Exhibit 10.3
(IBM LOGO) [f13882f1388200.gif]
3039 Cornwallis Road
RTP, NC 27709
June 28, 2005
Mr. Michael Harrison
Brocade Communications Systems, Inc.
1745 Technology Drive
San Jose, CA 95110
Subject: Amendment 21 to SOW#1 of the IBM/Brocade Goods Agreement ROC-P-68
This letter (the “Amendment”) serves as Amendment Number 21 to SOW#1, including
all amendments thereto (“SOW#1”) of the Goods Agreement ROC-P-68 (the
“Agreement”), which the parties hereto do mutually agree to amend as follows
1. Delete the table in its entirety in Section 1.1, “Specifications” and replace
with the following

                   
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[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

1

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2. Update pricing with the attached Exhibit A.
The effective date of this Amendment shall be the date on the top of this
Amendment (the “Effective Date”).
The parties acknowledge that they have read this Amendment, understand it, and
agree to be bound by its terms and conditions. All capitalized terms not defined
herein shall have the meaning set forth in the Goods Agreement or the SOW #1.
All other terms and conditions of the Goods Agreement and SOW#1 that are
unaffected by the revisions set forth in this Amendment shall remain in full
force and effect. Further, the parties agree that this Amendment and the Goods
Agreement and SOW#1 are the complete and exclusive statement of the agreement
between the parties, superseding all proposals or other prior agreement, oral or
written, and all other communications between the parties relating to this
subject.
 

     
Accepted and Agreed To:
International Business Machines Corporation
  Accepted and Agreed To:
Brocade Communications Systems, Inc.

     
By: /s/ Robert J. Tice                                    7/11/05
  By: /s/ Jill Cameron                                       7/6/05
 
   
Authorized Signature                                     Date
  Authorized Signature                                     Date  
Robert J. Tice
  JILL CAMERON
 
   
Type or Print Name
  Type or Print Name  
OEM Procurement GCM
  Director, WW Sales Operations
 
   
Title & Organization
  Title & Organization

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
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2

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EXHIBIT A
PRICING

                         
IBM P/N / NUMA-Q
P/N
    Brocade P/N     Description     Unit price    
[**]
    [**]     8-Port Fibre Channel Switch
Single Power Supply (SW2400)
Includes [**]     [**]    
[**]
    [**]     16 Port Fibre Channel
Switch Single Power Supply
(SW2800) [**]     [**]    
[**]
    [**]     Silkworm 2000 Power Supply     [**]    
[**]
    [**]     Mainboard, SW 2400 (8-port)     [**]    
[**]
    [**]     Fan Tray, SW 2400 (8-port)     [**]    
[**]
    [**]     Chassis, SW 2400 (8-port)     [**]    
[**]
    [**]     Mainboard, SW 2800
(16-port)     [**]    
[**]
    [**]     Fan Tray, SW 2800 (16-port)     [**]    
[**]
    [**]     Chassis, SW 2800 (16-port) with
operator panel / LCD     [**]    
[**]
    [**]     Quick Loop License     [**]    
[**]
    [**]     Fabric Watch License     [**]    
[**]
    [**]     Extended Fabrics     [**]    
[**]
    [**]     Extended Fabrics     [**]    
[**]
    [**]     Remote Switch     [**]    
[**]
    [**]     Remote Switch     [**]    
[**]
    [**]     8 Port Fibre Channel Switch
Single Power Supply (SW3200)
Includes[**]     [**]    
[**]
    [**]     8 Port Fibre Channel Switch
Single Power Supply (SW3200)
Includes [**]     [**]    
[**]
    [**]     Full Fabric Upgrade Includes[**]     [**]    
[**]
    [**]     16 Port Fibre Channel
Switch Single Power
Supply (SW3800)
Includes [**]     [**]    
[**]
    [**]     Fan (SW3800)     [**]    
[**]
    [**]     Power Supply (SW3800)     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

3

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[**]
    [**]     Mainboard FRU (SW3800)     [**]    
[**]
    [**]     32 Port Fibre Channel
Switch Double Power Supply
(SW3900)Includes, [**]     [**]    
[**]
    [**]     Fan (SW3900)     [**]    
[**]
    [**]     Power Supply (SW3900)     [**]    
[**]
    [**]     Mainboard FRU (SW3900)     [**]    
[**]
    [**]     Secure Fabric OS (SW3200)     [**]    
[**]
    [**]     Secure Fabric OS (SW3800)     [**]    
[**]
    [**]     1Gb Secure Fabric OS     [**]    
[**]
    [**]     Secure Fabric OS (SW3900)     [**]    
[**]
    [**]     Secure Fabric OS (SW12000)     [**]    
[**]
    [**]     Performance Bundle (Trunking and Performance Monitoring)     [**]  
 
[**]
    [**]     Performance Bundle (Trunking and Performance Monitoring)     [**]  
 
[**]
    [**]     32 Port Fibre Channel Core Switch
(SW12000) Includes [**]     [**]    
[**]
    [**]     Rack Mounting Kit 14U, FRU     [**]    
[**]
    [**]     Switch Blade 16 port, 2GB     [**]    
[**]
    [**]     Switch Blade 16 port,
2Gb, FRU     [**]    
[**]
    [**]     Chassis Door, Includes [**]     [**]    
[**]
    [**]     Control Processor Blade     [**]    
[**]
    [**]     Stiletto Port Blade Slot Filler
Panel, SW12000, FRU     [**]    
[**]
    [**]     Power Supply , 180-264VAC, 1000W,
FRU     [**]    
[**]
    [**]     Blower Assembly, FRU     [**]    
[**]
    [**]     Cable Management Pillar, FRU     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

4

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[**]
    [**]     WWN Card     [**]    
[**]
    [**]     Power Plug, Switch and Distribution Panel     [**]    
[**]
    [**]     Chassis FRU, includes [**]     [**]    
[**]
    [**]     Rear WWN Bezel Assy     [**]    
[**]
    [**]     Cable Management Tray     [**]    
[**]
    [**]     AC Power Cord, FRU     [**]    
[**]
    [**]     AC Power Cord, UK/Ireland, 250V,
FRU     [**]    
[**]
    [**]     AC Power Cord, Cont. Europe CEE7/7, FRU     [**]    
[**]
    [**]     AC Power Cord, AUST/INZ, 250V     [**]    
[**]
    [**]     AC Power Cord, Intl IEC     [**]    
[**]
    [**]     Remote Switch software     [**]    
[**]
    [**]     Extended Fabric software     [**]    
[**]
    [**]     Fabric Manager 3.x     [**]    
[**]
    [**]     ISL Trunking (SW3200)     [**]    
[**]
    [**]     ISL Trunking (SW3800)     [**]    

 

                               
Buyer Part Number
    Supplier Part Number     Product Description     Unit Price of Product    
**13 months Software Maintenance (included in unit price of product)    
[**]
    [**]     Fabric Manager 4.x-Enterprise [**]     [**]     [**]    
[**]
    [**]     Fabric Manager 4.x — 3.0 to 4.x Upgrade to Enterprise ([**]    
[**]     [**]    
[**]
    [**]     Fabric Manager 4.x with 10 Domains     [**]     [**]    
[**]
    [**]     Fabric Manager 4.x Upgrade from 10 Domains to Unlimited Domains    
[**]     [**]    
[**]
    [**]     Secure Fabric OS
(SW12000/24000)     [**]     [**]    
[**]
    [**]     32 Port Fibre Channel     [**]     [**]    
 
          Director (SW24000) Includes
[**]                
[**]
    [**]     Meteor, 16 Port Upgrade
Blade     [**]     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

5

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[**]
    [**]     Meteor Upgrade kit. Includes: [**]     [**]     [**]    
[**]
    [**]     8 Port Fibre Channel Two     [**]     [**]    
 
          Domain Switch Single Power
Supply (SW3250),
Includes [**]                
[**]
    [**]     8 Port Fibre Channel Two
Domain Switch Single Power
Supply (SW3250),
Includes [**]     [**]     [**]    
[**]
    [**]     16 Port Fibre Channel Four
Domain Switch, Two Fixed
Power Supplies (SW3850),
Includes [**]     [**]     [**]    
[**]
    [**]     16 Port Fibre Channel Four
Domain Switch, Two Fixed
Power Supplies (SW3850),
Includes [**]     [**]     [**]    
[**]
    [**]     Secure Fabric OS (SW3850)     [**]     [**]    
[**]
    [**]     Secure Fabric OS (SW3250)     [**]     [**]    
[**]
    [**]     Meteor FRU Chassis ,
includes [**]     [**]     [**]    
[**]
    [**]     Meteor FRU, Chassis Door. Includes [**]     [**]     [**]    
[**]
    [**]     Meteor Switch Blade 16
port, 2Gb, FRU     [**]     [**]    
[**]
    [**]     Meteor Control Processor
Blade, FRU     [**]     [**]    
[**]
    [**]     FRU, Power Supply Filler
Panels     [**]     [**]    
[**]
    [**]     Extended Fabric     [**]     [**]    
[**]
    [**]     Remote Switch     [**]     [**]    
[**]
    [**]     Performance Bundle (Trunking and Performance Monitoring)     [**]  
  [**]    
[**]
    [**]     Four Domain to Full Fabric Upgrade     [**]     [**]    
[**]
    [**]     Extended Fabric     [**]     [**]    
[**]
    [**]     Remote Switch     [**]     [**]    
[**]
    [**]     Performance Bundle (Trunking and Performance Monitoring)     [**]  
  [**]    
[**]
    [**]     Two Domain to Full Fabric Upgrade includes [**]     [**]     [**]  
 
[**]
    [**]     8 port Switch FRU
[**]     [**]     [**]    
[**]
    [**]     8 port Switch FRU
[**]     [**]     [**]    
[**]
    [**]     16 port Switch FRU COO — United States     [**]     [**]    
[**]
    [**]     16 port Switch FRU     [**]     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

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Confidential information

6

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          [**]                
[**]
    [**]     16 active ports, 4g Fiber Channel Switch (SW4100) with two power
supplies; includes [**]     [**]     [**]    
[**]
    [**]     16 port 4g switch FRU (SW4100); includes [**]     [**]     [**]    
[**]
    [**]     Power Supply FRU (SW4100)     [**]     [**]    
[**]
    [**]     Fan FRU (SW4100)     [**]     [**]    
[**]
    [**]     Performance Monitoring
(SW4100, SW210E)     [**]     [**]    
[**]
    [**]     ISL Trunking (SW4100,
SW210E)     [**]     [**]    
[**]
    [**]     Performance Monitoring and Trunking Bundle (SW4100, SW210E)    
[**]     [**]    
[**]
    [**]     Extended Fabric (SW4100)     [**]     [**]    
[**]
    [**]     Remote Switch (SW4100)     [**]     [**]    
[**]
    [**]     Secure Fabric OS (SW4100,
SW210E)     [**]     [**]    
[**]
    [**]     16-24 port upgrade     [**]     [**]    
[**]
    [**]     24-32 port upgrade     [**]     [**]    
[**]
    [**]     16 to 32 port upgrade (Plant only)     [**]     [**]    
[**]
    [**]     16 to 32 port upgrade (Field only)     [**]     [**]    
[**]
    [**]     CUP for 2109-F32,
2005-B32/32B (single
switch fabric)     [**]     [**]    
[**]
    [**]     CUP for 2109-F32,
2005-B32/32B (in cascaded
fabrics)     [**]     [**]    
[**]
    [**]     CUP for 2109-M12 (single
switch fabric)     [**]     [**]    
[**]
    [**]     CUP for 2109-M12 (in
cascaded fabrics)     [**]     [**]    
[**]
    [**]     CUP for 2109-M14 (single
switch fabric)     [**]     [**]    
[**]
    [**]     CUP for 2109-M14 (in
cascaded fabrics)     [**]     [**]    
[**]
    [**]     8 port Multi-Protocol Router     [**]     [**]    
[**]
    [**]     8 ports on demand (Plant
only)     [**]     [**]    
[**]
    [**]     8 ports on demand (Field
only)     [**]     [**]    
[**]
    [**]     XPath FCIP     [**]     [**]    
[**]
    [**]     XPath FCR (Routing)     [**]     [**]    
[**]
    [**]     XPath FCIP and FC Routing Bundle     [**]     [**]    
[**]
    [**]     8 port Multi-Protocol
Router FRU Switch     [**]     [**]    
[**]
    [**]     Fan FRU     [**]     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

7

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[**]
    [**]     Power Supply FRU     [**]     [**]    
[**]
    [**]     IBM 2005 32B: 16 active ports, 4g Fiber Channel Switch (SW4100)
with two power supplies; includes [**]     [**]     [**]    
[**]
    [**]     1 IBM 2005 32B: 16 port 4g switch FRU (SW4100); includes [**]    
[**]     [**]    
[**]
    [**]     SW210E, 8 active ports, 0 Eports. Includes [**]     [**]     [**]  
 
[**]
    [**]     SW210E, 8 active ports, 0 Eports. [**]     [**]     [**]    
[**]
    [**]     FRU, SW210E, 8 active ports, 0 Eports. Includes [**])     [**]    
[**]    
[**]
    [**]     FRU, SW210E, 8 active ports, 0 Eports. Includes [**]     [**]    
[**]    
[**]
    [**]     E Port Upgrade (Field)     [**]     [**]    
[**]
    [**]     E Port Upgrade (Plant)     [**]     [**]    
[**]
    [**]     SW210E, Fabric Watch     [**]     [**]    
[**]
    [**]     4p POD (Ports on Demand)
license Upgrade     [**]     [**]    
[**]
    [**]     SW48000, zero port, 2CP,
2PS, 2 PS filler panels, 8
port blade filler panels
(2109 M48)     [**]     [**]    
[**]
    [**]     FRU, CHASSIS, SW48000 [**]     [**]     [**]    
[**]
    [**]     SW48000, 4g 16 PORT CARD, (Upgrade Blade)     [**]     [**]    
[**]
    [**]     SW48000, 4g 32 PORT CARD, (Upgrade)     [**]     [**]    
[**]
    [**]     FRU, 4g 16 PORT CARD,
SW48000 (FRU)     [**]     [**]    
[**]
    [**]     FRU, 4g 16 PORT CARD,
SW48000 (FRU)     [**]     [**]    
[**]
    [**]     FRU, CP CARD, SW48000     [**]     [**]    
[**]
    [**]     FRU, CHASSIS DOOR, SW48000     [**]     [**]    
[**]
    [**]     FRU, CABLE MGT COMB, SW48000     [**]     [**]    
[**]
    [**]     FRU, PORT CARD SLOT FILLER PANEL (SW48000)     [**]     [**]    
[**]
    [**]     S/W, EXTENDED FABRIC     [**]     [**]    
[**]
    [**]     S/W, REMOTE SWITCH     [**]     [**]    
[**]
    [**]     S/W, Director CUP for
single switch fabrics     [**]     [**]    
[**]
    [**]     S/W, Director CUP for
cascaded fabrics     [**]     [**]    
[**]
    [**]     S/W, SECURE FABRIC OS     [**]     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

8

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**For purpose of calculating the fees for the annual Software Maintenance
Support Program as described in Section 9.4, the annual Software Maintenance Fee
per Unit for each part number where it is applicable as follows:

                         
IBM
Part
Number
    Brocade
Product
Part
Number     Product Description     Annual Software
Maintenance Fee per
Unit    
[**]
    [**]     32 Port Fibre Channel Director (SW24000)
Includes [**]     [**]    
[**]
    [**]     Meteor Upgrade kit. Includes: [**]     [**]    
[**]
    [**]     8 Port Fibre Channel Two Domain Switch Single
Power Supply (SW3250),
Includes [**]     [**]    
[**]
    [**]     8 Port Fibre Channel Two Domain Switch Single
Power Supply (SW3250),
Includes [**]     [**]    
[**]
    [**]     16 Port Fibre Channel Four Domain Switch, Two
Fixed Power Supplies (SW3850),
Includes [**]     [**]    
[**]
    [**]     16 Port Fibre Channel Four Domain Switch, Two
Fixed Power Supplies (SW3850),
Includes [**]     [**]    
[**]
    [**]     Fabric Manager 4.x-Enterprise [**]     [**]    
[**]
    [**]     Fabric Manager 4.x — 3.0 to 4.x Upgrade to Enterprise [**]     [**]
   
[**]
    [**]     Fabric Manager 4.x with 10 Domains     [**]    
[**]
    [**]     Fabric Manager 4.x Upgrade from 10 Domains to Unlimited Domains    
[**]    
[**]
    [**]     Secure Fabric OS (SW3850)     [**]    
[**]
    [**]     Secure Fabric OS (SW3250)     [**]    
[**]
    [**]     Secure Fabric OS (SW12000/24000)     [**]    
[**]
    [**]     16 active ports, 4g Fiber Channel Switch (SW4100) with two power
supplies; includes [**]     [**]    
[**]
    [**]     Secure Fabric OS (SW4100)     [**]    

 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

9

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[**]
    [**]     CUP for 2109-F32 (single switch fabric)     [**]    
[**]
    [**]     CUP for 2109-F32 (in cascaded fabrics)     [**]    
[**]
    [**]     CUP for 2109-M12 (single switch fabric)     [**]    
[**]
    [**]     CUP for 2109-M12 (in cascaded fabrics)     [**]    
[**]
    [**]     CUP for 2109-M14 (single switch fabric)     [**]    
[**]
    [**]     CUP for 2109-M14 (in cascaded fabrics)     [**]    
[**]
    [**]     8 port Multi-Protocol Router     [**]    
[**]
    [**]     IBM 2005 32B: 16 active ports, 4g Fiber Channel Switch (SW4100)
with two power supplies; includes [**]     [**]    
[**]
    [**]     SW210E, 8 active ports, 0 Eports. Includes [**]     [**]    
[**]
    [**]     SW210E, 8 active ports, 0 Eports. Includes [**]     [**]    
[**]
    [**]     SW48000, zero port, 2CP, 2PS, 2 PS filler
panels, 8 port blade filler panels     [**]    
[**]
    [**]     S/W, Director CUP for single switch fabrics     [**]    
[**]
    [**]     S/W, Director CUP for cascaded fabrics     [**]    
[**]
    [**]     S/W, SECURE FABRIC OS     [**]    

[**]
[**]
 

[**]   Certain information on this page has been omitted and filed separately
with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions.

Amendment 21 to SOW 1
Confidential information

10