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Technology Stocks : Ascend Communications (ASND)
ASND 205.50-1.5%Dec 5 9:30 AM EST

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To: David Lawrence who wrote (1476)1/2/1997 3:22:00 AM
From: Dee Jay   of 61433
 
David, I like your ability to dress up your Personal Profile (all: check it out!) but I'm afraid I can't find as much charm in your post (not to be disrespectful, however). My understanding is that the "Consortium" as you call Lucent & Rockwell, have 70% of the *market*, not 70% of all modems ever manufactured. There's a BIIGGG difference in the two.

Furthermore, ISPs (some) are pissed about USR's tactics; the following comments are clipped from the 12/31 Ascend Users/Owners Forum Digest which is the means by which Ascend product users ask technical questions from both the company and the community of Ascend product users. ISP tech people (and others) world wide tune in and swap information or respond to problems/complaints, etc. What you'll read reflect the personal opinions of those who expressed them (with the exception of the first comment which is from the Ascend person who generally provides information relative to problems/questions posted):

clip begins:
>At 10:17 PM 12/30/96 -0500, John Keown wrote:
>Could someone let me know the latest infomation as to whether ascend
>plans to support USR X2 modem technology for the Max 4000 series of
>terminal servers. I've had a lot of customers and potential customers
>with upgradable USR modems asking if we are going to support X2 and I
>would like to give them a definative answer.

USR are not planning (so far as I've heard&read) on releasing their
proprietary implementation, so even if Rockwell/Lucent et al wanted to
support it....

All parties are trying to get this through the ITU now. Rockwell and Lucent have agreed to make their implementations interoperable - even before the ITU ratifies a standard implementation spec. USR have refused to join this agreement.

Ascend uses Rockwell technology for it's modem solutions, so we will be interoperable with all Rockwell and Lucent based modems (I read that this accounts for 70% of the market??). Since USR will only implement X2 in their modems.....draw your conclusions.

Kevin Smith New Service and Support
Technology Manager, Marketing Resources are now at:
Ascend Communications ascend.com

------------------------------

From: "David Lesher / hated by RBOC's in 5 states" <wb8foz@wauug.erols.com>
Date: Tue, 31 Dec 1996 18:45:14 -0500 (EST)
Subject: Re: (ASCEND) Ascend and USR X2

At 10:17 PM 12/30/96 -0500, John Keown wrote:
>Could someone let me know the latest infomation as to whether ascend
>plans to support USR X2 modem technology for the Max 4000 series of
>terminal servers. I've had a lot of customers and potential customers
>with upgradable USR modems asking if we are going to support X2 and I
>would like to give them a definative answer.

a) USR sells lots of modems to resi users.
b) USR sells next-to-no terminal servers, etc. to ISP's.

Ergo "We'll try and FORCE those ISP's into buying our
Total Out-of-Control racks. We'll have a protocol that only USR will
talk to. Hey, it was big success for HST, right?"

- --
------------------------------

From: MegaZone <megazone@livingston.com>
Date: Tue, 31 Dec 1996 17:10:25 -70400 (PST)
Subject: Re: (ASCEND) Ascend and USR X2 (fwd)

Once upon a time David Lesher / hated by RBOC's in 5 states shaped the electrons to say...
>Ergo "We'll try and FORCE those ISP's into buying our
>Total Out-of-Control racks. We'll have a protocol that only USR will
>talk to. Hey, it was big success for HST, right?"

That seems to be their approach.

Keep in mind Rockwell alone covers more than 70% of the chipsets in
integrates boxes. And together Rockwell and Lucent cover over 70% of the chipsets in end user modems. 7 of the top 10 modem brands use Lucent.

USR has something less than 20% of the end users (there are other vendors who make up the difference) and I'm not sure what they have for central site, but I believe it is rather small.

USR may be the single most popular modem brand - but that's it. USR
technology is basically in USR modems.

Almost everyone else has a Rockwell or Lucent chipset - and Rockwell and Lucent have agreed to interoperate. USR refused.

To me it looks like USR trying to strongarm their way into your machine room. Which is why I've been encouraging ISPs to start educating their users now, to head USR off at the pass.

If you can stop the users from buying X2 modems and tell them to wait
so they will be compatible with your boxes, you defeat USR's effort.

- -MZ

end of clip

By the way, the latter response is from an official with Livingston Enterprises, maker of Livingston Portmasters and (if I recall correctly) creators of the RADIUS authenticating software used widely by ISPs. The Livingston PortMasters populate the vast majority of ISP installations. They're described as "a dominant force in Internet terminal servers and routers" and now make "cheap low-end routers to serve both ends of an Internet connection".

You may not have heard of them because, as I understand it, this company is privately held. Livingston, as an important factor in this marketplace, is in a position to know the facts on market share and what's really going on out there.

Dee Jay
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