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F5 Network to ramp up investment in China

By Wang Xing (chinadaily.com.cn)
Updated: 2009-02-26 18:48

US-based F5 Network plans to ramp up investment in China as the demand for cost-savings is on a rise amid a slowing economy.

The network application delivery company plans to expand research capabilities and launch new products to cater to the need from corporate clients to cut costs in a bid to cope with a slowing economy, said F5 Network President and CEO John McAdam.

McAdam said China, which has the world's largest online population, accounts for about seven percent of F5's business globally.

As a company that provides products and services that help companies reduce the number of servers deployed and cut their cost in bandwidth, F5 posted revenue of $165.6 million in the first quarter of this year, up 7.4 percent year-on-year.

He said F5 will continue to record a robust growth in China this year as Chinese Government has announced a slew of economic stimulus plans.

China plans to spend 280 billion yuan in building the third-generation mobile phone networks in two years, which could benefit companies such as F5, McAdam said.