-GAAP web earnings is supplied in the desk on web page 6, which includes additional information regarding the effect of the December 2006 reinstatement (retroactive to January 1, 2006) of the U.S. federal analysis and construction (R&D) tax credit score.
Cisco will talk about second quarter effects and company outlook on a convention call and Webcast at 1:30 p.m. Pacific Time today. name assistance and linked charts can be found at http://investor.cisco.com.
"we're very happy with our standard performance and stability for the 2d quarter of the fiscal year," spoke of Dennis Powell, chief economic officer, Cisco. "Cisco demonstrated persisted energy of each our Cisco standalone company, with 18 percent revenue growth 12 months over yr, and our Scientific Atlanta company, with 21 percent boom 12 months over yr, which passed our expectations for combined income, operating income and revenue per share."
New Product Introductions
fundamental consumer movements
Cisco (NASDAQ: CSCO) is the global chief in networking that transforms how individuals connect, communicate and collaborate. counsel about Cisco will also be discovered at http://www.cisco.com. For ongoing information, consult with http://newsroom.cisco.com.
# # #
This liberate may well be deemed to contain forward-searching statements, that are discipline to the secure harbor provisions of the private Securities Litigation Reform Act of 1995. These forward-looking statements include, amongst different things, statements concerning future pursuits (such as the construction of our markets, the future of networking, and Cisco's approach and positioning) and the future monetary performance of Cisco that contain risks and uncertainties. Readers are suggested that these forward-looking statements are only predictions and may fluctuate materially from precise future routine or outcomes as a result of a number of components, together with: business and economic situations and boom tendencies within the networking trade and in a considerable number of geographic areas; global economic conditions and uncertainties within the geopolitical atmosphere; ordinary suggestions expertise spending; the growth of the information superhighway and ranges of capital spending on web-primarily based programs; variations in customer demand for items and services, together with earnings to the provider provider market; the timing of orders and manufacturing and customer lead instances; adjustments in customer order patterns or customer combine; inadequate, excess or out of date stock; variability of part costs; diversifications in earnings channels, product fees or mix of items bought; our potential to successfully purchase agencies and technologies and to effectively combine and operate these got businesses and technologies together with the companies and technologies of Scientific-Atlanta, Inc.; extended competition within the networking business; dependence on the introduction and market acceptance of new product choices and requirements; speedy technological and market trade; manufacturing and sourcing dangers, including dangers regarding our transition to a brand new manufacturing mannequin; product defects and returns; litigation involving patents, highbrow property, antitrust, shareholder and other concerns; herbal catastrophic pursuits; a deadly disease or epidemic; fulfillment of the advantages anticipated from our investments in revenue and engineering activities; our skill to recruit and keep key personnel; our capability to control economic possibility; forex fluctuations and different international factors; skills volatility in operating results; and different elements listed in Cisco's most contemporary stories on form 10-k and form 10-Q. The economic suggestions contained in this liberate should still be read at the side of the consolidated monetary statements and notes thereto included in Cisco's most recent reviews on form 10-ok and kind 10-Q, each and every because it can be amended occasionally. Cisco's effects of operations for the three and 6 months ended January 27, 2007 don't seem to be always indicative of Cisco's operating effects for any future intervals. Any projections during this unencumber are in response to restricted counsel currently available to Cisco, which is subject to alternate. however any such projections and the elements influencing them will doubtless alternate, Cisco will now not necessarily replace the information, considering that Cisco will handiest deliver advice at certain aspects all the way through the yr. Such tips speaks only as of the date of this liberate.
This unlock includes non-GAAP internet profits, non-GAAP web salary per share records, shares utilized in non-GAAP internet revenue per share calculation, non-GAAP inventory turns and positive tax price utilized in arriving at non-GAAP net earnings.
These non-GAAP measures aren't in response to, or an alternative for measures prepared in response to, often permitted accounting principles and may be diverse from non-GAAP measures used by using other agencies. in addition, these non-GAAP measures are not in response to any comprehensive set of accounting guidelines or ideas. Cisco believes that non-GAAP measures have limitations in that they do not reflect the entire quantities associated with Cisco's outcomes of operations as decided in keeping with GAAP and that these measures should most effective be used to consider Cisco's outcomes of operations in conjunction with the corresponding GAAP measures.
Cisco believes that the presentation of non-GAAP internet earnings, non-GAAP internet salary per share facts, shares utilized in non-GAAP web income per share calculation and positive tax price used in arriving at non-GAAP web earnings, when shown in conjunction with the corresponding GAAP measures, provides positive assistance to traders and administration regarding fiscal and business developments regarding its fiscal circumstance and outcomes of operations. moreover, Cisco believes that the presentation of non-GAAP stock turns offers positive assistance to investors and management concerning financial and enterprise trends concerning stock management in accordance with the operating activities of the length introduced.
For its inside budgeting technique, Cisco's administration uses economic statements that do not consist of employee share-based mostly compensation rate, influence to can charge of revenue from purchase accounting changes to stock, payroll tax on inventory choice workout routines, compensation price concerning acquisitions and investments, in-system research and building, amortization of bought intangible assets, colossal features and losses on publicly traded fairness securities, the revenue tax results of the foregoing, and important results of retroactive tax legislation, such as Cisco's U.S. federal R&D tax credit score regarding fiscal 12 months 2006 R&D expenses. Cisco's administration also uses the foregoing non-GAAP measures, besides the corresponding GAAP measures, in reviewing the economic outcomes of Cisco.
For additional information on the gadgets excluded by means of Cisco from one or extra of its non-GAAP fiscal measures we refer you to the form eight-k regarding this release furnished nowadays with the Securities and change fee.
Copyright © 2007 Cisco methods, Inc. All rights reserved. Cisco, the Cisco emblem, Cisco techniques and iPhone are registered logos or logos of Cisco methods, Inc. and/or its affiliates in the united states and likely other international locations. All other emblems outlined during this document are the property of their respective owners. using the word associate doesn't imply a partnership relationship between Cisco and another business. This doc is Cisco Public counsel.
Cisco programs, Inc.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In hundreds of thousands, apart from per-share quantities)(Unaudited)Three Months Ended Six Months Ended January 27, 2007 January 28, 2006 January 27, 2007 January 28, 2006 net income: Product $ 7,099 $ 5,537 $ 14,039 $ 11,028 provider 1,340 1,091 2,584 2,a hundred and fifty complete internet income eight,439 6,628 16,623 13,178 charge OF earnings: Product 2,544 1,774 5,043 3,525 carrier 507 388 959 777 complete can charge of earnings three,051 2,162 6,002 four,302 GROSS MARGIN 5,388 4,466 10,621 eight,876 working costs: research and advancement1,094 966 2,177 1,962 income and advertising and marketing 1,726 1,431 three,412 2,884 familiar and administrative 340 282 704 560 Amortization of bought intangible property ninety six 56 201 115 In-manner research and advancement2 - 6 2 complete operating billsthree,258 2,735 6,500 5,523 operating salary 2,one hundred thirty 1,731 4,121 3,353 hobby earnings, web172 168 329 322 different revenue, web33 17 sixty one - interest and other profits, net205 185 390 322 income earlier than PROVISION FOR revenue TAXES 2,335 1,916 four,511 3,675 Provision for income taxes 414 541 982 1,039 internet income $ 1,921 $ 1,375 $ 3,529 $ 2,636 net salary per share: fundamental $ 0.32 $ 0.22 $ 0.fifty eight $ 0.43 Diluted $ 0.31 $ 0.22 $ 0.56 $ 0.forty two Shares utilized in per-share calculation: primary 6,057 6,146 6,060 6,195 Diluted 6,291 6,248 6,255 6,301
RECONCILIATION OF GAAP TO NON-GAAP internet profits
(In millions, apart from per-share amounts)Three Months Ended Six Months Ended January 27, 2007 January 28, 2006 January 27, 2007 January 28, 2006 GAAP internet income $ 1,921 $ 1,375 $ 3,529 $ 2,636
employee share-based compensation fee247 261 472 578
Payroll tax on stock option workoutseleven three 17 5
Compensation rate regarding acquisitions and investments27 30 forty eight 70
In-method analysis and building2 - 6 2
Amortization of bought intangible property132 fifty six 273 115 complete adjustments to GAAP revenue earlier than provision for profits taxes 419 350 816 770
salary tax impact (1)(189) (ninety three) (290) (205)
effect of retroactive tax legislations (2)(60) - (60) -
total alterations to GAAP provision for earnings taxes (three)(249) (93) (350) (205) Non-GAAP net profits $ 2,091 $ 1,632 $ 3,995 $ 3,201 Diluted internet income per share: GAAP $ 0.31 $ 0.22 $ 0.56 $ 0.forty two Non-GAAP $ 0.33 $ 0.26 $ 0.64 $ 0.fifty one Shares used in diluted web salary per share calculation: GAAP 6,291 6,248 6,255 6,301 Non-GAAP 6,281 6,233 6,243 6,286
(1) The revenue tax effect for the changes regarding GAAP revenue earlier than provision for earnings taxes become 35.5% for the first six months of fiscal 2007. The revenue tax impact has been decided the use of the relevant tax costs in jurisdictions to which these adjustments relate and includes share-based mostly compensation tax benefits because of the reinstatement of the U.S. federal R&D tax credit within the second quarter of fiscal 2007 (see note 2 below).
(2) within the second quarter of fiscal 2007, the Tax aid and health Care Act of 2006 reinstated the U.S. federal R&D tax credit score, retroactive to January 1, 2006. GAAP internet revenue for the 2nd quarter and the primary six months of fiscal 2007 protected a $one hundred twenty million tax benefit relating to the reinstatement of the U.S. federal R&D tax credit, including $60 million regarding fiscal 2006 R&D costs and $30 million concerning the first quarter of fiscal 2007 R&D fees. Non-GAAP net revenue for the second quarter and the primary six months of fiscal 2007 excluded the $60 million tax improvement regarding fiscal 2006 R&D prices.
(3) The positive tax cost utilized in GAAP web income turned into 21.8% for the primary six months of fiscal 2007, which contains a $60 million or 1.three% tax advantage from the reinstatement of the U.S. federal R&D credit score concerning fiscal 2006 R&D costs. The positive tax fee utilized in non-GAAP net profits changed into 25.0% for the first six months of fiscal 2007, which excludes the $60 million tax improvement from the reinstatement of the U.S. federal R&D credit score regarding fiscal 2006 R&D costs.
additional reconciliations between GAAP and non-GAAP fiscal measures are provided within the tables that comply with on page 10.
Cisco systems, Inc.CONSOLIDATED balance SHEETS
(In thousands and thousands)(Unaudited)$ 43,315 January 27, 2007 July 29, 2006 assets latest assets: cash and cash equivalents $ 2,434 $ three,297 Investments 18,247 14,517 bills receivable, internet of allowance for doubtful debts of $169 at January 27, 2007 and $a hundred seventy five at July 29, 2006. 2,908 three,303 Inventories 1,642 1,371 Deferred tax belongings 1,673 1,604 prepaid charges and other latest assets 1,612 1,584 complete latest belongings 28,516 25,676 Property and machine, net3,539 three,440 Goodwill 9,318 9,227 bought intangible property, net1,960 2,161 other belongings 2,921 2,811 total belongings $ forty six,254 LIABILITIES AND SHAREHOLDERS' fairness existing liabilities: money owed payable $ 931 $ 880 income taxes payable 1,330 1,744 gathered repayment1,589 1,516 Deferred salary 4,718 4,408 different collected liabilities 2,923 2,765 total existing liabilities eleven,491 eleven,313 long-time period debt 6,416 6,332 Deferred long-time period salary 1,343 1,241 other long-time period liabilities 414 511 complete liabilities 19,664 19,397 Minority interesteight 6 Shareholders' equity 26,582 23,912 complete LIABILITIES AND SHAREHOLDERS' equity $ forty six,254 $ 43,315
Cisco techniques, Inc.CONSOLIDATED STATEMENTS OF money FLOWS
(In millions)(Unaudited)Six Months Ended January 27, 2007 January 28, 2006 money flows from working actions: web revenue $ three,529 $ 2,636 changes to reconcile web salary to web cash offered by way of operating actions: Depreciation and amortization 690 512 worker share-based mostly compensation rate 472 578 Share-based mostly compensation fee related to acquisitions and investments 19 fifty two Provision for dubious accounts - 10 Provision for stock 116 70 Deferred salary taxes (sixty six) 1 excess tax advantages from share-primarily based compensation (428) (a hundred twenty five) In-system research and advancement6 2 net positive factors and impairment prices on investments (ninety nine) (21) alternate in working property and liabilities, internet of consequences of acquisitions: debts receivable 395 (329) Inventories (387) (115) prepaid charges and other latest assets (39) (forty seven) lease receivables, net (66) (60) accounts payable 51 (fifty one) earnings taxes payable 104 sixty three collected compensation73 (ninety seven) Deferred profits 412 fifty nine different liabilities 147 129 web cash supplied by means of operating activities 4,929 3,267 money flows from investing actions: Purchases of investments (11,184) (10,467) Proceeds from income and maturities of investments 7,762 eleven,886 Acquisition of property and machine (548) (394) Acquisition of companies, internet of cash and cash equivalents obtained (166) (a hundred and fifty) trade in investments in privately held companies (76) (ninety) buy of minority hobby of Cisco techniques, ok.ok. (Japan) - (25) other (27) (eighty four) internet cash (used in) supplied by using investing activities (four,239) 676 cash flows from financing actions: Issuance of general stock2,779 563 Repurchase of general inventory (four,781) (four,248) extra tax advantages from share-based compensation428 one hundred twenty five different 21 26 internet cash used in financing activities (1,553) (three,534) web (reduce) increase in money and cash equivalents (863) 409 money and money equivalents, beginning of length 3,297 four,742 cash and cash equivalents, end of duration $ 2,434 $ 5,151
Cisco programs, Inc.additional monetary assistance
(In tens of millions)(Unaudited)January 27, 2007 July 29,2006 money AND cash EQUIVALENTS AND INVESTMENTS cash and cash equivalents $ 2,434 $ 3,297 mounted salary securities 17,194 13,805 Publicly traded equity securities 1,053 712 total $ 20,681 $ 17,814 INVENTORIES uncooked substances $ 178 $ 131 Work in manner 440 377 entire items:
Distributor stock and deferred cost of sales456 423
Manufacturing complete items339 236 complete comprehensive items 795 659 provider-connected spares 193 one hundred seventy Demonstration methods 36 34 complete $ 1,642 $ 1,371 PROPERTY AND gadget, internet Land, constructions, and leasehold advancements $ three,736 $ 3,647 desktop equipment and related software 1,446 1,352 production, engineering, and other equipment3,995 three,678 working rent property 158 153 furniture and furniture370 363 9,705 9,193 less amassed depreciation and amortization (6,166) (5,753) complete $ 3,539 $ 3,440 hire RECEIVABLES, net (1) latest $ 359 $ 308 Noncurrent 479 464 complete $ 838 $ 772 other assets Deferred tax assets $ 972 $ 983 Investments in privately held groups 636 574 salary tax receivable 277 279 lease receivables, net479 464 different 557 511 total $ 2,921 $ 2,811 DEFERRED revenue service $ 4,229 $ four,088 Product
Unrecognized income on product shipments and different deferred income1,380 1,156
cash receipts regarding unrecognized income from two-tier distributors452 405 complete product deferred income 1,832 1,561 complete $ 6,061 $ 5,649 pronounced as: present $ 4,718 $ 4,408 Noncurrent 1,343 1,241 complete $ 6,061 $ 5,649 (1) The present element of lease receivables, internet, is recorded in prepaid expenses and different current assets, and the noncurrent component is recorded in different belongings in the Consolidated steadiness Sheets.
abstract OF employee SHARE-based mostly COMPENSATION price
(in tens of millions)Three Months Ended Six Months Ended January 27, 2007 January 28, 2006 January 27, 2007 January 28, 2006 cost of revenue - product $ 12 $ 11 $ 23 $ 30 cost of sales - service 30 28 fifty four 62 employee share-based mostly compensation expense blanketed in cost of income 42 39 seventy seven 92 research and advancementseventy four ninety 148 193 income and marketing 99 106 193 233 established and administrative 32 26 fifty four 60 employee share-based mostly compensation price protected in working bills205 222 395 486 total employee share-based mostly compensation fee 247 261 472 578 Tax benefit (one zero five) (73) (163) (162) employee share-based mostly compensation expense, net of tax $ 142 $ 188 $ 309 $ 416
RECONCILIATION OF SHARES USED within the GAAP AND NON-GAAP DILUTED web earnings PER SHARE CALCULATION
(In tens of millions)Three Months Ended Six Months Ended January 27, 2007 January 28, 2006 January 27, 2007 January 28, 2006 Shares used in diluted internet income per share calculation - GAAP 6,291 6,248 6,255 6,301 effect of SFAS 123(R) (10) (15) (12) (15) Shares used in diluted web profits per share calculation - Non-GAAP 6,281 6,233 6,243 6,286
RECONCILIATION OF GAAP TO NON-GAAP cost OF sales utilized in stock TURNS
(In tens of millions)Three Months Ended January 27, 2007 October 28, 2006 July 29, 2006 GAAP can charge of revenue $ 3,051 $ 2,951 $ 2,839 employee share-primarily based compensation cost (forty two) (35) (31) impact to charge of income from purchase accounting changes to stock - - (four) Amortization of purchased intangible assets (36) (36) (36) Non-GAAP cost of revenue $ 2,973 $ 2,880 $ 2,768
facts breach notification laws, trade specifications such because the fee Card business information security normal, and privacy rules equivalent to HIPAA are using pastime in records protection, trade experts say. international statistics privacy laws also play a role, says Eric Ouellet, a analysis vp at Gartner.
in the past, corporations put a lot of effort into securing records in transit, however now are making database safety a precedence, consultants say. Securing databases comprises making certain they're effectively installation with robust access controls so handiest licensed people can obtain the statistics, and enforcing tools that let nice-grained records extraction, says Jonathan Gossels, CEO of consultancy SystemExperts.
"The foremost strategy to give protection to your facts is to maintain control over it, and if you are going to extract some to operate evaluation, extract best that tips you want," he says.
About 31 percent of readers say they are going to evaluate database encryption tools, whereas nearly 30 p.c plan to take a glance at utility-based mostly encryption and about 29 % will evaluation hardware-based.
Paul Stamp, major analyst at Forrester research, says encryption addresses multiple considerations organizations have, from assembly mandates equivalent to PCI and preventing employees from getting access to information they mustn't, to holding statistics when it leaves their premises on a tape or a computing device.
"Encryption is a great way to mitigate those forms of worries," he says.
With the entire news studies of data loss because of missing or stolen backup tapes, citizens bank makes sure to encrypt its backups. "that is been a big focus," says IT manager and secu- rity officer Dennis Weiskircher Jr. "Our offsite facility is barely 15 miles away, but this is nonetheless 15 miles where facts is traveling."
yet another enviornment of difficulty for organizations is combating personnel from by accident leaking or stealing delicate records by the use of e-mail or by using copying it onto a removable storage machine. facts leak prevention items may be evaluated with the aid of 35 percent of the readers surveyed.
"assistance leak protection actually holds some promise, nevertheless it's bought to be part of a much wider information lifecycle management difficulty," Stamp says.
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Experts say employee errors and a lack of basic awareness of security is not uncommon among enterprise end users, who, according to a recent data leakage audit of a Boston-based health care firm, can make costly mistakes far too often.
Often employees think someone at a higher level is taking care of their data security when in fact the employees are really a major part of the security processes.
Robert Cheyne,founder and CEO SafeLight Security Advisors
Robert Cheyne, founder and CEO of SafeLight Security Advisors, a Providence, R.I.-based security training company, said end users are rarely engaged enough by enterprises to care about safeguarding company data.
"Often employees think someone at a higher level is taking care of their data security when in fact the employees are really a major part of the security processes," he said.
That problem was highlighted at a Boston-based health care firm, who underwent a two-week evaluation of its systems to find any potential violations of the Health Insurance Portability and Accountability Act (HIPAA) or other infringements of the Massachusetts privacy regulations (201 CMR 17). The firm who conducted the audit, Hudson, Mass.-based data security consultancy Networks Unlimited Inc., allowed a SearchSecurity.com reporter to attend the unveiling of the audit results last month on the promise that the health care firm and its executives would be kept anonymous.
Jason Spinosa, a senior security engineer at Networks Unlimited, said that some of the HIPAA violations they discovered showed that employees lacked sufficient training on security and privacy. In one instance, an employee sent via email their own personal data, including bank account information and Social Security numbers, to a mortgage broker. In another event, the software detected an employee who emailed their credit card details to a family member's AOL address. When the family member questioned the security of the message, the employee responded, "it's a good thing we're in health care; it's secure due to HIPAA."
"While on the surface this doesn't affect the company, the lapse in judgment shows that employees don't even know how to secure their own information, let alone the company's data," Spinosa said. "It also illustrates a problem where employees may be assuming that protections are in place when they aren't."
Since the unveiling of the audit, which detected unencrypted email messages containing patient information -- including Social Security numbers, insurance information, sensitive medical conditions and other personally identifiable information -- executives at the health care firm say they have taken steps to correct the problems.
The health care firm is rolling out Cisco Systems' IronPort email security appliances to identify sensitive information and automatically encrypt email messages. The firm's IT director said the company will start a security training program. In addition to the IT director, the health care firm has a compliance officer in place, but lacks a CISO or other dedicated security professional, a crucial component to a successful security education program, Cheyne said. A person with such authority would help ensure an education program is taken seriously and doesn't end up falling by the wayside, he said.
"It's got to be driven and sustained at a very high level or it's just not going to work," Cheyne said. "The person best suited to lead a sustained effort is typically a person in the organization with strong leadership skills."
User training helps those who want to be helped.
Winn Schwartau,founderTrusted Learning Corp.
Security industry luminary Winn Schwartau, who founded and headed the Trusted Learning Corp. in 2003, said no security program is 100% effective. The aim of any program is to instill that security is extremely important to the organization and that employees play an important role in protecting data.
"User training helps those who want to be helped," Schwartau said. "Good security awareness programs that have been used in enterprises have been ineffective against good, well orchestrated social engineering attacks against specific organizations; nonetheless, I'm still a believer in it."
Schwartau said that ultimately the industry needs to provide security solutions that have implicit security models built into them, removing the responsibility from individuals, so they can do what they want to do while the necessary security happens behind the scenes.
In the case of the health care firm who was audited by Networks Unlimited, Spinosa said, they have a lot of training to do. Over the two-week monitoring period, the Websense Inc. data leakage prevention (DLP) software detected about 275 violations. Nearly all the errors came from email or Web-based traffic -- employees intentionally emailing sensitive patient data, believing the information was protected. There were more than 230 HIPAA violations, including more than 70 instances of Social Security number violations and nearly a dozen violations of the Payment Card Industry Data Security Standards (PCI DSS).
The traffic analysis also indicated that some employees were using non-company email systems for company communications. In addition, the assessment found serious problems with the health care organization's public website, which currently allows patients to submit their personal information via an unencrypted Web form.
"If the company thinks it can allow patients to submit their data without having encryption in place, what kind of message does this send to their employees?" Spinosa asked.
The unveiling of the data leakage assessment was met with some surprise by the health care firm's upper management. The company's compliance officer said that employees have been told that their email isn't secure and have been given implicit instructions to not send health care information over the Internet without using encryption. Employees are supposed to use the firm's system to encrypt sensitive messages to medical transcriptionists and doctors, but in some cases, employees balked at using it. Up until now, the health care firm has been distributing security awareness information via a monthly email newsletter.
But using a company newsletter to distribute security do's and don'ts is not very effective, Cheyne said. Employees don't want a Ten Commandments list. An important part of the education is explaining why security matters, he said.
"I've seen companies start from scratch and it takes 1 to 3 years of ongoing training before the security conscience is raised to an effective level," Cheyne said.
Marcus Ranum, chief security officer of Columbia, Md.-based Tenable Network Security, who wrote that educating users is one of the "six dumbest ideas in computer security," admits that organizations like this health care firm have to do some basic security awareness training. Enterprises need to come down hard on security policy violators, making them an example for the rest of the workforce, he said.
"We're always bringing new people into the high-tech workforce and people are creating high-tech security problems as fast as they can, so ultimately, [awareness training] is not going to be very effective," Ranum said.
Like Schwartau, Ranum said data leakage is more a failure of technology than of employee lack of awareness. New systems need to be built with security in mind so employees don't have to think about being secure. Employees that leak their own personal information are careless and could be a detriment to a company's entire business, Ranum said.
"The one thing I have observed is that stupid tends to cluster together," Ranum said. "If someone is doing something dumb with their own data, they're probably doing something dumb with your data."
SOURCE: CORAID Inc.
January 25, 2010 06:00 ET
EtherDrive Redefines Storage Economics to Support Human Genome Project for U.S. National Institutes of Health
REDWOOD CITY, CA--(Marketwire - January 25, 2010) - CORAID Inc., a leading developer of scale-out storage with more than 1,100 customers worldwide, today announced that it has closed a $10 million Series-A financing round with Allegis Capital and Azure Capital Partners to accelerate the development and adoption of the CORAID® EtherDrive® storage platform. With this funding, the company has named multiple Silicon Valley veterans to its executive team, including: Kevin Brown as CEO, Audrey MacLean as chairman of the board, Carl Wright as executive vice president of worldwide sales, and Josh Leslie as vice president of channels and business development. Lara Druyan of Allegis Capital and Paul Weinstein of Azure Capital Partners have joined CORAID's board of directors; Mark Leslie and Charles Giancarlo have joined the advisory board and invested in the company.
CORAID is redefining the fundamental economics of storage with its Ethernet-based solutions that provide enterprises of all sizes with a flexible tier of high performance, scale-out storage. CORAID's breakthrough EtherDrive storage platform has organically amassed over 1,100 customers, including large enterprise and government organizations, since its 2005 launch into the Linux market. Using innovative software with 100-percent commodity hardware and raw Ethernet, EtherDrive storage arrays enable a scale-out SAN architecture that is ideally suited to dynamic virtualization and cloud environments. Starting at under $500 per terabyte and scaling to multiple petabytes, EtherDrive delivers a 5-8x price performance advantage over legacy Fibre Channel and iSCSI solutions, while eliminating layers of complex SAN management.
This announcement coincides with the completion of the U.S. National Institutes of Health's (NIH) deployment of CORAID's EtherDrive solution in its storage network to support high-performance computing for the National Human Genome Research project. Located in Rockville, Maryland, the National Human Genome Research Institute (NHGRI) is leading a nationwide effort to coordinate and accelerate human genome research. NHGRI has deployed more than 400 terabytes of CORAID EtherDrive storage in multiple environments, including high-performance computing, primary storage, and backup. The EtherDrive installation supports applications including DNA sequencing, bio-informatics, and data reduction.
"CORAID EtherDrive gives us a tremendous amount of flexibility in how we configure our storage -- something that is critical in the fast-changing world of next-generation sequencing," said Dr. Elliott Margulies, an investigator in NHGRI's Genome Informatics Section.
Changes in the Storage Market
Rapid adoption of virtualization and cloud computing has increased the need for flexible, scalable networked storage. Legacy storage area network (SAN) systems, which evolved from mainframe-era designs, are costly and poorly suited to modern virtualization environments. In fact, storage systems have become the number one cost item associated with many IT projects, and frustrated customers are demanding alternatives.
"We believe the storage market has reached an inflection point, much like the server market, where expensive big boxes are being replaced by clusters of commodity hardware tied together with virtualization," said Kevin Brown, CEO of CORAID. "Our EtherDrive platform redefines storage economics for customers while simplifying storage networking for a new generation of scale-out virtual data centers."
"CORAID founder and CTO Brantley Coile has developed the most disruptive storage technology I have seen in the last 25 years," said Audrey MacLean, CORAID's newly appointed chairman of the board. "We have brought together an exceptional team of executives, investors, and advisors to pursue this opportunity, and our customers have repeatedly told us we're on to something big."
New Executives, Board Members, and Advisory Board
CORAID has assembled a proven team of executives and advisors to drive the company's growth:
Kevin Brown, CEO, previously served as:-- CEO of virtualization software vendor Kidaro, which was acquired by Microsoft in 2008 as a key element of its Windows virtualization strategy -- Vice president at NetApp, where he was an advisor to the U.S. Congress, Federal Trade Commission, and U.S. Department of Defense -- Vice president of marketing on the original executive team of storage security firm Decru (acquired by NetApp) -- Part of the founding team of Inktomi, which went public in 1998. As vice president and general manager of the company's networking business. Brown was instrumental in driving the company's growth to over $200 million in revenue and helped commercialize the industry's first scale-out parallel computing architecture used on the Internet. -- A member of the Dean's Advisory Council, Haas School of Business, UC Berkeley
Chairman of the Board Audrey MacLean has a unique track record for entrepreneurial success as a founder, CEO, seed investor, and board member. Her accomplishments include:-- Named to Forbes' Midas Touch list -- Named to BusinessWeek's 50 Most Influential Businesswomen in America -- Founder of Network Equipment Technologies (NET), which went public in 1987 -- Co-founder and CEO of Adaptive, which merged with NET in 1993 -- Consulting associate professor in the School of Engineering at Stanford University -- Board member of the Kauffman Center for Entrepreneurial Leadership -- Helped launch and grow many companies that have achieved public offerings or successful acquisitions, including Pure Software, IronPort Systems, Pete's Brewing, AdForce, dsl.net, Selectica, and Internet Middleware
Lara Druyan, a general partner at Allegis Capital, has been named to the CORAID board of directors. Her accomplishments include:-- Named one of Silicon Valley/San Jose Business Journal's 2009 Women of Influence in Silicon Valley -- Responsible for desktop software business at Silicon Graphics -- Serving as an investment banker to telecom, media and tech companies at Merrill Lynch
According to Druyan, "Cloud service providers are building massive data centers using commodity hardware and virtualization software, and enterprises are increasingly looking to replicate the benefits and economics of this model in their own data centers. CORAID's scale-out architecture provides an ideal platform for both public and private cloud storage."
Paul Weinstein, a general partner of Azure Capital Partners, has also been named to the CORAID Board of Directors. His accomplishments include:-- Founder Azure Capital Partners -- Managing director and analyst covering the data communications, network equipment and storage sectors at Credit Suisse First Boston, DMG Technology Group, and PaineWebber -- Four consecutive years as the top-ranked analyst in the Institutional Investor and Greenwich Associates surveys.
"When Azure invested in VMware years ago, we were betting on a fundamental change in data center computing," said Weinstein "We believe that the storage market will move to a similar scale-out commodity hardware model, and CORAID is ideally positioned to lead this wave."
Mark Leslie, managing director of Leslie Ventures, a private investment company, has been named to CORAID's advisory board. His successes include:-- Founding chairman and CEO of VERITAS Software, where he grew the company from 12 to 5,500 employees deployed globally and increased revenue from a base of $95,000 per year to $1.5 billion per year. In 2000, VERITAS was the tenth largest independent software company by revenue, third largest by market capitalization, and achieved the distinction of becoming a Fortune 1000 company. -- From 1980 until 1990 he served as president and CEO of two Silicon Valley high-tech startup companies -- Designed and developed the first software hypervisor, while employed at IBM in 1969 -- Currently a lecturer at Stanford Graduate School of Business, where he teaches courses on entrepreneurship and sales organization
Leslie commented, "Great companies rarely cater to the status quo. CORAID has invented a powerful new approach for storage, and I believe it will find strong adoption in some of the fastest-growing segments of the market."
Charles Giancarlo, a managing director and co-head of value creation at Silver Lake Partners, has also been named to the advisory board. Giancarlo has over 25 years of experience in the communications industry including:-- Ten years as a senior executive at Cisco Systems, where he served as executive vice president and chief development officer of Cisco and president of Cisco-Linksys, leading the company's overall product development and management activities -- Vice president of marketing and corporate development at Kalpana, Inc., the pioneer in Ethernet switching (acquired by Cisco) -- Founded four communications equipment companies and successfully sold two of them to larger companies -- Interim CEO of Avaya in 2008, where he is currently chairman of the board
"CORAID has brilliantly employed Ethernet to solve many of the long-standing challenges in storage networking," Giancarlo declared. "By cutting out unnecessary layers of technology and eliminating the need for complex topologies, CORAID simultaneously enables higher performance and less hassle."
Carl Wright has been named executive vice president of worldwide sales. Wright's experience includes serving as:-- Vice president of sales and corporate strategy at Kidaro (acquired by Microsoft) -- Vice president of federal operations for Decru (acquired by NetApp) -- Vice president of federal operations at Securify (acquired by Secure Computing). -- Chief information security officer for the U.S. Marine Corps. As CISO, Wright was responsible for the day-to-day operation and global defense of the Marine Corps Enterprise Network (MCEN), which scaled to support over 120,000 users worldwide. In 1999, he was awarded the National Security Agency's Frank B. Rowlett Trophy for worldwide information security professional of the year.
Josh Leslie has been named vice president of channels and business development. His experience includes:-- Senior director of desktop business development for VMware's Desktop Business Unit -- Sales and sales management roles at VMware, where he was a key contributor helping the company scale from $100 million to $1.5 billion in less than five years -- Positions at CommVault Systems and the Technology Investment Banking group of UBS Securities
About Allegis Capital
Allegis is a seed and early-stage venture capital firm focused on the digital economy; the firm has five funds and has invested in more than 70 companies, including Inertia Beverage Group, IronPort Systems, RIBBIT, Rent.com, Shopzilla, CompareNet, and StepUp Commerce. Based in Palo Alto, California, Allegis has assets of $500 million under management. For more information, visit www.allegiscapital.com.
About Azure Capital Partners
Azure Capital Partners is a venture capital firm with over $650 million under management, headquartered in San Francisco, California. Azure's goal is to identify, invest in, and help build early-stage information technology companies that are at the forefront of a transformative opportunity for growth. The Azure partners have a sustained, long-term track record of identifying and helping to build some of the most successful companies in communications, consumer, enterprise, and Internet technology segments. Azure has invested in over 50 technology companies including Bill Me Later, Top Tier, VMware, and World Wide Packets. For more information, visit www.azurecap.com.
CORAID redefines storage economics with its breakthrough line of EtherDrive® storage solutions. EtherDrive delivers scale-out performance, Ethernet simplicity, and 5-8x price-performance advantage over legacy storage. Designed from the ground up for virtualization and reliability, CORAID solutions have been deployed by more than 1100 customers worldwide. For more information, visit www.coraid.com.
CORAID and EtherDrive are registered trademarks of CORAID Inc. All other marks referenced are the property of their respective owners.
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