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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Glenn McDougall who wrote (13546)	10/7/1999 8:58:00 AM
From: zbyslaw owczarczyk	Read Replies (1) \| Respond to of 18016

Glenn,looks like this study are pertinent to US market only,which account for about half of world market. Why author did not include Europe? NN presence in US West at the time CSCO made a deal was very small, so it was easy to buy few NN switches and replace then with CSCO gears. Why CSCO was not able to do it with big SBC Comm.,BT,FT or former very loyal CSCO customer C&W, where NN dominates account. With NN ATM and IP/ATM growing in the last three quarters 25-30% sequentially how come they are loosing shares. Last year: Newbridge Captures 26 Percent of $1.5 Billion ATM Market Newbridge continues to lead the overall asynchronous transfer mode (ATM) wide area network (WAN) switching market. In its recently published 1999 ATM WAN Switch Market Analysis report, the Yankee Group estimates Newbridge captured 26 percent of the $1.5 billion ATM WAN switching market in 1998. The research findings also project significant growth for ATM WAN switches over the next five years, with the overall market experiencing a compound annual growth rate of 36 percent, resulting in the market reaching approximately $7 billion by 2003. Within this market, core switches and service switches are expected to experience compound annual growth rates of 52 percent and 34 percent respectively. The Yankee Group attributes this growth to several industry trends, most notably the convergence of voice and data technologies. According to the Yankee Group, in order to be competitive in 1999 and beyond, service switches must contain enhanced voice capabilities. Earlier this month, Newbridge Networks took the lead by developing a networking solution that will accelerate the convergence of voice and data services over an integrated, flexible broadband network architecture when it joined TeleHub Technologies Corporation (TTC) and created TeraBridge Technologies. The venture is designed to develop scalable, flexible broadband network solutions for both established and next generation carriers. "Actually delivering a full-featured multiservice switch that provides toll-quality voice and implements all ATM classes of service will certainly be a key differentiator for success in the market," said Jennifer M. Pigg, Senior Vice President, the Yankee Group. "The leading-edge, targeted solutions being developed by Newbridge, as well as the Company?s renewed focus on its core product line, will enable Newbridge to remain a strong global leader in the growing ATM market." As voice and data convergence becomes a reality, the Yankee Group believes carriers will upgrade their networks to accommodate voice over ATM and Internet protocol (IP) networks. Several leading research firms concur that the Company?s leadership in the global ATM market can be attributed to the Newbridge portfolio of products, which include the industry's largest selling ATM switch, the MainStreetXpress 36170 Multiservices switch. The Company continues to evolve the MainStreetXpress 36170 Switch to meet the present and future needs of more than 325 service provider customers worldwide. The MainStreetXpress 36170 Multiservices Switch offers a broad range of interfaces and service offerings including native cell relay, frame relay, advanced private line, local area network (LAN) internetworking, IP and integral broadband wireless. Newbridge Networks? leadership position in the global ATM market has been recently confirmed by the following major research firms: International Data Corporation confirmed in its ATM and Frame Relay Switching Market Review and Forecast, 1997-2002, that Newbridge continues to lead the worldwide market for ATM edge and enterprise switches with 27.5 percent market share. Dataquest, a Gartner Group Company, in its 1998 North American WAN Market Share and Forecast report, identified Newbridge Networks as the leader in revenues and shipments of ATM backbone switches in North America, with a 34.4 per cent market share. Earlier this year, Dataquest also confirmed that Newbridge leads the ATM and frame relay WAN market in Central and Eastern Europe, with a 46 percent market share in the ATM market and a 29 percent share in the frame relay market. Dataquest also confirmed earlier this year that Newbridge leads the multiservice ATM and frame relay WAN switching market in Europe overall with a 27.5 percent market share. Vertical Systems Group confirmed in a report that Newbridge is the global market share leader in delivering ATM solutions for carriers and Internet service providers (ISPs) with 22.3 percent market share.

To: Glenn McDougall who wrote (13546)	10/7/1999 9:07:00 AM
From: zbyslaw owczarczyk	Respond to of 18016

But he said Nortel and Newbridge face hurdles in convincing major telephone companies and corporations to replace the systems familiar to them. Bell Atlantic and AT&T -new businesses for NN this year.