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Quantum Corp CEO Discusses F3Q11 (Qtr Ended 12/31/2010) Results - Earnings Call Transcript

Our results in the past year have been inconsistent as a result of the slower than expected build of the channel business and the lumpiness of the enterprise business. These dynamics changed this quarter as we made excellent progress mid range run rate business adding the most customers ever in a single and growing the VAR channel significantly. Yet we had a weak quarter for the enterprise business which we attribute to the timing of deals and a new product transition. Despite the enterprise weakness total DXi revenue grew year-over-year and was flat sequentially, and we expect future quarters to have more traditional pattern of large enterprise deals.

In addition today, we announced DXi 2.0 our most significant software release to date which we feel will strengthen our position as one of the leaders in the disk backup and duplication market. Jon will provide more detail on our DXi progress and plans in just a few minutes.

The third area of opportunity is the StorNext business where we had a record quarter this quarter. The market for our high performance file sharing and advanced archiving remain strong and again we feel we are well positioned to grow this business over the next year through a continued focus on vertical markets and delivering greater success through our expanded features and functionality.

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