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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: Glenn D. Rudolph who wrote (24992)	11/30/1997 6:20:00 PM
From: polarisnh	Read Replies (1) \| Respond to of 61433

Glenn, After reading "The Future is 3Com" would you or someone eles explain to me why the author of this article is all excited about 3Com's future. Maybe I am missing something but this article came out and said what I have been seeing right along. That NIC cards, modems, and other Internet access devices are commodity items that have very limited margins. In addition, after reading this article I still haven't seen anything that shows that 3Com has a competitive advantage in this area. Intel will probably come after them in this area also. Cheers, Steve

To: Glenn D. Rudolph who wrote (24992)	12/1/1997 3:57:00 AM
From: blankmind	Read Replies (6) \| Respond to of 61433

coms purchasing asnd further perspective and who might now be purchasing asnd. we have the lu camp. we have the cpq camp. we have the ibm camp. i will stake my position in the corner of coms purchasing asnd. why? 1. csco - csco is a 600 lb. gorilla that threatens both the existence of asnd and coms. by purchasing asnd, coms becomes a one stop shop, end to end, guaranteing interoperability between their products. they can become the microsoft of the lan/wan/internet business. you want modems, nics, hubs routers, atm, fr, switches,.... coms must act now before they become novellized. coms/asnd has more answers for a company/isp/telco needs than csco has. 2. coms paid 8 billion for usr and did not receive what they expected, the ras, modem sales, revenue and market dominance. instead they now know they were taken. 8 billion for asnd would be beneficial in securing the market that was hoped for when coms purchsed usr, but with the added addition of cscc. this time the 8 billion will be well spent. 3. coms and asnd continue to do battle for the 56k market, with competing technology, with both losing $$$ in sales and penetration beyond the modem and ras technology. combining the companies would permit one standard to be announced and the ras industry to expand faster with a unified technology. 4. coms needs the internet technology because the core nics, hubs, modems, are becoming a commodity and with the addition of core internet technology, there commoditie side increases because now you know if you purchase coms, there is coms through all your connections so less likelyhood of problems. 5. competition - with asnd combined with coms, the target becomes focused and clear, beat csco. no longer does asnd and coms waste precious resources doing battle as csco beats both of them. this may be a last chance for coms and asnd to combine and have a chance to defeat csco. remember when novell and ibm realized the os was important, ie novell purchased dr dos. to bad ms was moving everyone to windows. by ceding the os to microsoft, novell pays for its sins with diminsishing server market share and os/2, although superior, since microsoft owned the os, never gained market share. 6. not much overlap - with coms more focused on the lan and asnd focused on the internet, they fit together without much redundancy. if they work together to have their products work together then sales can be from end to end, and they could shutout csco. 7. both asnd and 3com are from the silicon valley. close proximity would help with the assimilation of the companies. one of the problems for the asnd, cscc merger. 8. x2 technology losing out. by purchasing asnd, coms can still decide x2 will be the standard, if not they now declare all will be 56k. either way, they control the standard and the spoils. i have taken my stand, if asnd is purchased, it will be by coms, because coms needs to complete the product package it believed it was acquiring in usr and also because coms needs the internet solution to provide the end to end resources companies, isps, ... inorder to compete and beat csco. more to come.