3Com Outlines Strategy for Continued Leadership in Small- to Medium-sized Enterprise Networking and Personal Internet Access
Business Wire - August 07, 1998 08:15
SANTA CLARA, Calif.--(BUSINESS WIRE)--Aug. 7, 1998--
3rd Annual "Networking Connections" Conference for Financial Analysts Turns Out More Than 150 From Around the Country
At a networking industry conference for financial analysts yesterday, 3Com Corporation
(NASDAQ:COMS) outlined its strategies for continuing to lead the industry in providing
networking and Internet access solutions for small- to medium-sized enterprises and for
individuals.
Small- to Medium-Sized Enterprises (SME)
Currently, the SME segment of the networking market, which includes workgroup hubs,
switches, remote access servers, and boundary routers, is estimated to be approximately $8
billion per year, growing to $25 billion by 2003, according to certain industry analysts.
"With less than 20 percent of small- to medium-sized businesses being networked today,
many analysts expect the SME segment to grow faster than any other part of the networking
market," said Edgar Masri, Senior Vice President for 3Com's SME Business Unit. "3Com is
the leader in the SME segment, based on its product leadership position in every category
servicing small- to medium-sized enterprises. 3Com has accomplished this by having the
broadest and deepest relationships, with more than 40,000 resellers worldwide, and by
offering customers many clear advantages that will enable us to further expand this
leadership."
Mr. Masri outlined the additional advantages 3Com has with manufacturing cost leadership,
brand recognition and product ease of use. Mr. Masri noted that 3Com was the first
company to address the unique networking needs of small businesses with a product line
designed specifically for small business, and announced that since its introduction in 1996,
3Com's OfficeConnect(R) line of small business networking products has shipped more than
10 million ports.
Personal Internet Access
Neil Clemmons, Vice President of Consumer Marketing for 3Com, briefed analysts on
3Com's Personal Internet Access business. While outlining 3Com's strategies to lead the next
generation of "always-on", digital access through xDSL and cable modems, Mr. Clemmons
emphasized that the primary method of Internet connectivity for consumers will remain analog
modems through 2000 and beyond.
Citing a Visionquest study, Mr. Clemmons stated that approximately 80 percent of 90 million
new personal Internet connections in 2000 will be via analog modems, with 98 percent of
those being V.90 (56Kbps(1)). Mr. Clemmons stated that more than 800 ISPs are live today
with V.90 dial-up access including America Online, IBM Global Services, MindSpring,
UUNet, and Web America. He also emphasized 3Com's ability to provide users with a
superior Internet experience by having technology on both ends of the dial-up connection,
through U.S. Robotics(R) modems and 3Com Total Control(tm) remote access servers.
Palm Computing
Since its introduction in 1996, more than 1.6 million handheld computers built on the Palm
Computing(R) platform have been sold, capturing 63 percent of the worldwide market
according to Dataquest. At the briefing, Janice Roberts, Senior Vice President of 3Com and
acting President of 3Com's Palm Computing subsidiary, stated that the Palm Computing
platform is now supported by more than 7,500 software developers, as well as over 200
hardware developers.
Ms. Roberts indicated that in the future Palm Computing's line of handheld computers would
continue to be enhanced with more power, smaller, more streamlined form factors, and
expanded connectivity capabilities to the Internet, enterprise data and converged networks.
"Our goal," stated Ms. Roberts, "is to maintain 3Com's market leadership position through
continued innovation and strategic partnerships and to establish the Palm Computing platform
as the next paradigm in universal connectivity."
About 3Com Corporation
3Com Corporation enables individuals and organizations worldwide to stay more connected
by communicating and sharing information and resources anytime, anywhere. As one of the
world's preeminent suppliers of data, voice and video communications technology, 3Com has
delivered networking solutions to nearly 200 million customers worldwide. The company
provides large enterprise, small and medium enterprise, carriers and network service
providers, and consumers with comprehensive, innovative information access products and
system solutions for building intelligent, reliable and high performance local and wide area
networks. For further information, visit 3Com's World Wide Web site at
3com.com or the press site at 3com.com.
Note to Editors: 3Com, OfficeConnect, and U.S. Robotics 56K modems are registered
trademarks and Total Control is a trademark of 3Com Corporation.
Palm Computing is a registered trademark of 3Com Corporation.
(1) 56 Kbps technology refers to server download speeds only and
requires compatible modems at server sites. All V.90 products are
capable of 56 Kbps downloads; however, due to FCC rules which
restrict power output of service providers' modems, current
download speeds are limited to 53 Kbps. Actual speeds may vary
depending on line conditions. Uploads travel at speeds up to 31.2
Kbps. Requires phone line compatible with 56K technology.
CONTACT: 3Com Corporation
Leslie Davis, 408/326-7187
Leslie_Davis@3Com.com |
