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Technology Stocks : Newbridge Networks
NN 11.97+5.4%3:59 PM EST
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To: S. M. SAIFEE who wrote (3411)2/27/1998 12:56:00 PM
From: fumble  Read Replies (2) of 18016
 
TDM (Time Division Multiplex) is a scheme using dedicated time slots for sending information. A fast line has more time slots per second (multiplex). A normal phone call (once it is digitized) has 8bit pieces of information sent every 1/8000 second. Lots of hardware to sort everything out at both ends of a fast line so each 8bit goes to correct phone call. Phone call oriented, not data oriented. A lightly loaded line has empty time slots (like empty seats in an airliner). Mature industry.

ATM (Asynchronous Transfer Mode) uses bigger chunks of data (cells), but not too big (so switching can be done fast in hardware). There are enough cells moving per second to keep up with synchronous activities (like phone calls) which MUST have their data every 1/8000 sec, but enough administrative (software) flexibility so that video (can tolerate some time jitter/loss of pixels) and data (time jitter insensitive, but cannot loose data) can move transparently over the same wires/fibers. This is what is attractive to big telcos - they can send lots of kinds of data (under different contractual arrangements) over the same wire/fiber, thus simplifying the administration of the wire/fiber. It cuts their cost and provides a window to the future (gobs of bandwidth which must be managed to make a profit).

NN has biggest share of telco market for ATM (27% for 1st qtr 97)
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