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To: Scrapps who wrote (15873)	6/5/1998 2:33:00 PM
From: Moonray	Respond to of 22053

Cisco to Ship Products to Help Phone Companies Route Data Calls San Jose, California, June 5 (Bloomberg) -- Cisco Systems Inc. next week will ship new products that make it easier for phone companies to handle Internet traffic, taking aim at a lucrative market also targeted by large phone equipment makers. The new equipment and software from the No. 1 maker of computer networking gear lets telephone switches recognize and transfer data, voice and video communications onto the Internet. Today's telephone network, built to handle voice calls, has been swamped by surging Internet traffic. Long-distance providers and the Baby Bells want more sophisticated equipment so they can break the logjam and offer new Internet services. Cisco, along with rivals like Lucent Technologies Inc., Northern Telecom Ltd. and Ascend Communications Inc., all are racing to build products for the new market, expected to reach $50 billion a year by 2002. ''Everyone is trying to solve the problem of slowing traffic in voice switches,'' said Maribel Lopez, an analyst at Forrester Research in Cambridge, Massachusetts. Cisco shares fell 5/8 to 76 1/4 in midafternoon trading. The new gear is similar to an offering unveiled this week by Bay Networks Inc. that will link so-called remote access servers, used by Internet providers to route incoming calls, with switches used to route voice calls and faxes. Cisco said its Signal Controller 2200 is already being used in several customers' networks and will ship in volume beginning Monday. Bay said its product is immediately available for trial shipments. Both products are just part of product lines phone companies expect will help them manage their networks more efficiently. The market for such gear is known as ''public IP'' equipment because it will link the public phone network with Internet protocol, or IP, traffic. o~~~ O