Quantum is spinning off its network attached storage (NAS) unit in a restructuring plan that focuses the company on its core tape-backup equipment business.
A new company, Snap Appliance, will purchase Quantum's NAS assets for $11.3 million, and take on about 40 Quantum NAS personnel. The company will be based in San Jose, California, and employ about 100 people.
Snap Appliance will only sell in North America. The company is financially supported by Moore Capital management, Mellon Ventures, Broadband Storage, with a minority stake from Quantum.
Snap Appliance and Quantum will work together to support current international customers. Some international distributors may sell Snap Appliance products outside North America, but those won't be supported locally.
NAS products are systems that store data over IP networks. The range includes the Snap! Server devices.
Quantum created Snap Appliance about two years ago with the intention of taking the company public. That plan when the stock market downturn began. The current spin-off should be completed by the end of October, Quantum said.