Network, cybersecurity demands bring Gigamon to LatAm

US network traffic visibility solutions provider Gigamon is expanding to Latin America with local operations and legal entities established in Brazil and Mexico.

São Paulo in Brazil will be the hub for the region, while Mexico's second city Guadalajara will have a manufacturing line to "expand" production made at Gigamon's California headquarters.

Having assembly in Guadalajara also allows Gigamon to take advantage of Nafta and Mexico's trade agreements with other markets, newly appointed LatAm sales VP Carlos Perea (pictured) told BNamericas.

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Gigamon's technologies allow companies to have high visibility of security and network traffic across both physical and virtual environments, Perea said. These are key in a scenario of cost reduction and cybersecurity challenges, filling a void left by network solutions from traditional vendors as well as complementing them, he added.

Launched in 2004, Gigamon has expanded at a rate of 40%-45% over the last four years. Nearly 90% of its revenues come from Canada and the US, where customers include Apple and large carriers and retailers.

Earlier this year, the company decided it was time to diversify its revenue sources, setting a global expansion strategy in motion with the ultimate goal of reaching a US$1bn global revenue threshold by the end of 2016. In April, Gigamon tapped a VP to lead operations in Europe, Middle East and Africa (EMEA) and in June it appointed a Singapore-based head for Asia-Pacific. And now, in September, it is time for Latin America.

Investment figures for the region were not disclosed, but they represent "millions of dollars," Perea said. He acknowledged that currency volatility adds pressure to the business, especially in Latin America, but said the company is "shielded" with hedge operations.

The economic lethargy in the region, particularly in Brazil, is not a source of concern either, but a source of opportunity, he claimed. Perea said Gigamon's opportunities are "greater at times of crisis" because its solutions produce cost optimization and allow enterprises to expand the lifecycle of their infrastructure network by as much as 24 months.

Gigamon targets large clients – companies with strong network traffic and security demand, mainly in the financial, telecom, retail and public sectors.

The company already has 30 clients in Latin America, Perea said, including Brazil's largest private bank, Itaú Unibanco.

"Our commitment to Latin America is real and long term," he underlined.