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Technology Stocks : COMS/USRX
COMS 0.00130-87.0%Nov 7 11:47 AM EST

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To: simon says who wrote (1016)3/20/1997 6:18:00 PM
From: Jeffery E. Forrest   of 1384
 
Zenith/USR announcement from almost a year ago:

Telco Return Option Benefits One-Way Cable Systems

LOS ANGELES, April 29 /PRNewswire/ -- Zenith Electronics Corporation
(NYSE: ZE) and U.S. Robotics (Nasdaq: USRX) today unveiled a new cable modem system that will enable the vast majority of cable operators with one-way systems to deliver lightning-fast data capabilities to their subscribers.
The advanced system -- based on Zenith's "HomeWorks Universal" cable modems and the U.S. Robotics Total Control Enterprise Network Hub --
capitalizes on Zenith's strengths in cable modems and broadband
communications, and U.S. Robotics' strengths in information access
technologies. This marketing relationship with Zenith marks U.S.
Robotics' first venture in the cable industry.
By providing a dial-up "upstream" path for data, the Total Control
Enterprise Network Hub allows cable operators to offer Internet access
using off-the-shelf technology now -- without waiting to upgrade their
systems to two-way cable technology. This new telco return system,
which will be marketed as part of Zenith's "MetroAccess" cable modem
product family, will deliver the high-speed "V.Everything(TM)" dial-up
capabilities of the U.S. Robotics Total Control Enterprise Network Hub
for the upstream communications, and the ultra high-speed cable
downstream supplied by Zenith's HomeWorks Universal cable modem.

Strong Partnership
"We are addressing the immediate needs of one-way operators who
want to get into the data business today by offering the option of a
telco return cable modem product," William G. Luehrs, president
of the Zenith Network Systems division, said today at the National
Cable Television Association convention. "The U.S. Robotics
headend system is an essential ingredient to the system, because an
overwhelming number of cable systems are still one-way, and they
demand a telco return option."
Kathy Wolfe, division vice president and general manager, data
products, Zenith Network Systems, said, "We chose to work with
U.S. Robotics because of its expertise in information access
technology. By incorporating their equipment to provide a telco
return alternative into the MetroAccess product family, we are
confident the complete solution is well-positioned for today's cable
modem needs."

Natural Progression for U.S. Robotics
"Partnering with Zenith, a leader in cable modems, represents a
natural evolution for our existing information access technology.
The Total Control Enterprise Network Hub is designed for
flexibility, and this application is a prime example of how our
products are suited to a variety of applications," said Ross Manire,
senior vice president and general manager of U.S. Robotics'
Corporate/Systems Division.
"By adding this cable solution, U.S. Robotics continues to find
new strategies to serve all information access markets," said
Donald Mulder, vice president, strategic planning for U.S. Robotics'
Corporate/Systems Division. "We are constantly looking for new ways to
serve potential customers, and with this announcement, we now add cable
operators to that list."

Solutions For Current Cable Environment
According to the latest research by the Yankee Group, 92 percent
of the homes in the U.S. are currently passed by cable, and about
62 million homes currently subscribe to cable service. In addition,
about 90 percent of cable operators still have one-way transmission
systems -- making the need for a telco return path alternative
essential to enable these one-way cable operators to offer data
services.
"There's a substantial market demand just waiting to be served as
the cable industry moves toward supplying Internet access," Mulder said.
"Together with Zenith, we recognized that one-way cable operators need a
way to help them enter this potentially profitable revenue-generating
source right now, instead of waiting to make the eventual migration to a
two-way, interactive system. There are time and cost considerations in
that migration, and our Total Control solution lets them get started
faster.
"Our Total Control Enterprise Network Hub cable modem telco return
system is a solid, end-to-end solution for a return path over both
analog and ISDN," he said. "And if the cable modem market explodes in
the next five years as many expect it to, the Total Control Enterprise
Network Hub is in position to become the standard for the cable
industry."

How it Works
Zenith's HomeWorks Universal will interface with a standard analog
modem, which will also be tied into U.S. Robotics' advanced headend
equipment for the upstream data. This hook-up increases upstream access
speed, and the cable modem will deliver its usual high-speed data rates
in the downstream.
The telco return systems' speed can also be increased by
substituting an ISDN upstream connection. An ISDN return path would be
supported by a Courier I-modem(TM) or Sportster ISDN 128K at the client
site and the PRI (Primary Rate Interface) Access System added to the
Total Control Enterprise Network Hub at the central site.
"HomeWorks Universal now creates a new access for more cable
subscribers to get online and get a taste of the high-speed data rates a
cable modem can provide," Wolfe said. HomeWorks Universal cable modems
support a variety of applications including work-at-home, distance
learning, videoconferencing, advanced graphics, medical uses, and access
to on-line services and Internet access, she explained.
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