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Technology Stocks : Lucent Technologies (LU) -- Ignore unavailable to you. Want to Upgrade?

To: P2V who wrote (2685)	5/27/1998 10:19:00 PM
From: William Hunt	Read Replies (1) \| Respond to of 21876

THREAD --- A FOLLOW-UP ---Dow Jones Newswires -- May 27, 1998 Lucent Seen Raising Data Networking, Internet Phone Status By Shawn Young NEW YORK (Dow Jones)--Lucent Technologies Inc. (LU) will soon start selling new technology that will help phone companies take advantage of Internet technology and help Internet companies offer phone service, the company said Wednesday. The technology will make it possible for telecommunications companies to offer new top-of-the-line data and voice services while potentially cutting network maintenance and some other costs by as much as 40%, the company said. The new products represent another advance in the Murray Hill, N.J., telecommunications equipment maker's high-profile attack on the data networking market dominated by such companies as Cisco Systems Inc. (CSCO), Bay Networks Inc. (BAY) and Ascend Communications Inc. (ASND), and also advance Lucent's competition with traditional rivals such as Northern Telecom Ltd. (NT). Lucent has stormed into the data networking field, which it says it will dominate, with a string of high-profile acquisitions. The new products, developed internally, move the battle into Lucent's telephone-network stronghold, analysts said. "It's a frontal assault on Cisco and Ascend, and it's being done from their strong position," said Brendan Hannigan, director of network strategies at Forrester Research, a Cambridge, Mass., consulting firm. "They're moving the battle onto their own turf with their telecommunications expertise." The new products further blur the increasingly fluid line between voice and data networks. Analysts said the products add up to the most comprehensive bag of tricks yet for using Internet technology to offer integrated voice and data services. They include a switch that will soon be tested by MCI Communcations Corp. (MCIC) and a server that will allow a caller to take make lower-cost calls over an Internet-style network without dialing extra numbers. The server could allow an Internet service provider to add phone service fairly simply, said Bill O'Shea, president of data networking systems at Lucent. The service would include amenities such as call-forwarding, 911 access and directory assistance that have not been available from Internet companies, O'Shea said. The server could also appeal to local companies seeking to compete with entrenched carriers. The switch will allow carriers to offer finely tuned grades of service at a range of prices with guarantees to customers that if they pay top dollar for Rolls-Royce service, they will not get stuck in traffic. Being able to differentiate grades of service could allow carriers to increase revenue by concentrating on the grades that are most profitable for them, Lucent said. The products could help older phone companies compete with upstarts such as Qwest Communicatons International Inc. (QWST) and IXC Communications Inc. (IIXC) that can offer low-cost service over brand new high-capacity networks based on Internet technology. "I think these products will be attactive, based on the company's claims for them," said Nikos Theodosopolous, analyst at UBS Securities Inc. Lucent said interest in the products has been extensive and intense. It estimated the size of the total market for such products at $20 billion by 2001. BEST WSIHES BILL

To: P2V who wrote (2685)	5/29/1998 10:44:00 AM
From: Freeflight	Read Replies (1) \| Respond to of 21876

CSCO innovated quickly to out perform Ipsilon's IP switching breakthru. How does thread feel about LU ability to take CSCO lunch which Ipsilon couldn't? Is it big R&D that wins or a small group of magical engineers working in the right environment? Does LU have right environment for the multiprotocal IP world? Does East coast have that culture for LU to thrive? East coast: is legacy home of the mainframe, mini-computer and PBX, Prime, Data General, Wang, IBM, LU, network wanna be's CTRON, Wellfleet,Chipcom,Cascade. West coast: incubation home of Intel, MSFT, CSCO, HP, Netscape, Coms, Qualcomm,Yahoo, PSFT, Oracle, Stratacom. I feel insecure about high LU cap with all telecom manufacturers, appears Data Comm group cap is less leveraged than telcom group cap. Megatrend east coast vs. west coast trend analysis along with derivative analysis shows telcom sector is overheated vs. datacomm sector. What do you think?