Ellacoya counts 80 full-time employees, plus contractors, with some R&D and engineering resources in India. The company's announced MSO customers include Eastlink and Shaw Communications in Canada, as well as VTR in Chile. In total Ellacoya says it has more than 125 different customers worldwide, a mix of MSOs, independent telcos, major service providers and wireless providers. Its largest single customer deployment covers over 2 million broadband subscribers.
Ellacoya's IP Service Control System is based on the e30, a flow-based IP switch with Layer 1-7 awareness. The e30 and Ellacoya's software gives broadband providers the ability to monitor, shape and control traffic on a per-application and per-subscriber basis. In a PCMM or PacketCable Release 2 environment, the e30 can serve as an application manager to enable services with dynamic QOS through policy servers and CMTSs. Ellacoya also offers a Voice Quality Reporter (VQR) module for the e30, enabling MSOs to monitor and report on VoIP quality.
Cisco jumped into the service control space by buying start-up P-Cube Inc. for $200 million in 2004. In March 2006, service control start-up Sandvine Inc. completed an IPO on the London AIM and has seen its market cap climb to over $260 million. Both bode well for Ellacoya's possibilities.
Start-up: Ellacoya Networks
Innovation factor: 8 (out of 10)
Likely Acquirers: The Public Market
Handicap: 3-1 odds on an IPO. Sandvine's IPO scored well. Why not Ellacoya next?