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Technology Stocks : Nortel Networks (NT) -- Ignore unavailable to you. Want to Upgrade?

To: Stock Farmer who wrote (9419)	1/24/2001 1:27:37 PM
From: The Phoenix	Read Replies (1) \| Respond to of 14638

John, Actually "enterprise" does not mean "data networking" to me. Enterprise means enterprise customers... as it does for most companies. This could mean data networking, voice, access...whatever. The term enterprise IS a customer market segment defined by companies that are larger than a few hundred people. Most vendors however clasify and target product lines at specific markets to simplify the accounting. Thus there are "enterprise products" and "carrier products". As an example Nortel's Optera LH products are likely to be classified as carrier... since it's unlikely that an enterprise customer would buy such a product. On the other hand the Nortel CVX could be classified as either - at least from your perspective - depending upon who the customer is. Your argument is that Nortel allocates revenue based upon customer... and that they go through the trouble of reporting revenue based solely on target customer - not product line. I have no problem if that's what NT wants to do other than it's a bit more paperwork for the company and with little benefit. The fact however is I think they don't. Here... from the 10Q.. page 26 and 27... looks to me like Nortel allocates revenue by product line - like most every other company on the planet... and it makes sense. SERVICE PROVIDER AND CARRIER SEGMENT ("SP&C") -- Nortel Networks' SP&C operating segment delivers network solutions that are used by telecommunications operating companies and other service providers to interconnect access lines and transmission facilities to provide local or long-distance services, wireless communications systems and products to transport voice, data and video communications between locations within a city or between cities, countries or continents. ENTERPRISE SEGMENT ("ENTERPRISE") -- Nortel Networks' Enterprise operating segment delivers solutions consisting of eBusiness systems, including call center, voice messaging and interactive response systems; Internet and data networking solutions; Open IP systems; and Enterprise telephony solutions. Enterprise customers include large and small businesses, governments, educational institutions, utilities, and other public and private organizations. So, given this and given the reason for the discussion - it would appear that NT's 8% YoY growth in enterprise - again allocated based upon enterprise products which are most often used in enterprise environments - is slower than the market and thus NT is losing market share. Are you sure you want to continue? OG