NetApp posted 4% year-over-year growth in revenue, which arrived 6% higher sequentially. Granted, this is nothing to write home about. But on a sequential basis it showed decent acceleration. Product revenue advanced 6.5% sequentially, even though it was slightly down year over year. Still, NetApp outperformed IBM, which posted a 1% revenue decline in the comparable quarter.
This means that despite what has been a tough enterprise spending climate, NetApp still found ways to outperform. In that regard I can't imagine the company remaining an independent, specially as "the cloud" starts to form and businesses begin to fully embrace migration benefits.
Cisco has enough cash to make this deal happen tomorrow. So does Oracle, which can use NetApp to leverage Acme Packet. In the meantime, it's anyone's guess as to what will happen. But it's certainly not speculation that NetApp is operating with long-term shareholder value as its main objective.
At the time of publication the author had no position in any of the stocks mentioned.
This article was written by an independent contributor, separate from TheStreet's regular news coverage.