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FatPipe Inc. Launches VMware VeloCloud Replacement Program to Help Enterprises Upgrade to Advanced SD-WAN Solutions

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FatPipe (NASDAQ: FATN) has launched its VeloCloud Replacement Program, a strategic initiative to help enterprises transition from legacy VeloCloud SD-WAN deployments to FatPipe's next-generation platform. The program targets the growing SD-WAN market, expected to reach $7 billion by 2027.

Key program features include zero-cost migration assistance, trade-in discounts, advanced SD-WAN capabilities, multi-cloud connectivity, and enhanced security features. The company plans to fund its sales growth using IPO proceeds and internally generated funds, with no immediate need for additional capital raising.

This initiative is part of FatPipe's post-IPO growth strategy, focusing on market expansion in North America and Asia-Pacific while aiming to scale recurring revenue through managed services and long-term software licensing.

FatPipe (NASDAQ: FATN) ha avviato il suo Programma di Sostituzione VeloCloud, un'iniziativa strategica per supportare le aziende nella transizione dalle implementazioni legacy di VeloCloud SD-WAN alla piattaforma di nuova generazione di FatPipe. Il programma si rivolge al mercato SD-WAN in crescita, che si prevede raggiungerà 7 miliardi di dollari entro il 2027.

Le caratteristiche principali del programma includono assistenza alla migrazione senza costi, sconti per il trade-in, capacità avanzate di SD-WAN, connettività multi-cloud e funzionalità di sicurezza migliorate. L'azienda intende finanziare la crescita delle vendite utilizzando i proventi dell'IPO e fondi interni, senza necessità immediata di ulteriori raccolte di capitale.

Questa iniziativa fa parte della strategia di crescita post-IPO di FatPipe, focalizzata sull'espansione del mercato in Nord America e Asia-Pacifico, con l'obiettivo di aumentare i ricavi ricorrenti attraverso servizi gestiti e licenze software a lungo termine.

FatPipe (NASDAQ: FATN) ha lanzado su Programa de Reemplazo VeloCloud, una iniciativa estratégica para ayudar a las empresas a migrar de implementaciones heredadas de VeloCloud SD-WAN a la plataforma de próxima generación de FatPipe. El programa está dirigido al mercado creciente de SD-WAN, que se espera alcance los 7 mil millones de dólares para 2027.

Las características clave del programa incluyen asistencia para migración sin costo, descuentos por intercambio, capacidades avanzadas de SD-WAN, conectividad multi-nube y mejoras en seguridad. La compañía planea financiar su crecimiento en ventas con los ingresos de la oferta pública inicial y fondos generados internamente, sin necesidad inmediata de recaudar capital adicional.

Esta iniciativa forma parte de la estrategia de crecimiento post-IPO de FatPipe, centrada en la expansión del mercado en Norteamérica y Asia-Pacífico, con el objetivo de aumentar los ingresos recurrentes mediante servicios gestionados y licencias de software a largo plazo.

FatPipe (NASDAQ: FATN)는 기존 VeloCloud SD-WAN 배포에서 FatPipe의 차세대 플랫폼으로 전환을 지원하는 전략적 이니셔티브인 VeloCloud 교체 프로그램을 시작했습니다. 이 프로그램은 2027년까지 70억 달러에 이를 것으로 예상되는 성장하는 SD-WAN 시장을 목표로 합니다.

프로그램의 주요 특징으로는 무상 마이그레이션 지원, 트레이드인 할인, 고급 SD-WAN 기능, 멀티 클라우드 연결성, 강화된 보안 기능이 포함됩니다. 회사는 IPO 수익과 내부 자금을 활용하여 매출 성장을 자금 조달할 계획이며, 추가 자본 조달은 당장은 필요하지 않습니다.

이 이니셔티브는 FatPipe의 IPO 이후 성장 전략의 일환으로, 북미 및 아시아 태평양 시장 확장에 중점을 두고 있으며, 관리형 서비스와 장기 소프트웨어 라이선스를 통해 반복 수익을 확대하는 것을 목표로 합니다.

FatPipe (NASDAQ : FATN) a lancé son Programme de Remplacement VeloCloud, une initiative stratégique visant à aider les entreprises à passer des déploiements SD-WAN VeloCloud hérités à la plateforme de nouvelle génération de FatPipe. Ce programme cible le marché croissant du SD-WAN, qui devrait atteindre 7 milliards de dollars d'ici 2027.

Les principales caractéristiques du programme incluent une assistance à la migration sans frais, des remises pour échange, des fonctionnalités SD-WAN avancées, une connectivité multi-cloud et des améliorations de la sécurité. L'entreprise prévoit de financer sa croissance commerciale grâce aux fonds issus de l'introduction en bourse et à ses ressources internes, sans besoin immédiat de levée de capitaux supplémentaire.

Cette initiative s'inscrit dans la stratégie de croissance post-introduction en bourse de FatPipe, axée sur l'expansion du marché en Amérique du Nord et dans la région Asie-Pacifique, tout en visant à développer les revenus récurrents via des services gérés et des licences logicielles à long terme.

FatPipe (NASDAQ: FATN) hat sein VeloCloud Replacement Program gestartet, eine strategische Initiative, um Unternehmen beim Übergang von veralteten VeloCloud SD-WAN-Implementierungen zur nächsten Generation der FatPipe-Plattform zu unterstützen. Das Programm richtet sich an den wachsenden SD-WAN-Markt, der bis 2027 voraussichtlich 7 Milliarden US-Dollar erreichen wird.

Zu den Hauptmerkmalen des Programms gehören kostenfreie Migrationsunterstützung, Eintauschrabatte, erweiterte SD-WAN-Funktionen, Multi-Cloud-Konnektivität und verbesserte Sicherheitsfunktionen. Das Unternehmen plant, das Umsatzwachstum mit Mitteln aus dem Börsengang und intern generierten Geldern zu finanzieren, ohne kurzfristigen Kapitalbedarf.

Diese Initiative ist Teil der Wachstumsstrategie von FatPipe nach dem Börsengang, mit Fokus auf Markterweiterung in Nordamerika und Asien-Pazifik sowie der Skalierung wiederkehrender Einnahmen durch Managed Services und langfristige Softwarelizenzen.

Positive
  • Strategic entry into $7 billion SD-WAN market opportunity by 2027
  • Strong balance sheet with sufficient capital from IPO proceeds
  • No immediate need for additional funding
  • Multiple revenue streams through managed services and long-term software licensing
  • Geographic expansion targeting North America and Asia-Pacific markets
Negative
  • None.

Insights

FatPipe's VeloCloud replacement strategy targets significant market share in the growing SD-WAN space with minimal new capital requirements.

FatPipe's announcement reveals a calculated strategy to capitalize on market disruption within the SD-WAN landscape. By specifically targeting VeloCloud's installed base, the company is positioning to convert competitors' customers during a period of transition in the SD-WAN market. The estimated $7 billion SD-WAN market by 2027 represents substantial growth potential, and FatPipe is creating a structured pathway to capture a slice of this expanding pie.

The program's design demonstrates a sophisticated customer acquisition strategy with several notable elements:

  • Zero-cost migration reduces adoption barriers and switching costs
  • Trade-in discounts address sunk cost concerns for potential customers
  • Technical differentiation through advanced features provides clear value proposition

Particularly interesting is FatPipe's emphasis on recurring revenue through managed services and long-term software licensing. This signals a strategic shift toward predictable revenue streams rather than one-time hardware sales, aligning with enterprise software industry trends and potentially improving investor sentiment regarding future revenue stability.

The statement that growth will be funded through IPO proceeds and internally generated funds suggests confidence in their business model's capital efficiency. This indicates FatPipe believes they can achieve meaningful growth without additional fundraising rounds—a positive signal about their unit economics and cash flow projections.

Sales Growth to Be Funded with IPO Proceeds and Internally Generated Funds

SALT LAKE CITY, May 14, 2025 /PRNewswire/ -- FatPipe, Inc. (NASDAQ: FATN), a pioneer in enterprise-class, application-aware, secure software-defined wide area network ("SD-WAN"), today announced the launch of its VeloCloud Replacement Program, a strategic initiative designed to help enterprises seamlessly transition from legacy VeloCloud SD-WAN deployments to FatPipe's next-generation, high-performance, highly secure SD-WAN platform.

With the recent changes in the SD-WAN landscape and evolving enterprise networking requirements, many organizations are seeking more flexible, secure, and cost-effective alternatives to existing solutions. This conversion opportunity represents a strategic growth lever for FatPipe, targeting legacy SD-WAN deployments worldwide. As organizations reevaluate their infrastructure, FatPipe's program aims to expand its footprint in the SD-WAN market expected to surpass $7 billion by 2027. The program is designed to not only drive new customer acquisition but also enhance FatPipe's recurring revenue through managed services and long-term software licensing.

FatPipe's VeloCloud Replacement Program offers a compelling upgrade path, providing customers with:

  • Zero-Cost Migration Assistance: A fully managed onboarding and transition plan, minimizing disruption to business operations.

  • Trade-In Discounts: Special pricing and trade-in credits for existing VeloCloud hardware and licenses.

  • Advanced SD-WAN Features: Superior application-aware routing, multi-line redundancy, edge security, and built-in single-stack cybersecurity.

  • Multi-Cloud Connectivity: Native support for all major public cloud providers including AWS, Azure, and Google Cloud.

  • Enhanced Security: Integrated firewall and cybersecurity, encryption, and compliance-ready architecture.

  • Proven ROI: Reduced network costs and improved application performance.

  • Managed and co-managed Network and cybersecurity monitoring.

"Our replacement program represents a significant market capture opportunity, aimed at converting a large installed base of first-generation SD-WAN users seeking modern, secure, and scalable alternatives," said Ms. Sanch Datta, President and CTO of FatPipe Inc. "We're making it easier than ever for enterprises to upgrade their WAN infrastructure with minimal disruption—backed by the advanced performance, security, and support they expect from an enterprise-grade solution."

This initiative supports FatPipe's post-IPO growth strategy, leveraging new go-to-market investments to accelerate sales in North America and Asia-Pacific. By executing on this targeted expansion plan, FatPipe aims to build momentum in key markets, strengthen partner engagement, and scale recurring revenue streams—positioning the company to deliver long-term value for customers and shareholders alike.

"FatPipe maintains a strong balance sheet and has sufficient capital and operational resources to execute on its business plan with no immediate need to raise additional funds. We plan to fund our sales growth with the proceeds of the IPO and internally generated funds", said, Dr. Ragula Bhaskar, CEO.

About FatPipe, Inc.

FatPipe pioneered the concept of software-defined wide area networking (SD-WAN) and hybrid WANs that eliminate the need for hardware and software or cooperation from ISPs and allows companies and service providers to control multi-link network traffic. FatPipe currently has 12 U.S. patents related to multipath, software-defined networking. FatPipe products are sold by 200+ resellers worldwide. For more information, visit www.fatpipeinc.com. Follow us on X @FatPipe_Inc.

To learn more, visit www.fatpipeinc.com or contact sales321@fatpipeinc.com.

Forward-Looking Statements

Certain statements contained in this press release, including statements relating to the Company's expectations regarding the completion, timing and size of its proposed public offering and listing may constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as "may," "will," "expect," "intend," "anticipate," "estimate," "believe," "continue," or other similar words. Readers are cautioned not to place undue reliance on these forward-looking statements, which are based on management's current expectations and are inherently subject to various risks, uncertainties, assumptions, or changes in circumstances that are difficult to predict or quantify. These risks and uncertainties include, but are not limited to, risks and uncertainties associated with the consummation of the offering and other risks described in FatPipe's registration statement on Form S-1, as it may be amended from time to time. Except as required by law, FatPipe expressly disclaims a duty to provide updates to forward-looking statements, whether as a result of new information, future events or other occurrences.

Media Contact:
Company Contact Info

investor.ir@fatpipeinc.com

Investor Contact

Dave Gentry, CEO
RedChip Companies, Inc.
1.800.RED.CHIP (733-2447)
FATN@redchip.com

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/fatpipe-inc-launches-vmware-velocloud-replacement-program-to-help-enterprises-upgrade-to-advanced-sd-wan-solutions-302455408.html

SOURCE FatPipe Networks

FAQ

What is FatPipe's (FATN) VeloCloud Replacement Program?

FatPipe's VeloCloud Replacement Program is a strategic initiative offering zero-cost migration assistance, trade-in discounts, and advanced SD-WAN features to help enterprises transition from legacy VeloCloud SD-WAN deployments to FatPipe's next-generation platform.

How will FatPipe (FATN) fund its sales growth in 2025?

FatPipe will fund its sales growth using IPO proceeds and internally generated funds, with management confirming no immediate need to raise additional capital.

What is the market size potential for FatPipe's (FATN) SD-WAN solutions?

The SD-WAN market that FatPipe is targeting is expected to surpass $7 billion by 2027.

What are the key features of FatPipe's (FATN) SD-WAN replacement program?

The program offers zero-cost migration assistance, trade-in discounts, advanced SD-WAN features, multi-cloud connectivity, enhanced security features, and managed/co-managed network monitoring.

Which geographic markets is FatPipe (FATN) targeting for expansion?

FatPipe is focusing on market expansion in North America and Asia-Pacific regions as part of its post-IPO growth strategy.
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