Qualstar Stock

Qualstar Corporation provides data storage systems marketed under the Qualstar brand and power solutions marketed under the N2Power brand.

The company operates four wholly-owned subsidiaries. N2Power, Inc. operates the company’s power supply business. Qualstar Corporation Singapore Private Limited provides the company an engineering footprint in Singapore and services its contract manufacturers and its Asian distribution partners and customers. In July 2018, a wholly-owned subsidiary of the company, Qualstar Limited, was created to operate the company’s data storage business in Europe and Africa and in September 2018, a wholly-owned subsidiary of the company, Q-Smart Data Private Limited, was created to operate its data storage business in Asia.

Segments

The company operates through two segments Data Storage Systems and Power Solutions.

Data Storage Systems segment

The company offers linear tape-open (LTO) based data storage devices for various vertically focused business units, including but not limited to, media and entertainment, oil and gas, high performance computing, education, telecom and life sciences.

The company delivers data protection and archival storage to small and medium sized businesses, and to various small and medium enterprise environments with major performance and data availability requirements. The company provides a range of storage solutions that span data storage capacities.

Q Series - Tape Based Data Storage Devices

The company offers a range of entry level and mid-range data storage solutions for customers ranging from 10 Terabytes to 6.72 Petabytes. Its Q8, Q40, Q48 and scalable Q80 tape libraries satisfy the required data storage capacities, as well as data transfer rates of entry level and mid-range customers.

RLS Series - Tape Based Data Storage Devices

These are the company’s tape libraries that are designed and manufactured in the United States to satisfy the data storage needs of mid-range customers. Ranging from 50 to 474 slots offer between 600 Terabytes and 5.69 Petabytes of data storage capacity and approximately a 23.8 terabytes per hour data transfer rate.

XLS Series - Enterprise Class Tape Based Storage Devices

XLS is the company’s modular enterprise library system. XLS features Compass Architecture, an advanced robotics design. XLS could be expanded from 435 tapes in increments to approximately 11,700 tapes to offer 140 petabytes of data storage capacity. The company’s library resource module and media expansion module combination allows density of 1368 Terabytes per square foot.

Strategy

The key elements of this segment’s strategy are to continue to expand its sales channels and geographies; continue to increase volume with its OEM customers; continue to expand its footprint in the markets it serves; expand its product line while continuing to strive for power levels and conversion efficiencies within a smaller footprint; expand its product line through private label offerings; and organize its technology resources to market on derivative products.

Power Solutions segment

This segment’s market for the company’s N2Power brand products include the servers, storage and network; industrial and transportation; network power systems; and medical, gaming and LED/lighting markets.

This segment designs, develops, manufactures and markets its power solution products, whose purpose is to convert, regulate, purify, manage or distribute electrical power for electronic equipment. The company’s products are used in various applications and convert AC current from the power grid to DC current, or modify the voltage being delivered (DC to DC).

The company sells standard, modified-standard and custom designed products. Standard products are sold unmodified to its customers. Modified-standard products are based on lightly modified versions of standard products. Custom products are designed primarily to the customer’s specification and are not sold to other customers. Custom products might require non-recurring engineering and tooling costs to bring the product to production. With its competencies in both power and mechanical design, the company is an optimized power systems manufacturer, offering custom power assemblies that eliminate the need for its customers to purchase additional components to integrate its power supplies into their products.

Customers

The company’s solution-focused product offerings are designed primarily for OEMs, information technology departments, and lower and middle market companies. It sells its storage products through its worldwide authorized distributor and reseller network. Power supplies are sold through distributors and direct through independent outside sales representatives. The following provides include the company’s channels:

Storage Reseller Channel: The company’s reseller channel includes systems integrators, value added resellers and value-added distributors. Its resellers package its products as part of a comprehensive data processing system or with other storage devices to deliver a complete storage subsystem. The company’s resellers recommend its products as replacement solutions when backup and archive systems are upgraded or bundle its products with storage management software specific to the end user's system. The company supports the reseller channel through its field sales representatives and technical support technicians.

Storage OEM Channel: OEM customers incorporate the company’s storage products with their application software and other components. Its products might or might not carry its label.

N2Power OEM channel: The company has supply agreements with its major power supply customers who incorporate its products into their server, gaming, network and industrial product offerings.

The company divides its worldwide sales into three geographical regions, such as Americas, consisting of Mexico, the United States, Canada and South America; EMEA, consisting of Europe, the Middle East and Africa; and APAC, consisting of Asia and Pacific countries.

The company supports its customers in the Americas primarily through a network of trained distribution partners and representatives located throughout the Americas. It supports its EMEA, APAC and other foreign customers through its distributors and resellers located throughout these regions.

Competition

The company’s primary power supply competitors include Meanwell, Artesyn, TDK Lambda, XP Power and Bel Power.

History

Qualstar Corporation was founded in 1984. The company was incorporated in California in 1984.