drdan, no question there is product overlap between LU and ASND. However, the argument goes like this:
ASND RAS/RAC overlaps with Livingston. The Livingston products has been given a almost a year to make inroads. They haven't. ASND is still the industry leader in RAC with a very enviable customer list.
Yurie products totally overlap with the ASND SA line of ATM concentrators (not switches, these aren't switches). However, the Yurie products are not carrier class, and are sold mainly to the enterprise segment. The SA line typically front-end the 500 and 550 switches. But, there is no question, the SA line has been less than successful. Something must give here. No matter, this is a very small piece of the ASND picture.
Prominet products overlap with the ASND GRF line of IP switches. Again, a less than successful product for ASND. Same argument here as Yurie.
ATM switching. The crown jewels. No product overlap. Just a bright future for the industry's leading carrier supplier.
So greater than 85% of ASND revenue represents RAS/RAC and ATM switching. They may have to suffer with the rest. These two critical pieces would give LU an instant customer base, and leadership position with the big ISPs, and carriers that they covet.
Lannet, OTOH, has total product overlap with XYLN. Why would LU purchase them right before a XYLN purchase? I can't make a case for this one. Just trying to be realistic.
Gary |
