Fastest Growing Tech Companies in 2007

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Original link: http://money.cnn.com/magazines/business2/b2fastestgrowing/2007/index.html

Despite talk of froth and bubbles, the tech sector continues to surge. These companies on the annual list are all posting impressive results.

 
Akamai Technologies (AKAM)
Rank: 1
Employees: 1,058
Headquarters: Cambridge, MA
Sector(s): Business Services

Why it's hot: How big is online video and music? Big enough to catapult Akamai to the top spot. Internet traffic is surging, and companies like Apple and MTV Networks rely on the content delivery company's technology to get the digital goods to their customers.
 
 
 
iMergent (IIG)
Rank: 2
Employees: 303
Headquarters: Orem, UT
Sector(s): Business Services

Why it's hot: Mom-and-pop businesses are increasingly moving online, and iMergent's training programs help them set up shop on the Web. Taking its workshops abroad has helped drive new growth. Financial restatements have added to revenue gains.
 
Palomar Medical Technologies (PMTI)
Rank: 3 (Previous rank: 6)
Employees: 225
Headquarters: Burlington, MA
Sector(s): Medical

Why it's hot: These days even 20-somethings are opting for a nip and a tuck. That's spiked demand for Palomar's six-figure gear, which uses lasers and light pulses to tighten skin, vaporize blemishes, and remove unsightly body hair.
 
 
InterDigital Communications (IDCC)
Rank: 4
Employees: 340
Headquarters: King of Prussia, PA
Sector(s): Software

Why it's hot: Mobile devices are hot, but InterDigital's wireless software patents are hotter. More than half of the company's 2006 revenue came from an intellectual property settlement with Nokia. Now it has Samsung in the crosshairs.
 
 
CyberSource (CYBS)
Rank: 5
Employees: 247
Headquarters: Mountain View, CA
Sector(s): Business Services

Why it's hot: Online fraud has become a growth industry, to the tune of $3 billion a year. That's meant big bucks for CyberSource, with companies like Google and Yahoo using its secure payment services to protect themselves and their customers.
 
 
Perficient (PRFT)
Rank: 6
Employees: 774
Headquarters: Austin, TX
Sector(s): Business Services

Why it's hot: CTOs are opening up their wallets again -- and hiring IT consultancies to tell them what to buy. This one went on a spending spree itself, snapping up independent consulting firms like iPath and Vivare to fuel its growth in 2006.
 
 
Lam Research (LRCX)
Rank: 7 (Previous rank: 21)
Employees: 2,616
Headquarters: Fremont, CA
Sector(s): Electronics

Why it's hot: Tiny circuits are big business. Consumer electronics giants Toshiba and Samsung are buying Lam's machines, which can etch circuits as fine as 45 nanometers across for flash memory chips used in mobile phones, iPods, and other gadgets.

 

 
Ceradyne (CRDN)
Rank: 8 (Previous rank: 12)
Employees: 2,205
Headquarters: Costa Mesa, CA
Sector(s): Manufacturing, Military

Why it's hot: As the wars in Afghanistan and Iraq drag on, orders from the Pentagon are up for Ceradyne's ceramic armor -- lighter than steel, more durable than plastic -- to protect soldiers, helicopters, and other military vehicles.
 
 
F5 Networks (FFIV)
Rank: 9 (Previous rank: 18)
Employees: 1,159
Headquarters: Seattle, WA
Sector(s): Electronics

Why it's hot: Business applications are moving from the PC to the Web, and that means more and more companies are depending on F5's appliances to smooth the transition online by balancing Internet traffic on their corporate servers.
 
 
 
Armor Holdings (AH)
Rank: 10 (Previous rank: 47)
Employees: 8,150
Headquarters: Jacksonville, FL
Sector(s): Manufacturing, Military

Why it's hot: Its labs design high-strength fibers, lightweight ceramics, and bulletproof polymers for tougher helmets and vehicles. Government spending on new military vehicles beefed up business, as did the purchase of manufacturer Stewart & Stevenson.
 
 
InVentiv Health (VTIV)
Rank: 11
Employees: 5,200
Headquarters: Somerset, NJ
Sector(s): Medical

Why it's hot: Helping drug companies with things like staffing, running clinical trials, and managing sales data added more than $200 million to InVentiv's revenue last year.
 
 
 
Apple (AAPL)
Rank: 12 (Previous rank: 3)
Employees: 21,500
Headquarters: Cupertino, CA
Sector(s): Electronics

Why it's hot: Apple followed its blockbuster iPod line with the Intel-powered MacBook, whose Windows compatibility revived Apple's laptop sales. Next up: the iPhone.
 
 
 
ValueClick (VCLK)
Rank: 13 (Previous rank: 5)
Employees: 1,072
Headquarters: Westlake Village, CA
Sector(s): Business Services

Why it's hot: The online ad network's sites had 132 million unique visitors last year in the United States alone. Its acquisition of Shopping.net and Fastclick bulked up revenue.
 
 
 
Varian Semiconductor (VSEA)
Rank: 14 (Previous rank: 44)
Employees: 1,627
Headquarters: Gloucester, MA
Sector(s): Electronics

Why it's hot: The semiconductor equipment maker uses an ion-blasting technology that's increasingly popular with chipmakers. Sales were strong worldwide.
 
 
LifeCell (LIFC)
Rank: 15 (Previous rank: 8)
Employees: 335
Headquarters: Branchburg, NJ
Sector(s): Medical

Why it's hot: Revenue from its AlloDerm product -- modified human tissue used to reconstruct breasts and repair hernias -- jumped 62 percent in 2006.
 
 
 
Cognizant Technology Solutions (CTSH)
Rank: 16 (Previous rank: 28)
Employees: 38,800
Headquarters: Teaneck, NJ
Sector(s): Business Services

Why it's hot: Cognizant handles complex IT tasks like setting up data warehouses. Meanwhile, a growing cadre of India-based programmers is helping to drive revenue.
 
 
Itron (ITRI)
Rank: 17 (Previous rank: 97)
Employees: 2,400
Headquarters: Liberty Lake, WA
Sector(s): Electronics

Why it's hot: As utilities build smart grids to cut power usage, they're relying on Itron and its wireless smart meters to collect and analyze gas and electricity data.
 
 
 
Digital River (DRIV)
Rank: 18 (Previous rank: 83)
Employees: 1,086
Headquarters: Eden Prairie, MN
Sector(s): Business Services

Why it's hot: With consumers increasingly downloading antiviral software, Digital River ensures that programs stream smoothly and securely for companies like McAfee.
 
 
Hologic (HOLX)
Rank: 19 (Previous rank: 19)
Employees: 1,617
Headquarters: Bedford, MA
Sector(s): Medical

Why it's hot: Its medical-imaging equipment scans for breast cancer and osteoporosis. An aging population and the need to replace obsolete machines are driving growth.
 
 
Cymer (CYMI)
Rank: 20
Employees: 975
Headquarters: San Diego, CA
Sector(s): Electronics

Why it's hot: Cymer's light-source products are used in lasers that etch patterns onto semiconductors. Customers like Canon and Nikon increased their orders last year.
 
 
 
MKS Instruments (MKSI)
Rank: 21
Employees: 2,960
Headquarters: Wilmington, MA
Sector(s): Electronics

Why it's hot: Its products, which control gases and static in manufacturing, are used by makers of everything from chips and flat-panel displays to DVDs and solar panels.
 
 
 
Ansoft (ANST)
Rank: 22 (Previous rank: 29)
Employees: 302
Headquarters: Pittsburgh, PA
Sector(s): Software

Why it's hot: Ansoft's software helps automate repetitive aspects of designing computer chips, cell phones, and networking equipment -- all growing industries.
 
 
Rochester Medical (ROCM)
Rank: 23
Employees: 213
Headquarters: Stewartville, MN
Sector(s): Medical

Why it's hot: Hospitals rely on its catheters, and Rochester added incontinence products. It also scored $39 million in legal settlements involving anti-infective catheters.
 
 
American Science & Engineering (ASEI)
Rank: 24
Employees: 283
Headquarters: Billerica, MA
Sector(s): Electronics

Why it's hot: The company's scanners can detect a bomb in a suitcase or an illegal immigrant in a truck. These days governments are willing to pay big bucks for both.
 
 
Nvidia (NVDA)
Rank: 25
Employees: 4,083
Headquarters: Santa Clara, CA
Sector(s): Electronics

Why it's hot: Nvidia's GeForce graphics processor set the industry standard in bringing photo-realism to the Xbox and PlayStation 3. It now powers iPods as well.
 
 
Digene (DIGE)
Rank: 26
Employees: 518
Headquarters: Gaithersburg, MD
Sector(s): Medical

Why it's hot:
Marketing efforts to boost consumer awareness that the human papilloma virus causes cervical cancer increased sales of its DNA-based diagnostic tests for HPV.

 

Tibco Software(TIBX)

Rank: 27

Employees: 1,597
Headquarters: Palo Alto, CA
Sector(s): Software

Why it's hot:
Its software helps integrate corporate IT systems. That niche -- called service-oriented architecture -- is growing as firms move more of their business online.

 

Concur Technologies (CNQR)

Rank: Rank: 28 (Previous rank: 38)

Employees: 531
Headquarters: Redmond, WA
Sector(s): Software

Why it's hot:
Companies use Concur's software to simplify record keeping and eliminate frivolous expenses. Its on-demand model is pushing profit margins higher.

 

Gilead Sciences (GILD)

Rank: 29 (Previous rank: 9)

Employees: 2,515
Headquarters: Foster City, CA
Sector(s): Medical

Why it's hot:
Gilead saw sales of HIV treatments rise 52 percent last year. But two acquisitions led to a $2.4 billion charge for R&D programs and a net loss in 2006.

 

Mikron Infrared (MIKR)

Rank: 30

Employees: 171
Headquarters: Oakland, NJ
Sector(s): Electronics

Why it's hot:
Why it's hot:
The company, whose vision systems detect temperature changes during manufacturing, did so well it was acquired by LumaSense Technologies in May.

 

Roper Industries (ROP)
Rank: 31 (Previous rank: 53)

Employees: 6,900
Headquarters: Sarasota, FL
Sector(s): Electronics, Manufacturing

Why it's hot:
Sales of RFID chips that monitor traffic, read utility meters, and scan patients jumped as clients upgraded equipment. Acquisitions also boosted results.

 

 

Intuitive Surgical (ISRG)
Rank: 32

Employees: 563
Headquarters: Sunnyvale, CA
Sector(s): Medical

Why it's hot:
Sales of its robotic surgery machines, which offer more precision than human hands, rose 48 percent. But its stock fell when it didn't meet profit forecasts.

 

 

Juniper Networks (JNPR)
Rank: 33 (Previous rank: 41)

Employees: 4,833
Headquarters: Sunnyvale, CA
Sector(s): Telecom

Why it's hot:
An options-backdating scandal hurt the company's stock performance in early 2006. Still, strong demand for its networking gear led a recovery late in the year.
 

 

NetScout Systems (NTCT)
Rank: 34

Employees: 370
Headquarters: Westford, MA
Sector(s): Software

Why it's hot:
Cell-phone carriers use its software to monitor network performance and troubleshoot slowdowns. Few rivals can top the amount of data it collects.

 

 

Trimble Navigation (TRMB)
Rank: 35 (Previous rank: 80)

Employees: 2,859
Headquarters: Sunnyvale, CA
Sector(s): Software

Why it's hot:
Trimble's software lets construction engineers use GPS to program bulldozers to dig more accurately. Construction industry revenue alone rose 21 percent.
 

 

Red Hat (RHT)
Rank: 36 (Previous rank: 2)

Employees: 1,753
Headquarters: Raleigh, NC
Sector(s): Software

Why it's hot:
Red Hat fended off invasions of the Linux market by Microsoft and Oracle, adding 42,000 new customers, including Priceline.com and the FAA.
 

 

Komag  (KOMG)
Rank: 37

Employees: 7,960
Headquarters: San Jose, CA
Sector(s): Electronics

Why it's hot:
Komag, which makes thin-film discs for high-speed disc drives, is benefiting from growing demand for DVRs and external storage devices.

6/07: Komag agrees to be acquired by Western Digital in a $1 billion deal. Terms: $32.25 cash per KOMG share.

 

 

Network Appliance (NTAP)
Rank: 38 (Previous rank: 98)

Employees: 6,100
Headquarters: Sunnyvale, CA
Sector(s): Electronics

Why it's hot:
The data-storage company's growth is being fueled by its security and encryption products. The acquisition of Topio expanded its data-recovery offerings.
 

 

 Diodes (DIOD)
Rank: 39 (Previous rank: 26)

Employees: 2,268
Headquarters: Westlake Village, CA
Sector(s): Electronics

Why it's hot:
The chipmaker bought Anachip and APD Semiconductor last year, which led to more chip sales for LCD screens and portable DVD players.
 

 

Priceline.com (PCLN)
Rank: 40

Employees: 696
Headquarters: Norwalk, CT
Sector(s): Retail

Why it's hot:
Its 2004 purchase of Booking.com is paying off, now accounting for 40 percent of its hotel reservations. High holiday fares attracted more budget fliers.
 

 

J2 Global Communications (JCOM)
Rank: 41 (Previous rank: 23)

Employees: 341
Headquarters: Los Angeles, CA
Sector(s): Telecom

Why it's hot:
J2 hiked U.S. subscription rates for its digital fax and voice-mail services but lost less than 3 percent of its customer base. Now it's expanding in Asia.
 

 

USEC (USU)
Rank: 42

Employees: 2,677
Headquarters: Bethesda, MD
Sector(s): Manufacturing

Why it's hot:
USEC supplies low-enriched uranium and is one of only four major companies in the world making cost-efficient fuel using gas centrifuge technology.
 

 

Netflix (NFLX)
Rank: 43

Employees: 1,300
Headquarters: Los Gatos, CA
Sector(s): Retail

Why it's hot:
Netflix continued to tweak its recommendation engine and added 10,000 new titles to its library last year. Its subscriber base also got a boost, rising by 50 percent.

 

 

ArthroCare (ARTC)
Rank: 44 (Previous rank: 39)

Employees: 881
Headquarters: Austin, TX
Sector(s): Medical

Why it's hot:
More doctors are using ArthroCare's radio-frequency-based tools to minimize tissue damage when repairing knee and shoulder joints and treating back pain.
 

 

ManTech International (MANT)
Rank: 45 (Previous rank: 64)

Employees: 5,600
Headquarters: Fairfax, VA
Sector(s): Business Services, Military

Why it's hot:
Last year ManTech won more than $100 million in contracts to design systems that can detect explosive devices in war zones like Afghanistan and Iraq.
 

 

Yahoo (YHOO)
Rank: 46

Employees: 11,400
Headquarters: Sunnyvale, CA
Sector(s): Retail

Why it's hot:
Delays in its Panama advertising platform pummeled its stock, but Yahoo rebounded, thanks to increased ad revenue over the holidays.
 

 

aQuantive (AQNT)
Rank: 47 (Previous rank: 7)

Employees: 2,106
Headquarters: Seattle, WA
Sector(s): Business Services

Why it's hot:
aQuantive made five acquisitions, expanding its services with search optimization tools and products for Web publishers. Those serial Web-advertising acquisitions made it a tempting target for Microsoft, which struck a $6.1 billion deal to buy the company in May.
 

 

CoStar Group (CSGP)
Rank: 48

Employees: 1,308
Headquarters: Bethesda, MD
Sector(s): Business Services

Why it's hot:
CoStar subscribers can access commercial real estate reports and post property listings. Its services are attracting more high-paying institutional subscribers.
 

 

Celgene (CELG)
Rank: 49 (Previous rank: 1)

Employees: 1,287
Headquarters: Summit, NJ
Sector(s): Medical

Why it's hot:
The biotech firm won approval for Revlimid, a safer version of thalidomide, to treat multiple myeloma, and it's seeking the go-ahead to treat more diseases.
 

 

Garmin (GRMN)
Rank: 50

Employees: 4,751
Headquarters: Cayman Islands
Sector(s): Electronics

Why it's hot:
Garmin unveiled new products to do everything from comparing gas station prices to tracking lost puppies. It cornered 60 percent of the U.S. GPS market in 2006.
 

 

Cohu (COHU)
Rank: 51

Employees: 994
Headquarters: Poway, CA
Sector(s): Electronics

Why it's hot:
The company boosted sales of its semiconductor test equipment when it acquired patents and new technology from Unisys.
 

 

Lifecore Biomedical (LCBM)
Rank: 52

Employees: 250
Headquarters: Chaska, MN
Sector(s): Medical

Why it's hot:
Lifecore's new dental implant system lets dentists know just by feeling a tooth whether it's properly attached, boosting sales in a $2 billion market.
 

 

Amphenol (APH)
Rank: 53

Employees: 25,600
Headquarters: Wallingford, CT
Sector(s): Military, Electronics

Why it's hot:
The maker of cable and electrical connectors for the telecom, auto, and military industries acquired TCS in late 2005 and saw sales grow by 37 percent.
 

Epicor Software (EPIC)
Rank: 54 (Previous rank: 51)

Employees: 2,178
Headquarters: Irvine, CA
Sector(s): Software

Why it's hot:
A $121 million acquisition of CRS Retail Systems gave Epicor entrée into the business of software that rings up sales for specialty retail stores like Foot Locker.
 

 

Kyphon (KYPH)
Rank: 55 (Previous rank: 11)

Employees: 1,090
Headquarters: Sunnyvale, CA
Sector(s): Medical

Why it's hot:
Hospitals are increasingly turning to Kyphon's minimally invasive spinal surgery devices as baby boomers age and suffer more back problems.
 

 

Sirona Dental Systems (SIRO)
Rank: 56

Employees: 1,900
Headquarters: Long Island City, NY
Sector(s): Medical

Why it's hot:
Since its merger with Schick Technologies, dentists are snapping up more of its high-tech devices, like a digital X-ray system that sends images directly to a computer.
 

 

Business Objects (BOBJ)
Rank: 57 (Previous rank: 65)

Employees: 5,402
Headquarters: San Jose, CA
Sector(s): Software

Why it's hot:
New software tools that analyze business costs helped to attract 7,000 additional customers. Licensing revenue grew 92 percent.

 

 

CalAmp (CAMP)
Rank: 58 (Previous rank: 94)

Employees: 590
Headquarters: Oxnard, CA
Sector(s): Electronics

Why it's hot:
Dish Network and DirecTV are buying CalAmp's pricier satellite dishes, which support more bandwidth and HDTV programming for local channels.
 

 

Rofin-Sinar Technologies (RSTI)
Rank: 59 (Previous rank: 87)

Employees: 1,500
Headquarters: Plymouth, MI
Sector(s): Manufacturing

Why it's hot:
Its new line of fine microlaser models that can cut and shape surgical instruments and medical implants is a hit: Microlaser revenue is up 14 percent.
 

 

Avaya (AV)
Rank: 60

Employees: 18,500
Headquarters: Basking Ridge, NJ
Sector(s): Telecom

Why it's hot:
Ninety percent of Fortune 500 firms use its software to route phone calls over the Internet. In 2006, Avaya launched a new version of its flagship product.
 

 

ViaSat (VSAT)
Rank: 61

Employees: 1,437
Headquarters: Carlsbad, CA
Sector(s): Military, Telecom
 

Why it's hot:
The U.S. Navy ordered ViaSat's high-speed satellite modems, and globe-trotting executives are outfitting their private jets with its wireless technology.
 

 

Integral Systems (ISYS)
Rank: 62

Employees: 433
Headquarters: Lanham, MD
Sector(s): Electronics, Military

Why it's hot:
Big defense budgets mean big sales for this satellite software and equipment company; sales to the U.S. Air Force accounted for 55 percent of its revenue.
 

 

Relm Wireless (RWC)
Rank: 63

Employees: 92
Headquarters: West Melbourne, FL
Sector(s): Telecom

Why it's hot:
Relm's two-way digital radios were among the first that can communicate with other manufacturers' devices and are selling well in the post-Katrina era.
 



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