If Cisco Systems
Aruba's extra-secure wireless networks for enterprise-class customers are a hit these days. Both Google
The $2 million of GAAP earnings was a company record. That may not sound very impressive, but you should also consider that Aruba generated $16 million of operating cash flow in the period. Cash is king, and low earnings just means less money going out to Uncle Sam, so that's just smart fiscal management.
CEO Dominic Orr pointed to mobile technology trends driving his gravy train: "The proliferation of mobile devices, such as iPads, tablet devices, and smartphones, continues to rapidly increase, forcing companies to reconsider their approach to the network edge."
The same trends really should help Cisco as well, but Aruba is smaller and hungrier with a much tighter focus on the exact end market that is super-hot at the moment. So Aruba's shares deserve to soar today, gaining nearly 8% as of this writing and triggering a wave of jumps across the networking sector: Smallish competitor Meru Networks
Are we looking at a changing of the guard in the overall networking market, or did Aruba just get lucky? Discuss in the comments below.