1/6/98 Broadband Networking News (Pg. Unavail. Online) 1998 WL 8038586 Broadband Networking News (c) 1998 Phillips Business Information, Inc.
Tuesday, January 6, 1998
Vol. 8, Issue: 1
ASCEND DROPS FRAME RELAY DS-0 PORT PRICE
Ascend Communications [ASND] has introduced four new modules for its B-STDX 8000/9000 frame relay wide-area network switches. Included is a channelized DS-3/1/0 module that offers channelization down to DS-0. A single module can support 28 DS-1 channels, 672 DS-0 channels, or a combination of both.
"This is a quantum leap in density that takes us from 96 DS-0s per slot, up to 672," says Bob Sullebarger, senior manager product marketing, core systems division at Ascend. "DS-0 and DS-1 port
growth is the bread and butter of the frame relay market. Probably more than 90 percent of the port speeds that people buy are in that range."
The DS-3/1/0 module will be available at a price point of approximately $100 per DS-0 port when it ships in the first quarter 1998. "That is a trend we are going to see more of in 1998. DS-0s priced down around $100 per port is where all the vendors need to get in order to compete," says Rick Malone, principal of Vertical Systems. "Newbridge Networks [NN] is just slightly over that. The 36170 frame relay card we've priced out at $105 per DS-0. The Ascend announcement comes in just under that. You [also] have the new class of products, such as the Sentient Networks [Ultimate access switches] that are priced at an even more aggressive level," Malone adds.
Sullebarger confirms that the pricing of the new DS-3/1/0 module is in response to competition from Sentient and several other startups "This is basically a factor of three price reduction to $100 per DS-0, asserting our intention to maintain our position in the market," he says. (Contact: Ascend, 510/769-6001; Vertical Systems, 617/329-0900)
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COMPANY (TICKER): Ascend Communications Inc.; Newbridge Networks Corp.; NEWBRIDGE NETWORKS CORP. (ASND NN T.NNC)
INDUSTRY: Communications Technology; Telecommunications, All (CMT TEL)
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