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Technology Stocks : Lucent Technologies (LU)
LU 2.415+1.9%Nov 21 9:30 AM EST

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To: The Phoenix who wrote (5169)12/8/1998 8:12:00 PM
From: Mr.Fun  Read Replies (3) of 21876
 
Gary,

Just wanted to jump in to support you here, and to try to re-establish my neutral credentials. My discussions with IBM indicate a frustration with the BSTDX platform, but more that IBM wanted it to do more than the product was really intended to do. It is not really a ATM switch. Although Ascend provided 45Mbps ATM interfaces, it works alot better as a frame relay fan out box at the edge of a true ATM core (CBX500s or GX550s). IBM knew they had to update their architecture and the decision to sell the whole thing to AT&T was an easy one. Now the whole thing will end up being migrated to AT&Ts Ascend-based ATM backbone and the 9000 issue goes away, at least for the domestic part of the network.

A couple of points though. This is a case of a product being stretched beyond its capabilities, not the case of a bad or old product. The 9000 is still the most cost effective way to provide frame relay service available from any vendor. Second, I believe IBM would have ended up selling the network even if the 9000s weren't an issue. IP backbone is a big boy's business - 45Mbps ain't going to cut it. IBM did not and was not going to have enough volume to compete with the UUNets and Sprints of the world, better to sell it to AT&T which could use the traffic and can run the service at a fraction of IBM's cost.
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