Arista shows strong growth in fiscal 2015 despite legal woes
The legal battle Cisco is waging against competitor Arista Networks doesn't seem to be having any ill effects on the smaller company's business. Arista closed out its fiscal 2015 on a high note, showing a significant revenue increase that its CEO indicated came from the enterprise shift to the cloud.
"Arista has delivered a spectacular 2015. I have been pleased with the rapid acceptance by our customers of Arista's programmable cloud networking," said Jayshree Ullal, president and CEO of Arista Networks, in a statement. "The inevitable shift from legacy enterprises to cloud workloads has fueled Arista's strong performance of profitable revenue growth and increasing market share."
Arista experienced a 43.4 percent increase in annual revenue year-over-year from 2014. Considering the company's legal problems with Cisco over the last year, in which it was accused of violating 14 of the networking incumbent's patents, it's incredible growth.
Those legal problems began when Cisco initiated action against Arista in December 2014. It filed a federal lawsuit and a complaint with the International Trade Commission. Since then, Arista has gained some small victories, but it was also dealt a huge blow earlier this month when an ITC judge ruled in Cisco's favor over three of the patents.
Although the ruling, as well as others expected later this year, could have a significant impact on Arista, the allegations haven't slowed down its progress in the enterprise market. To make matters more complicated in the legal arena, though, Arista filed an antitrust lawsuit against Cisco in January.