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Technology Stocks : Cabletron Systems (CS: NYSE) -- Ignore unavailable to you. Want to Upgrade?

To: Len4458 who wrote (6437)	6/30/1999 11:47:00 AM
From: polarisnh	Read Replies (2) \| Respond to of 8358

Network World June 28, 1999 New Cabletron VP wants spotlight on Spectrum By Jeff Caruso Rochester, NH - Reiterating the company's intent to make its Spectrum business more independent, Cabletron last week named a new leader for the network management unit - one who has big plans to expand Spectrum's focus and public profile. Michael Skubisz, a 10-year Cabletron veteran who most recently served as chief technology officer, will take over the Spectrum unit as Cabletron's executive vice president of software. A self-described "change agent," Skubisz says that over the next year he will try to make Spectrum a successful business within Cabletron, with an eye toward total independence. The business already has its own profit-and-loss responsibility and is profitable, though Skubisz says the unit is "not as profitable as we'd like to see it." Cabletron says Spectrum generates more than $50 million in annual revenue, which represents about 4% of the company's business. Skubisz will try to increase Spectrum revenue by expanding beyond platform software and into management applications that will run on Spectrum, as well as on other vendors' platforms, such as Hewlett-Packard's OpenView and Computer Associates' Unicenter. Applications could include capacity planning and service-level management tools. Spectrum's network management software needs to work with multiple vendors' equipment, but the product has been hampered from doing so because it is owned by Cabletron, a hardware vendor. "It's very difficult to garner support form a Cisco, Lucent or Nortel Networks when Spectrum is viewed as just another product out of Cabletron," Skubisz says. "Spectrum is a product in its own right that needs to be disassociated from the network equipment," says Elizabeth Rainge, research manager for network management at International Data Corp. in Framingham, Mass. Skubisz recognizes the need to familiarize more people in the industry with the Spectrum brand name. However, he didn't divulge specific plans in this area, aside from noting that Cabletron will try to sell to more service providers. In addition to announcing Skubisz's appointment last week, Cabletron posted its first-quarter financials. The company reported a $22.5 million loss for the quarter, but would have recorded more than $7 million in earnings if not for assorted charges related to acquisitions and restructuring. Net sales were $349.5 million, up slightly from the previous quarter, but down 4% from the first quarter last year.