Adaptec, a giant but obscure maker of products that interface between computers and peripherals, has been compared with Microsoft's position in operating systems, according to Adaptec's corporate vice-president of worldwide marketing, Sundi Sundaresh.
That may be optimistic. Adaptec mostly makes these input/output (I/0) devices for the small computer systems interface (SCSI) standard, of which it holds 70-80 per cent of the market, according to Mr Sundaresh.
However, he admits that because most I/O devices are using the enhanced integrated device electronics (IDE) standard, Adaptec actually holds only about 10 per cent of the overall market share.
SCSI adapters connect high-speed peripherals such as hard disks to computers.
Already a market leader in SCSI, Adaptec wants to expand into other areas. The company positions itself as a provider of broadband data throughput and connectivity solutions. In effect, it concentrates on the design and manufacture of high-speed I/O products and network interface cards.
Adaptec's sources of revenue are divided roughly between two product categories. Adapter cards, which come inside computer systems like SCSI adapters and fast Ethernet and ATM network interface cards, total 75 per cent of its sales. Chip controllers embedded inside peripherals such as disk drives and CD-Rom drives account for the remaining 25 per cent of revenue.
Adaptec believes that increasing use of the Internet and intranets, and digital media such as digital broadcasting satellite, Webcasting, video on demand and on-line transaction processing (OLTP), that require broadband data transfer, will be the key driving forces for increasing the company's business.