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Coree Cuts Back

Light Reading
News Analysis
Light Reading
8/28/2001

Coree Networks Inc., one of the Iris Group companies, felt the sting of the economy's slowdown this week. The majority of the New Jersey-based core switch maker's staff has been let go, Coree chairman H. Michael Zadikian told Light Reading on Tuesday. The company's development efforts have been winnowed down to a small group of engineers so Coree can preserve its cash, he says.

After deciding that the market for Coree's MPLS-based switch wouldn't open up until 2002 or 2003, Zadikian says the company's directors decided to revisit how the company was building the switch, with the idea of possibly incorporating newer components and other technologies. One key difference in Coree's development this time around, Zadikian says, will be that the company will use "off-the-shelf" switching chips rather than trying to build its own.

"We've decided to reset the program, aim for 2002 or 2003, and take advantage of [technology] advances," he says. In conjunction with its new product plans and the grim funding environment, Zadikian says, Coree began "a substantial reduction in work force."

Zadikian didn't specify how many were let go. As of February 2001, when Coree announced its first funding round of $30 million, the company employed about 50 people (see Coree Networks Raises $30 Million).

Coree's investors include Hook Partners, Mayfield Fund, Sevin Rosen Funds, and Lightspeed Venture Partners (an investor in Light Reading).

"You have to adapt to the change in the market environment," Zadikian says. "If you don't, you're gonna die."

The decision to cut back at Coree also came because it was the last company formed in the Iris Group -- which includes Metera Networks Inc., Latus Lightworks Inc., and Iris Labs -- and, therefore, its product was not as far along in development.

Though they were formed and funded separately, the Iris Group companies hold to a common network vision -- dubbed the Optical Data Network Hierarchy (ODNH) -- and common network management software. The gist of ODNH is that the core stays dumb and fast, network intelligence remains at the network's edge, and wavelengths are handled in larger groups so they're easier to manage (see Iris Group Shuffles Executives and Iris Group Unveils Network Architecture).

The other companies in the Iris Group are still on track, and each expects to ship products next year, Zadikian says. There are fundraising efforts underway for each company, but Zadikian declined to go into details. He says Metera and Latus employ between 120 and 140 people each.

Zadikian also implied that none of the other Iris Group companies were in immediate financial trouble. "The companies raised a lot of money in their Series A rounds -- about twice what is normally raised."

- Phil Harvey, Senior Editor, Light Reading
http://www.lightreading.com

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venu_m_j
venu_m_j
12/4/2012 | 7:25:55 PM
re: Coree Cuts Back
Do u work at Kirana Networks. Are there any openings. I used to work at Acorn Networks, which shut down as an result of which I lost my Job.

I would really appreciate if u respond at [email protected]

venu
opticalc
opticalc
12/4/2012 | 7:50:08 PM
re: Coree Cuts Back

Even worse than Hiroshima/Nagasaki !!
Osama escaped the Okhlahoma, but can not escape now.
HarveyMudd
HarveyMudd
12/4/2012 | 7:51:23 PM
re: Coree Cuts Back
It is sad when companies are formed with the express purpose of cheating the investors. The company founders stay on the payroll as long as they can. Then they move on to establish other start-ups with the express purpose of staying on the payroll.

VCs are not able to monitor or weed out these kind of founders.

There are other start-ups, especially in Callifornia, that cheat VCs and other investors.
ZAPPED
ZAPPED
12/4/2012 | 7:51:29 PM
re: Coree Cuts Back
Not that much people on this thread will appreciate
As a departure from my usual messages. I just thought I would bring the following. We need to unite against the terror that has befallen our country. This is Pearl Harbor and should be dealt with in the same way, This is an act of war! It is a day that will live in infamy. And if Bin Laden is responsible he should be erased from this planet forever at NO EXPENSE
Knightmare
Knightmare
12/4/2012 | 7:51:34 PM
re: Coree Cuts Back
It's not Kirana 2, huh? Funny, but the original founders who started Tachion are the same gentlemen that started Kirana. You have Satish, Sunil and John K. Same players...same game.
ZAPPED
ZAPPED
12/4/2012 | 7:51:34 PM
re: Coree Cuts Back
It's not Tachion-2???
Come on your last post sounds like everything that everybody heard at Tachion...What makes you think that this situation is any different??? Same old promises and same old people...REPEAT, REPEAT, REPEAT. Need I say more
calpole
calpole
12/4/2012 | 7:51:35 PM
re: Coree Cuts Back
I am amazed to see the wisdom of couple of guys,
asking about the situation of Kirana, at
Light reading. I will be glad, if that fool
does not join Kirana. But for a couple of guys,
who are interested to join Kirana, here are some basic facts:

[1] There is no financial crisis at Kirana, it has learnt from the mistakes of other start-ups.
[2] Kirana is enjoying unique advantage of being
last in the line of optical start-ups. Unlike
other start-ups, it has no problem of critical
talents. It has entered into the market
after measuring the market.
[3] Kirana is not Tachion-2. Only a handful people in the
company are from Tachion, does not mean it is
Tachion-2. By this logic, every other start up is
Lucent-2 or 3 or N. Kirana has people from
all other major companies. If, I go by the ratio,
it would rather be called Lucent-2 rather than
Tachion-2.
[4] At this point of time, Kirana is confident of
what it is doing, because Kirana has all required experience and talents to excecute its
planning. And it has enough funds and talents to do it.




xyz
xyz
12/4/2012 | 7:51:41 PM
re: Coree Cuts Back
aragog wrote

This is Tachion-2: same management, same
employees, and worse, a loser CTO (from
Lucent) ......

It is even worse than you think. The Management at Kirana are the guys who couldn't EVEN MANAGE at Tachion (if you can believe that). It is worse than Tachion 2 - It's the orginal losers on steriods !!!. Rumor has it they are running out of money fast -- someone speak up -- TRUE or NOT ? WHAT WAS BESSEMER THINKING ??????? FUND THESE GUYS ?????
ZAPPED
ZAPPED
12/4/2012 | 7:51:43 PM
re: Coree Cuts Back
Opticalc sounds like he/she is from California?
You know, those people that think the world ends at the Sierra Nevada's. Dispite the emergence of Ca. telecom just remember, the think tanks of NJ are still alive, it was born here and I can't help it if you can't see above those mountains. Remember the old days ( the 60's & 70's) whose area code was 201 ( first and formost, DC was 202)
I can't think for the life of me why the CA. people think they have it made? Is it the weather?
Don't think they have anything else, except car chases and drive by shootings, hey see that one this week when the guy from Long Beach stoll the tow truck and ran it until it caught fire? What a wonderful place? been there, done that, couldn't wait to leave to back to the East Coast
simontemplar
simontemplar
12/4/2012 | 7:51:44 PM
re: Coree Cuts Back


Isn't Metera, Latus and Iris Labs independently funded? Can Zadikian take money from one to feed the others?
ajo2
ajo2
12/4/2012 | 7:51:46 PM
re: Coree Cuts Back
>Any other of the Iris companies in trouble?
>How is Metera and Latus performing?
>I hear they were almost out of money.

Why do you think Coree was shut down? Zadikian had to find some way to prop up his other companies. VC's will not give any more money based on his name.
opticalc
opticalc
12/4/2012 | 7:52:09 PM
re: Coree Cuts Back
Stay away from these small shops, they are all on their way down, unless you are desparate !!
simontemplar
simontemplar
12/4/2012 | 7:52:17 PM
re: Coree Cuts Back
Any other of the Iris companies in trouble?
How is Metera and Latus performing?
I hear they were almost out of money.

Cheers....
opticalc
opticalc
12/4/2012 | 7:52:27 PM
re: Coree Cuts Back
East coast tried to mimic West coast startups unsuccessfully !!
manoflalambda
manoflalambda
12/4/2012 | 7:52:31 PM
re: Coree Cuts Back
Pee the con
took star out of COM
now cored the networks


Ouchies. Hmm.. references to UTC Starcom
and Coree Networks perhaps?

Salute,
Manoflalambda
opticalc
opticalc
12/4/2012 | 7:52:33 PM
re: Coree Cuts Back
Should stay that way for next few years !! No need to show off, or join the ranks of Failures !!
opticalc
opticalc
12/4/2012 | 7:52:34 PM
re: Coree Cuts Back
Pee the con
took star out of COM
now cored the networks
Pees on Hyena
looking for sucker VC's
Great team builder,
plenty of failed projects under the belt
comes with fungus and hyena as bonus
and some bootlickers too.
-- Shaa..nder-stein
lambda
lambda
12/4/2012 | 7:52:56 PM
re: Coree Cuts Back
Who IS this loser CTO ?
hobbit
hobbit
12/4/2012 | 7:53:12 PM
re: Coree Cuts Back
> What are they up to? I've seen some MPLS
> inquiries and some stuff on Semiconductor
> Lasers or Amplifiers... Another MPLS-based
> switch? Metro or Core?

going by their webpage they seem to be in
luxcore's space - i could be wrong
aragog
aragog
12/4/2012 | 7:53:14 PM
re: Coree Cuts Back
:Very bad situation of Kirana Networks???
:I should not move there???

This is Tachion-2: same management, same
employees, and worse, a loser CTO (from
Lucent) who has a rep of not getting along
with anyone. Rumor has it that they are
burning through their cash pile very fast
and don't look likely to get any more.
byebye99
byebye99
12/4/2012 | 7:53:21 PM
re: Coree Cuts Back
Very bad situation of Kirana Networks???
I should not move there???
Thanks
manoflalambda
manoflalambda
12/4/2012 | 7:53:21 PM
re: Coree Cuts Back
> How 'bout Alphion (aka Optosphere). Rumor
> suggests they recently ousted their
> CEO/founder and the HDW VP. Any news?

ceo/founder still there and they haven't
fired anyone else either ...


What are they up to? I've seen some MPLS inquiries and some stuff on Semiconductor Lasers or Amplifiers... Another MPLS-based switch? Metro or Core?

Salute,
Manoflalambda
byebye99
byebye99
12/4/2012 | 7:53:22 PM
re: Coree Cuts Back
You mean I shouldn't move there???
Bad situation???
Thanks

MaxQoS
MaxQoS
12/4/2012 | 7:53:27 PM
re: Coree Cuts Back
Does anyone know anything about Flarion? They're doing wireless data not optical so this may be off topic.

stuartb
stuartb
12/4/2012 | 7:53:28 PM
re: Coree Cuts Back
""Maybe the fact that the box and the CEOGÇÖs trade-secret algorithm do not work as advertised has something to do with it.""

Trade-secret are dirty words around Village.

-Stu
lightreader
lightreader
12/4/2012 | 7:53:29 PM
re: Coree Cuts Back
yeah,

40 G "was" for sissies....probably not anymore..
all iris co's trace their origins to the much
fabled monterey debacle...in this climate who
will buy their hype?...huh...this is dead off
the ground...
ZAPPED
ZAPPED
12/4/2012 | 7:53:31 PM
re: Coree Cuts Back
themaninblack

Why do you continue to associate me with the management of Tachion. I did say back in early July that I was finished with that thread and I kept my word! There is no axe to grind. You read the acticle on Coree, someone on this thread mentioned Village laid off 10%, I'm only stated facts, WHOSE NEXT? Or did I strike a nerve, maybe you are in with the basement boys over there with Kirana. For once I will agree with Pastel, he did hit the nail on the head when it came to them!!! Lord only knows whose next?
2nmWorth
2nmWorth
12/4/2012 | 7:53:31 PM
re: Coree Cuts Back
You must be kidding. The company is run by 2 sociopaths. Stay away unless you are into S&M

The Goddess
byebye99
byebye99
12/4/2012 | 7:53:38 PM
re: Coree Cuts Back
Are there some persons who know the situation of Kirana Networks Inc. in NJ?

Please let me know
nj_pistols
nj_pistols
12/4/2012 | 7:53:41 PM
re: Coree Cuts Back
Interesting that Internet Photonics might be in trouble...I heard that another optical spin-out from a large company in the area has also recently fallen through before it even got off the ground.

Re: Coree: weren't they the ones saying
"40G is for sissies" at Supercomm?
I suppose they are eating their words now!!
hobbit
hobbit
12/4/2012 | 7:53:42 PM
re: Coree Cuts Back
> How 'bout Alphion (aka Optosphere). Rumor
> suggests they recently ousted their
> CEO/founder and the HDW VP. Any news?

ceo/founder still there and they haven't
fired anyone else either ... perhaps you are
thinking of internet photonics
whose new ceo did fire their hardware vp
(chap came from lucent) along with a bunch
of other folks a little while back. heard
they, like tachion, loaded up on the sales
side prematurely.
dodo
dodo
12/4/2012 | 7:53:44 PM
re: Coree Cuts Back
http://www.ottawa.siliconvalle...

looks like another optical start-up is suffering in SiliconValley North
ajo2
ajo2
12/4/2012 | 7:53:44 PM
re: Coree Cuts Back
I guess there is nothing illegal about taking money from one startup and using it to fund others that can't get funding.

They may have raised twice the normal amount for series A, but if they burn through it twice as fast due to expensive equipment and higher than average salaries, do you not end up in the same sinking boat?

bv66a
bv66a
12/4/2012 | 7:53:45 PM
re: Coree Cuts Back
Village Networks laid off 10% of its workforce last Thursday, in what seems more like a management vendetta against people who they dislike! IGÇÖm surprised LR hasnGÇÖt picked up on it. Maybe itGÇÖs because theyGÇÖre advertising on this site???

They havenGÇÖt announced a customer because the buffoon in charge of sales has not been able to get any traction with any customers, has not gotten one real trial going and has not finalized one partnership since he came on board last year around this time. Maybe the fact that the box and the CEOGÇÖs trade-secret algorithm do not work as advertised has something to do with it.
themaninblack
themaninblack
12/4/2012 | 7:53:45 PM
re: Coree Cuts Back
Still grinding the axe I see. Waiting for the MIB to land? Rumor has it that he has two or three CEO offers on the table. Of course, the smart money is betting that this a fabrication, just like all his other fabrications...
downreading
downreading
12/4/2012 | 7:53:47 PM
re: Coree Cuts Back
How is Innovance doing?
What are their prospects after
the optical down slide?
nj_pistols
nj_pistols
12/4/2012 | 7:53:48 PM
re: Coree Cuts Back
Given that Tachion is out, looks like Coree is out, who is left in NJ? Seems like this area is going to be saturated with out-of-work optical and routing people especially given Lucent's recent layoffs.

Any news about Village Networks? They have yet to publicly announce a customer. The stealthy Jedai Broadband networks is equally as quiet these days. Others who fall into the quiet category include: Photuris, Internet Photonics, Xebeo, anyone else?

manoflalambda
manoflalambda
12/4/2012 | 7:53:49 PM
re: Coree Cuts Back
Coree is the next to feel the crunch of VC's pulling away. And unfortunately there will be more in central Jersey! Or elsewhere? I could be mistaken but didn't it sound like they only got one round of funding! One could only wonder what startup could be next? Maybe Kirana Networks?

How 'bout Alphion (aka Optosphere). Rumor suggests they recently ousted their CEO/founder and the HDW VP. Any news?

Salute,
Manoflalambda
ZAPPED
ZAPPED
12/4/2012 | 7:53:54 PM
re: Coree Cuts Back
Coree is the next to feel the crunch of VC's pulling away. And unfortunately there will be more in central Jersey! Or elsewhere? I could be mistaken but didn't it sound like they only got one round of funding! One could only wonder what startup could be next? Maybe Kirana Networks?
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