Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : BAY Ntwks (under House) -- Ignore unavailable to you. Want to Upgrade?

To: Paul Fine who wrote (5921)	5/16/1998 5:25:00 PM
From: Kenneth E. Phillipps	Respond to of 6980

How Cisco will respond to Layer 3 switches - The following is an excerpt from the IBD interview with Chambers which is copied from the Cisco thread. Notice how Chambers avoided answering the question about how Cisco will respond to Lawyer3 switches. His company derives 70% if its revenue from routers and layer 3 switches hurt that revenue stream. His evasive answer indicates their strategy will continue to be FUD. Eventually, those 2000 Accelar switches which are being tested right now will hurt their router sales. IBD: What's your response to observers who say Layer 3 switches - a product that combines the speed of switches with the power of routers -could take away Cisco's traditional router sales? Chambers: We've never had any religion when it comes to technology. We plan to lead in Layer 3 as we have done in all other technologies. The market can go whichever way it wants to. Our experience has been now that people understand Layer 3 strategy . . . it's an end-to-end sale and strategy, where the Layer 3 products reside in the network and where our traditional products do. It's a pretty neat fit. Ken Phillipps