To: David Lawrence who wrote (11408 ) 1/8/1998 2:06:00 PM From: Scrapps Respond to of 22053
Siemens phone unit open to acquisitions MUNICH, Germany, Jan 8 (Reuters) - Siemens AG (OTC BB:SMAWY - news; SIEG.F) said on Thursday its private communications division had no plans for major acquisitions at the moment, although buyouts and alliances could become part of its strategy for growth. ''There will be a new order in this industry,'' said PN chief Dietrich Botsch. ''There will be new combinations of firms and we will look at all the possibilities necessary to be successful.'' He noted that PN, a maker of telephone sets and corporate voice and data networking equipment, faced many well-positioned competitors such as Ericsson (LMEb.ST) LM, Nokia Oy and Motorola Inc (NYSE:MOT - news), and new challenges from suppliers of computer networking and Internet equipment. These include 3Com Corp (Nasdaq:COMS - news)., already a Siemens partner, as well as Cisco Systems Inc (Nasdaq:CSCO - news), Cabletron (NYSE:CS - news) and even Microsoft Corp (Nasdaq:MSFT - news), which is beginning to add voice capabilities to its software. In July, Siemens and computer networking supplier 3Com agreed to develop products that integrate voice and data communications. At the same time, Botsch ruled out any internal reorganisation that would combine overlapping parts of Siemens' two communications groups and computer unit Siemens Nixdorf Informationssysteme AG (NIXG.CN). PN, the public communications division -- which makes switches for telephone carriers -- and SNI would remain separate, he said. ''We must be in a position to offer solutions with a piece from Siemens and pieces from other companies -- for example, a competitor of SNI like IBM (NYSE:IBM - news),'' he said.