HOUSTON--(BUSINESS WIRE)--July 2, 1997--Compaq Computer
Corporation (NYSE:CPQ) today announced worldwide that it has
successfully completed its acquisition of Microcom, Inc.
(NASDAQ:MNPI), which is now a wholly owned subsidiary. All remaining
outstanding shares of Microcom common stock not held by Compaq have
been converted into the right to receive $16.25 per share in cash.
In acquiring Microcom, Compaq takes a leadership position in
the strategically important and rapidly growing remote access arena.
The demand for remote access servers is expected to grow
dramatically from $3 billion in 1996 to $8.3 billion in the year
2000(b), concurrent with the growth of the Internet, telecommuting
and portable computing. This market is a top priority for Compaq as
it expands its communications product business as part of its
strategic plan to become one of the world's top three computer
companies by the year 2000.
With this acquisition of a communications company, Compaq
offers its customers end-to-end communications solutions for dialing
into the Internet, local area networks (LANs), databases and
corporate resources; and provides high-performance, reliable WAN
connectivity between desktops, portables, remote access and network
servers. Today's customers are demanding robust solutions for
telecommuting, portable computing, virtual private networking and
Internet access. As an industry leader, Compaq is well positioned to
meet customers' requirements and deliver the most comprehensive
communications technology available via the PC.
"Together, Compaq and Microcom are the future of end-to-end
communications connectivity," said Alan Lutz, Senior Vice President
and Group General Manager, Communication Products Group, Compaq
Computer Corp. "With Microcom's superb modem and access technologies
and Compaq s volume manufacturing, channel distribution and business
model of providing industry-standard products with a low total cost
of ownership, Compaq is positioned as a powerhouse in the remote
access business.
"A generation of computer users has taken advantage of
Microcom's pioneering technology, setting the standards for the
remote access industry. By applying Compaq's expertise in delivering
superior NT platforms to the remote access market, we will drive
total cost of ownership down to new levels while offering our
customers the industry's most attractive connectivity solutions."
"Combining Microcom's product innovations with Compaq's
distribution and marketing strengths yields the potential for a new
worldwide force in the remote access market," said Lewis Bergins,
President of Microcom. "Our combined strengths provide customers
with optimal end-to-end connectivity solutions for remote access
applications."
Compaq, the number one market share leader in NT servers(c),
will integrate Microcom's access technologies into Compaq server
products, providing higher end-to-end reliability and performance
connectivity. In addition, with embedded modems in the Compaq
Presario and the Compaq Armada, Compaq has a significant share of
the client modem market(d). Compaq will incorporate Microcom's
access technologies into existing product lines to enhance overall
end-to-end reliability and performance.
Microcom's Industry Leading Technology
Microcom is a leader in remote access server hardware and
software technology. The company developed Microcom Networking
Protocol (MNP), the defacto standard for modem error correction and
data compression, providing customers with high-quality connections;
the ISPorte and award-winning Microcom Access Integrator, remote
access solutions delivering superior access to corporate computing
resources; Carbon Copy, the first remote control software solution
for the PC, allowing users to remotely access files and applications
on PCs and servers running any Windows or DOS operating system;
MODEMWARE, intelligent modem and network interface technology,
delivering fast, reliable modem connect rates and ADAPTive
Switching, a patent-pending technology delivering unprecedented cost
reduction for central site remote access applications.
Microcom, located in Norwood, Massachusetts, is a leading
provider of central site and remote access solutions, offering a
broad line of products utilizing its WAN technology and its network
management and remote access software. Microcom is now a wholly
owned subsidiary of Compaq and will continue to operate and expand
under the same name and in the same location as it did prior to the
merger.
Company Background
Compaq Computer Corporation, a Fortune 100 company, is the
fifth largest computer company in the world and the largest global
supplier of personal computers, delivering useful innovation through
products that connect people with people and people with
information. The company is an industry leader in environmentally
friendly programs and business practices. Compaq is strategically
organized to meet the current and future needs of its customers,
offering Internet and enterprise computing solutions, networking
products, commercial PC products and consumer PCs. As the leader in
distributed enterprise solutions, Compaq has shipped over a million
servers. In 1996, the company reported worldwide sales of $18.1
billion. Compaq products are sold and supported in more than 100
countries through a network of authorized Compaq marketing partners.
Customer support and information about Compaq and its products can
be found at compaq.com or by calling 1-800-OK-COMPAQ.
Product information and reseller locations can be obtained by
calling 1-800-345-1518.
-0-
(a) Wide Area Network
(b) Compaq estimates from various sources
(c) Reference: IDC PC Server and Super Server 2Q96 Market Results
-- August 13, 1996
(d) Reference: Dataquest Analogue Modems Market Share 1996 --
June 9, 1997
Compaq, Registered U.S. Patent and Trademark Office. Product
names mentioned herein may be trademarks and/or registered
trademarks of their respective companies.
CONTACT:
Compaq Computer Corporation
Nora Hahn, 281-514-0484
nora.hahn@compaq.com
OR
Miller/Shandwick Technologies
Julie Akstin, 617-536-0470
jakstin@miller.shandwick.com
OR
Microcom Inc.
Amy Novakoff, 617-551-1695
anovakoff@microcom.com
TAPS!!!!!!!!!!!!!! |
