Extreme Networks and Intel Collaborate on AI-Powered Wi-Fi Solutions

Extreme Networks teams up with Intel for AI Wi-Fi boost By Investing.com

MORRISVILLE, N.C. - Extreme Networks , Inc. (NASDAQ:EXTR) has announced a collaboration with Intel (NASDAQ:INTC)'s Connectivity Analytics Program to enhance the AI capabilities of its Extreme AI Expert solution. The alliance, revealed as a technology preview at Extreme Labs, is set to optimize network performance, improve security, and personalize user experiences while reducing operational costs. The partnership leverages network data and unique device data from PCs using Intel's Connectivity Analytics SDK and Generative AI (GenAI) to create smarter, faster, and more resilient networks. As customer environments become crowded with increasing numbers of client devices, this collaboration aims to provide better visibility into device activity and simplify management from data centers to network edges. Extreme's integration with Intel will offer greater visibility into network and client devices and foster the development of GenAI tools. These advancements are designed to enhance network design, deployment, and management, optimize network performance, prioritize bandwidth for critical devices, and bolster security threat detection and resolution. Extreme AI Expert, which was introduced at Extreme Connect 2024, merges information from Extreme's knowledge bases with customer network data to deliver insights and proactive recommendations. The addition of Intel-connected device data is expected to refine these recommendations and expand the knowledge base of the Extreme AI Expert. The integration of Extreme AI Expert into Extreme solutions is anticipated to commence later this year. Eric McLaughlin, VP & GM Wireless Solutions at Intel, emphasized the partnership's goal to make networks smarter and more scalable, thus helping organizations cut operational costs and elevate end-user experiences. Nabil Bukhari, Chief Technology and Product Officer and GM of Subscription Business at Extreme, highlighted the intent to offer a more secure and streamlined visibility of network and client devices, enhancing network optimization and security response through AI-driven insights and automation. Extreme Networks is recognized for its cloud networking services and commitment to innovation through machine learning, AI, analytics, and automation. The company serves 50,000 global customers with its cloud-driven networking solutions, which are integral to their digital transformation initiatives. This new strategic alliance is based on a press release statement from Extreme Networks, Inc. In other recent news, Extreme Networks has been experiencing significant developments. The company's third-quarter fiscal year 2024 earnings report showed a strong performance in net new logo bookings and a substantial increase in Software as a Service (SaaS) Annual Recurring Revenue (ARR). Despite market challenges, Extreme Networks achieved double-digit growth globally and a 38% year-over-year growth in SaaS ARR. The company expects meaningful sequential revenue growth and demand normalization in the latter half of the current calendar year. In addition, Rosenblatt Securities upgraded Extreme Networks from Neutral to Buy, increasing its price target to $17.00. This decision followed an assessment that the company's revenues and margins had reached a low point in the third quarter of fiscal year 2024. Rosenblatt anticipates that Extreme Networks' revenues will see sequential growth, including in the first quarter of fiscal year 2025, despite a soft macroeconomic environment. These recent developments highlight the company's resilience and potential for growth. Extreme Networks' innovative products and business model emphasizing SaaS and recurring revenues are expected to drive future growth. The company's new network security offerings, announced at the Connect user conference, are also anticipated to gain traction across various verticals. Extreme Networks, Inc. (NASDAQ:EXTR) has been moving forward with strategic initiatives, such as the recent collaboration with Intel, to bolster its AI capabilities. As investors consider the implications of this partnership, it is crucial to examine the company's financial health and market performance. Here are some key insights from InvestingPro: InvestingPro Data highlights the company's current market capitalization at approximately $1.81 billion. Despite a challenging environment reflected in a revenue decline of 0.19% over the last twelve months as of Q3 2024, Extreme Networks maintains a gross profit margin of 59.67%, indicating strong profitability on its cost of goods sold. However, the company's P/E ratio stands at -284.9, signaling that investors may be expecting future earnings growth to justify the high valuation. InvestingPro Tips reveal that management's confidence in the company's prospects is demonstrated by aggressive share buybacks, contributing to a high shareholder yield. This could be a sign that the company believes its shares are undervalued. On the flip side, analysts have tempered their optimism, with six of them revising their earnings estimates downwards for the upcoming period, and anticipating a sales decline and a drop in net income for the current year. For those seeking more detailed analysis and additional insights, InvestingPro offers 13 more InvestingPro Tips for Extreme Networks. Utilize the coupon code PRONEWS24 to receive up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, providing investors with a comprehensive toolset to make informed decisions. Access these tips at https://www.investing.com/pro/EXTR.

Extreme Networks and Intel partner up for better generative AI - SiliconANGLE

Extreme Networks and Intel partner up for better generative AI The network continues to grow in importance as a strategic business asset. A recent joint study between ZK Research and The Cube Research found that 93% of organizations felt the network was more critical to business operations than two years ago. At the same time, 80% of respondents believe the network has grown in complexity in that same time frame. The continuation of these two trends will lead to an untenable situation. This is where artificial intelligence comes in. AI has the potential to automate many of the tasks required to operate a network, which leads to better uptime, reduced costs, and lower complexity. A true win-win-win. However, regarding AI, the quality of the insights depends on the data. In data sciences, there's an expression that states, "good data leads to good insights," and though that's true, it's also a fact that silos of data lead to partial insights, and that's what most companies have today. To help with this, Extreme Networks Inc. today announced it has teamed up with Intel Corp.'s Connectivity Analytics Program to enhance its AI Expert solution, which is currently being tested in Extreme Labs. The enhancements involve using data from networks via Extreme and PCs with Intel data and combining that with generative artificial intelligence and the Intel Connectivity Analytics software development kit to make networks more intelligent, faster and more reliable. Extreme Labs is a new hub dedicated to developing emerging technologies, and Extreme AI Expert is the hub's first technology preview. Extreme AI Expert transforms the search process by replacing keyword searches with simple questions. AI scans an extensive database of technical documents and provides relevant recommendations for network issues, which helps the information technology department respond quickly to security and performance problems. Extreme AI Expert does this by combining data from Extreme's knowledge bases with information from customer networks. According to Extreme, the partnership with Intel will provide greater insight into networks by including data from Intel-connected devices. Hence, the solution will be able to provide even better recommendations. Intel Connectivity Analytics started as a collaboration with Cisco Systems Inc., enabling Intel-based PCs to share client information with Cisco access points. The program now includes other providers that work with Intel experts to improve solutions using additional insights from PCs and networks. The program aims to understand connectivity issues and drive innovations in PC networking for better user experiences. Integrating Intel's advanced analytics with Extreme's AI solution is expected to enhance network performance and threat detection significantly. Real-time monitoring and analysis of network data help pinpoint potential security threats, lowering the risk of data breaches and improving overall network security. Extreme introduced AI Expert in April at Extreme Connect 2024. It plans to integrate Extreme AI Expert into its products later this year. At the event, I talked to Extreme Chief Technology Officer Nabil Bukhari, about the product, and he told me the company is focused on building intelligence into the network to improve the human experience. Much of what the company has built to date is in the area of Wi-Fi, which is the hardest part of the network to troubleshoot. The company's expertise in delivering great wireless experiences is one reason it's widely used in sports and entertainment. Adding the Intel data gives customers a streamlined way of seeing the end-to-end customer experience, which includes the network and client devices. For most companies, the network is the hub of operations. It powers point-of-sale devices, Zoom meetings, security systems, environmental controls and everything else in a company. Delivering a best-in-class experience requires visibility across the ecosystem, and by partnering, Intel and Extreme can provide better insights. With AI, data matters, and I'm hoping to see this type of partnership begin a trend where PC manufacturers or makers of internet of things endpoints work with networking companies to help unify data that historically sat in silos.