More Price-Cutting -- Intel Trims Ethernet Tags
Price-cutting is the name of the game in Fast Ethernet hardware. Don't expect that to change soon. Intel's aggressive bid for market share is one of the biggest factors. Intel set the pricing pace a year ago in the 10/100-Mbps adapter card market. Caught off-guard, adapter card king 3Com roared back late last year. 3Com now holds a 39 percent worldwide market share to Intel's 36 percent, says market research firm In-Stat. Executives at both companies are watching the market share numbers with a near-maniacal eye. 3Com, for instance, posted Fast Ethernet share numbers as the main item on its Web site in late May.
Their competitive zeal is spreading to other categories. Intel, which trails its Santa Clara, Calif., neighbors 3Com and Bay Networks in unmanaged hubs, is determined to change that. Latecomer Intel has cracked the $100-per-port barrier in Fast Ethernet hubs. In the switching market, Intel had been using National Semiconductor's Fast Ethernet controller chips but recently began using its own chips, a sign that Intel is digging in for a long battle.
Copyright 1997 CMP Media Inc.
North America,United States of America VARBusiness Author: Cassimir Medford June 01, 1997 |